Autoblog

Chrysler decides to keep third shift at Windsor minivan plant, VW Routan to live on

Sam Abuelsamid — Sat, 11 Jul 2009 17:25:00 EST

Filed under: Minivans/MPVs, Hirings/Firings/Layoffs, Plants/Manufacturing, Chrysler, LLC., Volkswagen

2009 Volkswagen Routan - click above for a high res image gallery

Earlier this spring as Chrysler stumbled toward bankruptcy court, one of the announced cost-cutting decisions was the elimination of the third shift at the Windsor assembly plant. That's the factory that produces the Chrysler Town and Country, Dodge Caravan and Volkswagen Routan minivans. According to Ken Lewenza, president of the Canadian Auto Workers union, the company has reversed course and will keep the third shift operational. Preserving the final shift will prevent 1,200 layoffs at the factory.

The change was made possible by a revised labor deal agreed to this spring, which cut $207 million in annual costs. Earlier this year, the plant "temporarily" ceased building the Routan for Volkswagen due to slow sales. According to VW of America communications director Steve Keyes, the Routan will live on as well. Keyes tells Autoblog "We will be introducing the 2010 MY vehicle this Fall and continue work on future models. Our goal was to capture 5 percent of the segment and we're meeting that target."

Gallery: First Drive: 2009 Volkswagen Routan

[Source: Reuters, Volkswagen]

Chrysler decides to keep third shift at Windsor minivan plant, VW Routan to live on originally appeared on Autoblog on Sat, 11 Jul 2009 17:25:00 EST. Please see our terms for use of feeds.

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REPORT: 2010 Ford Mustang GT500 production limited to 2,000 units [*UPDATE: FALSE]

Chris Shunk — Thu, 09 Jul 2009 11:29:00 EST

Filed under: Car Buying, Coupes, Sports/GTs, Plants/Manufacturing, Ford

2010 Ford Shelby GT500 - Click above for a high-res gallery

With new sheetmetal, more power and an upgraded chassis, the new Ford Mustang GT500 was destined to be a hot for the 2010 model year. The pony king may have just just gotten a whole lot more exclusive, too, as production has reportedly been limited to only 2,000 units. Team Shelby forum member 06VistaBlueGT posted a PDF with important ordering information for dealers that explains the production cut.

Production cut on Shelby GT500. To date, 1,700 GT500s have not been scheduled and the plant only had the capacity to build 2,000 for the 2010 MY (model year). If you signed the agreement, you are guaranteed 1 Shelby GT500 for the model year.

The move figures to severely limit the amount of GT500s a dealer can order, with many likely receiving either zero or one model for the year. The good news for the 2,000 lucky owners of the GT500 is that the lower production totals could make the 2010 model the most collectible (and valuable) model since the 2007 was introduced. If you haven't already signed up for a new GT500, though, dealers may now jack up the price even higher over MSRP to capitalize on the newfound shortfall of 540 horsepower pony cars. Hat tip to Murray!

*UPDATE: We reached out to Ford to ascertain the veracity of this Team Shelby document, and they have categorically denied the website users' claims. 2010 Mustang GT500 production has NOT been limited to 2,000 units, and the report is inaccurate. Ford does not report volume figures for the GT500.

Gallery: First Drive: 2010 Ford Shelby GT500, Part 2

[Source: Team Shelby]

REPORT: 2010 Ford Mustang GT500 production limited to 2,000 units [*UPDATE: FALSE] originally appeared on Autoblog on Thu, 09 Jul 2009 11:29:00 EST. Please see our terms for use of feeds.

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REPORT: Karmann saved by VW's multi-million euro order for electric vehicles

Sebastian Blanco — Wed, 08 Jul 2009 17:58:00 EST

Filed under: Green, Plants/Manufacturing, Volkswagen, Earnings/Financials

DuraCar Quicc! Diva - Click above for high-res image gallery

Volkswagen has struck a deal worth "at least 10 million euros" with Wilhelm Karmann GmbH to keep the insolvent coachworks and specialty builder alive so it can reorganize a new company and "focus on building electric-powered cars." That's according to an unsourced report in the Neue Osnabruecker Zeitung that can be found on Bloomberg. A separate report on HLN.be says that the EV deal is worth 20 million euros, the fruits of which are expected to go on sale in 2011.

