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Chevy Silverado is among 2.7 million GM vehicles being probed over brakes

Gabrielle Coppola, Bloomberg  /  November 24, 2018

U.S. highway safety investigators are probing an alleged defect in 2.7 million pickups and SUVs built by General Motors that are getting into collisions because drivers are having trouble braking.

The National Highway Traffic Safety Administration (NHTSA) opened an investigation on Tuesday of trucks and SUVs including GM’s best-selling Chevrolet Silverado after receiving 111 complaints from consumers.

The power brake vacuum pump in the models can degrade and make it difficult to stop, according to the NHTSA.

There have been nine crashes related to the problem and two injuries.

The investigation involves the 2014 to 2016 model year Chevy Silverado, Suburban and Tahoe; GMC Sierra and Yukon; and the Cadillac Escalade.

GM has been monitoring field reports and other data on the vehicles and will cooperate with NHTSA to evaluate them further, said company spokesman Tom Wilkinson.

The scale of Detroit automakers’ pickup sales is such that when something goes wrong with the trucks, recalls can be costly. GM’s rival Ford Motor Co. called back about 2 million F-150 pickups in September, and the North American safety campaign cost the company about $140 million. That recall involved faulty seat-belt pretensioners that sparked fires after crashes.

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General Motors plans to close Canadian assembly plant

Reuters  /  November 25, 2018

TORONTO - General Motors is planning to close all operations at a plant near Toronto and an announcement is expected on Monday.

The plant closure in Oshawa in the province of Ontario is expected to affect thousands of high-paying jobs.

The plant has been in operation since 1953 and has built models for Pontiac, Chevrolet and Buick. Currently, Oshawa builds the Cadillac XTS, the Chevrolet Impala, the Chevrolet Silverado and the GMC Sierra.

The plant closure is part of global restructuring.

A Canada-based GM spokesman refused comment.

GM employs about 2,500 union staff and roughly 300 salaried employees in the Oshawa area. GM has other operations in Canada, including a plant in Ingersoll, Ontario, where it assembles Chevrolet Equinox.

The Canadian union Unifor said in a statement on Sunday that.General Motors is set to make a major announcement on Monday that will affect its global operations.

“Unifor received notification today from General Motors that the company will make a major announcement tomorrow that will impact its global operations. While the union does not have complete details of the overall announcement we have been informed that, as of now, there is no product allocated to the Oshawa Assembly Plant past December 2019. Based on commitments made during 2016 contract negotiations, Unifor does not accept this announcement and is immediately calling on GM to live up to the spirit of that agreement. Unifor is scheduled to hold a discussion with General Motors tomorrow and will provide further comment following the meeting.”

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GM may close up to 5 plants in North American restructuring in 2019

Michael Wayland, Automotive News  /  November 26, 2018

DETROIT -- General Motors said it will significantly cut its salaried workforce and could close up to five plants in North America, including three assembly plants, as part of an overhaul of its operations in 2019.

The automaker on Monday said Lordstown Assembly in Ohio, Detroit-Hamtramck Assembly in Michigan and Oshawa Assembly in Canada will not be allocated any products beginning in 2019. Propulsion plants in Maryland and Michigan also will not be given any product.

All of the products currently being assembled at those three plants are expected to stop being produced by the end of 2019.

GM expects the announced actions to annually contribute to $6 billion in cash savings by 2020, including $4.5 billion in cost reductions and $1.5 billion in lower capital expenditures. GM shares rose 2.2 percent to $36.72 in early trading.

Not allocating product doesn’t mean the plants will close, but it puts their future and the jobs of roughly 6,300 hourly and salaried factory employees -- 3,300 in the U.S. and 3,000 in Canada -- at risk heading into contract negotiations with the UAW in 2019 and Canadian union Unifor in 2020.

GM also announced it will close two unidentified assembly plants outside of North America by the end of next year and restructure its salaried workforce.

The salaried workforce restructuring includes cutting 15 percent of its 54,000 salaried employees in North America, including slashing global executives by 25 percent.

It was expected that GM, which announced the overhaul Monday, needed to address underutilization of its plants. The announcement comes ahead of negotiations with the UAW in 2019 and Unifor in 2020 is uncommon.

GM represents 1 million of the 3.2 million units of underutilized capacity in the U.S. through October, according to the Center for Automotive Research.

The manufacturing overhaul follows recent cost-cutting measures by GM such as offering buyouts to 18,000 salaried employees and exiting or restructuring unprofitable markets such as Europe and South Korea.

Oshawa currently has two assembly lines. The flex line produces the low-volume Cadillac XTS and Chevrolet Impala while the truck line produces the light- and heavy-duty Chevrolet Silverado and GMC Sierra pickups. It employs 1,542 employees, including 1,348 hourly union workers.

Detroit-Hamtramck currently builds the Chevrolet Volt, Chevrolet Impala, Buick LaCrosse, Cadillac CT6. U.S. sales of the Impala were down 13 percent through September.

Lordstown, which has dropped from three shifts to one in recent years, exclusively produces the Chevrolet Cruze. Sales of the compact car were down 27 percent through September, GM said.

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'Impatient' Barra reawakens spirit of crisis at GM

Michael Wayland, Automotive News  /  November 26, 2018

On December 2014, nearly a year into her tenure as CEO of General Motors, Mary Barra said GM basically does "one thing":

"We build cars, trucks and crossovers."

She has spent the years since then trying to defy that bland characterization, moving GM aggressively into emerging segments such as electrification and autonomous vehicles — costly technologies with unproven business models.

It's a sign of how much the industry has changed, and how much that first year affected Barra, 56, Automotive News' 2018 Industry Leader of the Year. Weeks after shattering the industry's glass ceiling as the first woman to head a major car company, she became the public face of a crisis, a massive recall of GM small cars to fix an ignition switch with a deadly defect.

She was berated during congressional hearings in Washington and forced to confront a pattern of indecision, complacency and incompetence — laid bare in a 276-page report by outside investigators — at a company where she had spent her entire career.

Not only did she survive the ordeal, she used it as a catalyst to reshape the now-110-year-old automaker's infamously siloed operations and culture.

And as she approaches the five-year mark of her appointment as CEO, she's calling on those crisis-management skills and lessons again to help drive the company and its work force of 180,000-plus through its next transformation and further from the shadows of "old" GM.

Since that first year, Barra said this month at The New York Times' DealBook Conference, "I've become much more impatient about how we do things and how quickly we do things."

The impatience shows. Under Barra and her executive team, GM has moved decisively to exit unprofitable or slow-moving markets and has redirected those resources to emerging technologies and alternative revenue opportunities, with a more inspiring call to action: "Zero crashes. Zero emissions. Zero congestion."

GM is considered a fast mover in future technologies such as electrified and autonomous vehicles, and in using its stockpile of consumer and vehicle data to generate new revenue.

Yet the shadow of old GM, and its ignominious federally backed bankruptcy, has proved tough to outrun. Despite GM outperforming Wall Street's expectations for 14 consecutive quarters, its stock price has traded near or below the 2010 initial public offering price of $33 through much of Barra's tenure.

And so, Barra drives forward with even more urgency, determined to get ahead of the inevitable cyclical downturn and any other headwinds that might impede its progress.

"Right now, she is doing the right thing by right-sizing the company before a possible recession hits," said Michelle Krebs, executive analyst at Autotrader. "She's also done well in terms of preparing the company for the future."

‘One day closer'

No one, not even