Earlier this year, Karmann showed off an EV concept called the E3 Limosine, co-developed with utility company Oldenburg Energy Group (EWE). Last October, Karmann said it would help build some of DuraCar's Quicc! DiVas EVs. Thanks to Frederik for the tip!

Gallery: eBay Find of the Day: electric 1974 Karmann Ghia

[Source: Bloomberg, HLN.be]

REPORT: Karmann saved by VW's multi-million euro order for electric vehicles originally appeared on Autoblog on Wed, 08 Jul 2009 17:58:00 EST. Please see our terms for use of feeds.

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REPORT: Toyota bankrolling $500 million into Indiana plant; no comment on NUMMI

Michael Harley — Tue, 07 Jul 2009 11:00:00 EST

Filed under: SUVs, Plants/Manufacturing, GM, Toyota, UAW/Unions

The world's biggest automaker has confirmed that it is investing 44.9 billion yen (or about $467.2 million at current exchange rates) to upgrade its Indiana plant. Toyota Motor Corp. will reportedly spend the next three months retooling in order to build its Sequoia and Highlander SUVs on the same line (last year, the automaker canceled plans to manufacture the Highlander in a new plant slated for Mississippi).

Toyota also has no comment about the recent rumors that it had entered talks with General Motors about buying out General Motors's share in the New United Motor Manufacturing Inc. (NUMMI) venture after the U.S. automaker announced last week that it was abandoning its 50 percent stake in the partnership. Toyota is currently negotiating with the United Auto Workers to adjust labor rates at the Fremont, California, operation. According to reports, the plant could shut down if those talks go sour.

[Source: Automotive News, subs. req'd]

REPORT: Toyota bankrolling $500 million into Indiana plant; no comment on NUMMI originally appeared on Autoblog on Tue, 07 Jul 2009 11:00:00 EST. Please see our terms for use of feeds.

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Opposite World: GM dealers reportedly fretting over too tight crossover and truck inventories

Jeremy Korzeniewski — Mon, 06 Jul 2009 19:02:00 EST

Filed under: Car Buying, Plants/Manufacturing, Buick, Chevrolet, GM, GMC

Buick Enclave - Click above for high-res image gallery

In these dark days of bankruptcy proceedings, ever-dwindling sales figures and decades of receding market share, General Motors' base of dealerships certainly has plenty of things to keep it up at night. You may be surprised to hear, though, that a dwindling supply of available inventory is one of the major problems some dealerships are currently reporting. We're not shocked to hear there's only a six-day supply of Chevrolet Camaro models on hand, but dealers are also seeking remedies for shortages of Buick Enclaves, GMC Yukon SUVs and extended-cab Sierra pickups, as well as limited supplies of Chevrolet Silverado trucks. For a company that has historically had an unhealthy attachment to high inventories across their brands, this is an unusual development indeed.

GM is aware of the shortages and Mark LaNeve, vice president of vehicle sales, service and marketing, tells Automotive News that the shortage is a normal part of the adjustment process from the old days of carrying a 120-day supply of vehicles to today's goal of a leaner 75-day supply. The General's messenger further suggests that dealers trade inventory with each other to bolster inventory until the automaker is ready to rekindle its assembly lines beginning on Monday, July 13 after the company's extended summer shutdown.

Gallery: 2008 Buick Enclave

[Source: Automotive News - sub. req'd]

Opposite World: GM dealers reportedly fretting over too tight crossover and truck inventories originally appeared on Autoblog on Mon, 06 Jul 2009 19:02:00 EST. Please see our terms for use of feeds.

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BMW celebrates 1.5 million "new" Minis made

Chris Shunk — Mon, 06 Jul 2009 13:58:00 EST

Filed under: Convertibles, Economy, Sports/GTs, Plants/Manufacturing, Hatchbacks

2009 Mini Cooper S Convertible - Click above for high-res image gallery

2009 has been a big year for BMW's Mini brand. Mini launched a new convertible, turned 50 years old, and has now produced 1.5 million new generation models since production began in 2001. Interestingly, the 'new' Mini has outpaced the demand of the original car, which sold over 5.3 million copies from 1959-2000.

Mini's success has been a boon to BMW, as customers have been willing to pony up over $30,000 for fully optioned-out model. The re-launch of the brand has been so successful that BMW has introduced the cute little car in 80 countries. The Oxford, England plant that produces the Mini employs over 7,000 workers and represents 1% of the island's total GDP. Hit the jum p to pour over the shorter than usual BMW press release.

Gallery: Review: 2009 Mini Cooper S Convertible

[Source: BMW]

Continue reading BMW celebrates 1.5 million "new" Minis made

BMW celebrates 1.5 million "new" Minis made originally appeared on Autoblog on Mon, 06 Jul 2009 13:58:00 EST. Please see our terms for use of feeds.

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REPORT: China rolls out 89 new models in six months - that's one every two days

Jeremy Korzeniewski — Fri, 03 Jul 2009 16:44:00 EST

Filed under: Car Buying, Trends, China, Plants/Manufacturing

Geely GE - Click above for high-res image gallery

We've been hearing Chinese officials say for quite some time now that there are far too many automakers in the country for a healthy market in the long-term, but we didn't realize until today just how out-of-hand it may be. According to state-run Chinese news agency Xinhua, China has seen an unprecedented 89 new automobile launches so far this year.

That's surely a big number, but it doesn't really hit home until you consider that 89 vehicles in the first half of 2009 averages out to a new or heavily revised vehicle appearing in China once every two days. Of those new designs, 73 were cars, nine were SUVs, six were MPVs and - in contrast to typical American vehicle launches over the same period - only one was a crossover.

As you're surely aware, 2009 is only half over, and there are reportedly some 50 new vehicles still slated for introduction before the end of the year, equaling about 140 new models introduced in 2009. The good news, at least as far the bottom line goes, is that the new releases have translated into sales. The 4.96 million vehicles sold between January and May of this year represent a 14.29-percent increase over the same period in 2008. Still, considering the glut of new models hitting the market, one has to figure that a goodly number of those vehicles will go begging.

Gallery: Geely GE

[Source: Gasgoo]

REPORT: China rolls out 89 new models in six months - that's one every two days originally appeared on Autoblog on Fri, 03 Jul 2009 16:44:00 EST. Please see our terms for use of feeds.

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Next Ford Focus to be built exclusively in Europe?

Chris Paukert — Thu, 02 Jul 2009 11:00:00 EST

Filed under: Coupes, Economy, Sedans/Saloons, Plants/Manufacturing, Hatchbacks, Ford

2009 Ford Iosis Max concept - click above for high-res gallery

Since it first came to the market in 2000, Ford's Focus has been consistently lauded for its crisp "European handling," and thanks to a Ford of Europe press release yesterday, that bromide sounded like it was about to become truer than ever. The release in question announced that the next all-new Focus is to be sourced from a single location - the Blue Oval's Saarlouis Plant in Germany. Quite understandably, that proclamation caused a bit of consternation here in the States, with some news outlets reporting that North American Focus models will also originate from the German facility. Not so.

Autoblog spoke with Lincoln, Mercury communications manager Mark Schirmer this morning (despite his title, Schirmer has been tasked with preparing for the U.S. launch of the 2010 car) and he has re-confirmed that all North American Focus models will originate from a freshly renovated Wayne Assembly Plant in Michigan (something that Ford officials initially promised back in May).

The intention of FoE's confusingly worded statement was to note that Saarlouis is to be the single point of origin for all European Focus models. In addition to Saarlouis and Wayne, Ford will also likely produce the next Focus at a plant somewhere in Asia, but a location announcement has not yet been made.

Gallery: Ford iosis MAX Concept

Next Ford Focus to be built exclusively in Europe? originally appeared on Autoblog on Thu, 02 Jul 2009 11:00:00 EST. Please see our terms for use of feeds.

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REPORT: Cadillac DTS to be replaced by XTS, which will be built in Canada alongside new Buick Regal

Sam Abuelsamid — Thu, 02 Jul 2009 08:29:00 EST

Filed under: Sedans/Saloons, Plants/Manufacturing, Cadillac

The days of Cadillac's big DTS sedan are numbered as the plant that builds it will soon be shut down and re-tooled. The Detroit Hamtramck assembly plant that builds the DTS and Buick Lucerne will switch over to building the Chevy Volt in 2010 and the current products are both long in the tooth.

The National Post is reporting that the new Cadillac flagship will be dubbed XTS and will be produced at the Oshawa assembly plant. It will be built alongside an updated Chevrolet Impala, the new Camaro and the Buick Regal. The DTS is a front-wheel drive car, but the XTS is expected to the share the Epsilon II platform with the Regal and the new Impala. As such, it will likely get all-wheel-drive at least as an option. For its part, the Regal will likely be a re-badged version of the Opel Insignia. The report goes on to say that Oshawa will produce a hybrid version of one of those offerings - a gas-electric Regal model is a reasonable bet.

Earlier reports had pegged the next Cadillac sedan as a model that would supplant both the DTS and the slow-selling STS, and although the NatPost article does not speak to this, it is reasonable to assume that the new XTS will result in the phase-out of both model lines. The new model line was reportedly put on hold back in August of last year, but it apparently has once again been given the go-ahead.

The XTS is scheduled to be launched in December 2011, with the new Impala coming in early 2013. Thanks to Ben for the tip!

[Source: The National Post]

REPORT: Cadillac DTS to be replaced by XTS, which will be built in Canada alongside new Buick Regal originally appeared on Autoblog on Thu, 02 Jul 2009 08:29:00 EST. Please see our terms for use of feeds.

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Toyota Camry tops this year's Cars.com American-Made Index

John Neff — Tue, 30 Jun 2009 12:32:00 EST

Filed under: Car Buying, Plants/Manufacturing, Toyota

Cars.com has once again published its annual American-Made Index that rates vehicles built within the United States based on their sales and percentage of domestic parts content. This year's list has a number of movers and shakers based mainly on the fact that a troubled economy has torpedoed sales of some models and others are now ineligible because their parent brands are being canceled.

The Ford F-150 has lost its top ranking in the American-Made Index for the first time since Cars.com began producing the list back in 2006. The new No. 1 is - gasp - the Toyota Camry. Assembled in Georgetown, KY and Lafayette, IN, the Camry's upswing in domestic parts content helped it barely edge out the F-150, which has seen both its sales and domestic parts content fall year-over-year. Toyota, in fact, had four models make the American-Made Index this year including the Sienna, Tundra and first-timer Venza.

General Motors placed the Chevrolet Malibu, Silverado and GMC Sierra, while Ford had the aforementioned F-150, and list newcomer Ford Taurus, which enjoys the highest domestic parts content of 90 percent. No Chrysler vehicles made the top ten, although one Honda did: the Lincoln, AL Odyssey has an 80 percent domestic parts content rating and thus sewed up the #10 spot. You can view the full list after the jump and visit Cars.com to read more about how the index was produced.

[Source: Cars.com]

Continue reading Toyota Camry tops this year's Cars.com American-Made Index

Toyota Camry tops this year's Cars.com American-Made Index originally appeared on Autoblog on Tue, 30 Jun 2009 12:32:00 EST. Please see our terms for use of feeds.

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REPORT: Pipe and firebomb-wielding strikers injure 70 at Ssangyong plant; 4,000 flee

Michael Harley — Tue, 30 Jun 2009 08:00:00 EST

Filed under: Government/Legal, Hirings/Firings/Layoffs, Plants/Manufacturing, UAW/Unions

After slipping into receivership this past January, Ssangyong Motor Company's problems have only escalated. A court-ordered restructuring of the Korean automaker earlier this year left 976 employees without work. The displaced workers organized an armed sit-in on the Korean automaker on May 21 that has now turned violent.

According to Ward's Auto, Roughly 4,000 non-union workers and management had been back in the company's Pyongtaek, South Korea, SUV plant attempting to get the assembly line back into operation. After less than 36 hours in the facility, more than 900 pipe and firebomb-wielding strikers surrounded the area and demanded they vacate under increasing threats. As the workers left, they were attacked by striking union workers poised outside (many noted that the national police service had withdrawn their riot squad on Saturday night leaving the 4,000 employees unprotected). All told, more than 70 non-union workers were badly hurt and many of those were hospitalized.

Although the company has offered jobs with affiliated companies, or promised future work to dismissed employees, the union immediately rejected the offer and has demanded to negotiate directly with the Korean government. The future doesn't look good. With no plans for the non-union employees to return and a viable restructuring plan unlikely, the Korean courts are scheduled to make a ruling by Sept. 15 whether to allow Ssangyong Motor Co. to keep operating or to liquidate its assets.

[Source: Ward's Auto]

REPORT: Pipe and firebomb-wielding strikers injure 70 at Ssangyong plant; 4,000 flee originally appeared on Autoblog on Tue, 30 Jun 2009 08:00:00 EST. Please see our terms for use of feeds.

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GM execs to reportedly meet with Toyota regarding hybrid sharing

Jeremy Korzeniewski — Mon, 29 Jun 2009 17:29:00 EST

Filed under: Hybrids/Alternative, Green, Plants/Manufacturing, GM, Toyota, Rumormill

2010 Toyota Prius - Click above for high-res image gallery

Rumors that General Motors may get access to Toyota's proprietary hybrid technology just won't go away. Today, Bloomberg cites two unnamed sources in reports that Toyota President Akio Toyoda and GM chief Fritz Henderson will meet this August in Michigan to discuss the possibility of a GM-badged version of the Toyota Prius hybrid hatchback.

For the record, both General Motors and Toyota have repeatedly denied that any such talks have taken place in the past and have said it's unlikely that they ever will in the future. Many of these rumors indicate that the two automakers are considering building the Prius together at the New United Motor Manufacturing Incorporated (NUMMI) joint venture in California, but GM has today announced that its involvement in NUMMI is over.

It remains a possibility that Toyota will fully take over the reigns at NUMMI to finally build the Prius in America, but even if that's the case, it's extremely unlikely that General Motors will have anything to do with the project in light of its own massive undertaking of readying the Chevrolet Volt for the market in 2011.

Gallery: Review: 2010 Toyota Prius

[Source: Bloomberg]
Photos copyright (C)2009 Sam Abuelsamid / Weblogs, Inc.

GM execs to reportedly meet with Toyota regarding hybrid sharing originally appeared on Autoblog on Mon, 29 Jun 2009 17:29:00 EST. Please see our terms for use of feeds.

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After 25 years, GM ditches NUMMI tie-up with Toyota

Chris Paukert — Mon, 29 Jun 2009 15:58:00 EST

Filed under: Plants/Manufacturing, GM, Pontiac, Toyota

As part of its "New GM"/"Old GM" bankruptcy proceedings, General Motors has announced that it will abandon its ownership stake in the New United Motor Manufacturing Incorporated (NUMMI) joint venture with Toyota.

According to an official statement, GM and Toyota worked to find a future product that would work for both automakers, but they were apparently unable to do so. As a result, GM will assign its NUMMI stake to "Old GM," effectively ending a 25-year partnership with the Japanese automaker.

Over the last quarter-century, the Fremont, California plant has produced a number of vehicles for GM, including the current Pontiac Vibe, as well as the Geo/Chevrolet Prizm, and the Bowtie'd Nova that preceded it.

There is no word on what (if any) effect the deal's collapse will have on Toyota's NUMMI-made products which include the Tacoma pickup and Corolla sedan. According to NUMMI's official website, 5,440 workers are employed at the plant. Official press release after the jump. Thanks to everyone for the tips!

[Source: General Motors; NUMMI | Image: Hokubei]

Continue reading After 25 years, GM ditches NUMMI tie-up with Toyota

After 25 years, GM ditches NUMMI tie-up with Toyota originally appeared on Autoblog on Mon, 29 Jun 2009 15:58:00 EST. Please see our terms for use of feeds.

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REPORT: Four versions of Fiat 500 in the U.S. by 2011, including Abarth

Frank Filipponio — Mon, 29 Jun 2009 11:29:00 EST

Filed under: Etc., Plants/Manufacturing, Hatchbacks, FIAT

2010 Fiat 500 Abarth - Click above for high-res image gallery

Four 500s by 2011. That is the latest word out of Italy concerning the adorable Fiat 500. While the Chrysler/Fiat merger chugs along, the tiny 500 is the only model that has been officially greenlighted for American consumption under the Fiat banner. To make up for that dearth of models, Fiat will apparently offer the 500 in four different flavors when it reaches these shores: hatchback, convertible, station wagon and sporty hatchback. There's also an outside chance of a micro-CUV according to this Automotive News piece.

The "sporty hatchback" will be the Abarth, Europe's 2008 Car of the Year. Chrysler/Fiat CEO Sergio Marchionne calls it "our iPod." Wonder if it's too late for some co-branding. While it might seem that a sporty wagon and sporty drop-top would be fairly easy to slot into the mix (Abarth Giardiniera SS Corsa, FTW!), we'll have to make due with those four iterations for the time being. The 500 family should be in U.S. dealerships by the first half of 2011. The American-market cars will likely be produced at a Chrysler plant in the United States or in Toluca, Mexico, but there's no official word on U.S. pricing yet.

Gallery: Fiat 500 Abarth

[Source: Automotive News - sub. req'd]

REPORT: Four versions of Fiat 500 in the U.S. by 2011, including Abarth originally appeared on Autoblog on Mon, 29 Jun 2009 11:29:00 EST. Please see our terms for use of feeds.

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Mulally: Ford boosting production to meet demand

Jeremy Korzeniewski — Sat, 27 Jun 2009 14:09:00 EST

Filed under: Plants/Manufacturing, Ford, Earnings/Financials

2010 Ford Taurus - Click above for high-res image gallery

More good news comes from the Blue Oval camp today as Ford CEO Alan Mulally has said that the automaker plans to "[increase] production to support the desirability of Ford products." Despite a downturn in new car sales, Ford - the only member of the Detroit 3 automakers that has not filed for bankruptcy protection in the last two months - has actually managed to gain a few ever-important percentage points of market share from its global rivals, including fellow American automakers General Motors and Chrysler.

In related news, Mulally says that Ford is well on its way to returning to profitability in 2011 as planned. Last year, Ford recorded its worst-ever loss of $14.8 billion and expects to continue posting smaller losses through 2009 and 2010, but Mulally is confident the company has sufficient funds on hand to finance the turnaround plan made possible by the $23 billion the automaker raised in 2006 shortly before the global economy hit the panic button.

A major portion of Ford's turnaround plan is based on "more and more electrification, both hybrids and battery electric vehicles," said Mulally, which is consistent with stated goals set out by the Obama Administration. Earlier this week, Ford accepted $5.9 billion in U.S. Department of Energy loans to retool factories to build more environmentally friendly cars and trucks.

Gallery: 2010 Ford Taurus

[Source: Automotive News - sub. req'd]

Mulally: Ford boosting production to meet demand originally appeared on Autoblog on Sat, 27 Jun 2009 14:09:00 EST. Please see our terms for use of feeds.

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Officially Official: GM to build B-segment cars in Lake Orion, MI

John Neff — Fri, 26 Jun 2009 14:28:00 EST

Filed under: Government/Legal, Hirings/Firings/Layoffs, Plants/Manufacturing, GM

2010 Chevy Spark - Click above for high-res image gallery

Following weeks of speculation, General Motors finally made its decision official this afternoon. Its new small cars will be built in Michigan with final assembly taking place at the Lake Orion plant with stampings coming from the nearby Pontiac Metal Center. As a result of the decision, 1,400 jobs will be preserved in hard-hit Michigan.

The Lake Orion factory was due to be idled in September, when production of the Pontiac G6 ends there. Instead it will be re-tooled to build a new small car that has not yet been announced. The plant will be specified as a B/C plant, meaning it will have flexibility to build both B and C segment cars. The first will be a B car, which will replace the Aveo and may be called the Viva. The plant will also be able to build C cars like the new Cruze and possibly a Buick version of the Opel Astra. The Viva would be a B-segment car similar in size to the new Ford Fiesta. Powertrain components will also be sourced from GM's North American operations although no specifics have been announced yet. GM emphasized that this is the first car of this size to be built in the United States from any major automaker.

Gallery: Geneva 2009: Chevy Spark

Gallery: 2010 Chevy Spark

[Source: General Motors]

Continue reading Officially Official: GM to build B-segment cars in Lake Orion, MI

Officially Official: GM to build B-segment cars in Lake Orion, MI originally appeared on Autoblog on Fri, 26 Jun 2009 14:28:00 EST. Please see our terms for use of feeds.

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GM reportedly picks Orion Township plant for upcoming small car

Chris Shunk — Fri, 26 Jun 2009 10:29:00 EST

Filed under: Economy, Plants/Manufacturing, GM

The state of Michigan finally got some good news Thursday when it learned that General Motors chose its Orion Township plant as the location that will produce the automaker's future small car. GM plans to make up to 160,000 cars at the plant, likely over two shifts.

When the General announced that it was entering bankruptcy on June 1, Orion was one of 14 facilities that was going to be closed under the automaker's recovery plan. GM then said that Orion was under consideration for a future small car, along with the Spring Hill, Tennessee plant that currently builds the Chevy Traverse and the recently closed Janesville, Wisconsin facility.

GM made no bones about the fact that the winning plant will get the need based not on the merits of the plant, but the size of the state and local incentives. The Detroit Free Press is reporting that the Township gave GM a 25-year tax abatement that could ultimately save the struggling automaker $100 million in that time frame. We're guessing officials figure that's a small price to pay for the chance to keep 1,200 good-paying jobs in a region that sorely lacks other employment options. GM is expected to make an official announcement about Orion today.

[Source: The Detroit Free Press | Image: Bill Pugliano/Getty]

GM reportedly picks Orion Township plant for upcoming small car originally appeared on Autoblog on Fri, 26 Jun 2009 10:29:00 EST. Please see our terms for use of feeds.

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REPORT: Tata selects first 100,000 Nano buyers from lotto

Chris Shunk — Wed, 24 Jun 2009 10:33:00 EST

Filed under: Car Buying, Economy, Plants/Manufacturing, Tata

Tata Nano - Click above for a high-res image gallery

Interest in the world's most affordable new car has been very strong, as Tata Motors reportedly received 206,000 applications for the $2,500 Nano. Due to production constraints, Tata ran a lottery to determine which of the applicants would receive one of the first 100,000 Nanos, and the Indian automaker is informing the "winners" in person.

The first 100,000 customers eligible to receive a Nano will get their car by the end of 2010, with deliveries beginning in July. The first allotment of 100,000 Nanos will be price protected to remain consistent with Tata's press release in March. Of the 106,000 Tata customers left out in the cold (for now) 51,000 chose not to keep their names in contention for future Nano lotteries. Those customers will be offered discounts on other Tata products.

The remaining 55,000 customers that are still in contention for future Nano lotteries are also being offered discounts. Since Tata collected a "booking fee" for the right to enter the lottery, that money will collect 8.5% interest if the Nano is delivered withing two years, and 8.75% if it takes longer than two years.

Gallery: Tata Nano

[Source: Telegraph India]

REPORT: Tata selects first 100,000 Nano buyers from lotto originally appeared on Autoblog on Wed, 24 Jun 2009 10:33:00 EST. Please see our terms for use of feeds.

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Karmann Go: Legendary coachbuilder shuts down as last car comes off the line

Chris Paukert — Tue, 23 Jun 2009 16:56:00 EST

Filed under: Convertibles, Euro, Government/Legal, Plants/Manufacturing, Special/Limited Editions

Karmann throughout the years - Click above for high-res image gallery

Troubled coachbuilder and specialty car manufacturer Karmann has gone dark. The firm's final vehicle - a Mercedes-Benz CLK came off the lines on Monday as the legendary company has been shuttered because of insolvency.

Perhaps best known for its Volkswagen-based Karmann Ghia coupe and convertible (shown above), Karmann has actually produced in excess of 3.3 million automobiles for various automakers - mostly convertibles. In recent times, it's been responsible for assembling cars like the Spyker C8, Audi A4 Cabriolet, Chrysler Sebring Convertible, Volkswagen New Beetle Convertible, and the Pontiac G6 Convertible.

According to German's The Local, Karmann actually "went bust last week," though it still hopes to change its focus to parts production if officials are able to successfully reorganize the firm and stay in business. Unfortunately, finger-pointing between the Osnabrück company's management and its unions is preventing any sort of restructuring, let alone a quick turnaround.

The company's 2,240 workers have all apparently been given notice, and their benefits plans will likely be eliminated. Check out more details at the link below and peruse a high-res gallery of Karmann's vehicles (including some of its concept cars) by clicking on the thumbnails below. Thanks for the tip, Gregg.

Gallery: Karmann throughout the years

[Sources: The Local; StraitsTimes]

Karmann Go: Legendary coachbuilder shuts down as last car comes off the line originally appeared on Autoblog on Tue, 23 Jun 2009 16:56:00 EST. Please see our terms for use of feeds.

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Ford, Nissan, Tesla all big winners in DoE advanced technology loans

Sam Abuelsamid — Tue, 23 Jun 2009 13:29:00 EST

Filed under: Economy, Hybrids/Alternative, Government/Legal, Green, Plants/Manufacturing, Tech, Ford, Nissan

Ford Focus EV Mule - Click above for high-res gallery

The U.S. Department of Energy has finally announced the first recipient of low interest loans under its Advanced Technology Vehicle Manufacturing Incentive Program. The first recipient is Ford, and analysts believe the DoE will award sums to Nissan and Tesla Motors, as well. Ford applied for up to $11 billion in loans, but instead it was awarded $5.9 billion in financing. The Dearborn-based automaker will use the money to fund its electric vehicle program that will launch a battery-powered version of the Transit Connect in 2010, and it will also likely use the capital to help pay for the $550 million renovation of its Wayne, MI sport-utility plant to build the next-generation Focus in both internal combustion and electric flavors.

For its part, Nissan wants to add production of its upcoming electric car and lithium ion batteries at its assembly complex in Smyrna, Tennessee, and it will receive $1.6 billion.

Despite receiving the smallest sum of the three automakers, Tesla is arguably the biggest winner this round, as the $465 million it may receive will allow the fledgeling EV maker to proceed with completing development and production of its Model S sedan. Recent investment in the company by Daimler was probably a big help in getting the loan approved, as companies had to demonstrate viability. And since the ATVM program favors re-tooling of older existing plants, Tesla will probably look at acquiring a closed factory from another company. Recent rumors had the company possibly getting a former McDonnell-Douglas factory in Long Beach, although there are plenty of other properties available.

The current Chapter 11 bankruptcy proceedings at General Motors and Chrysler made those companies ineligible in the current round. It's not known if any announcements will be made about loans for battery makers like A123 or EnerDel.

Gallery: ABG Quick Drive: Ford Focus EV mule

Photos Copyright (C)2009 Sam Abuelsamid / Weblogs, Inc.

[Source: Automotive News, sub. req'd]

Ford, Nissan, Tesla all big winners in DoE advanced technology loans originally appeared on Autoblog on Tue, 23 Jun 2009 13:29:00 EST. Please see our terms for use of feeds.

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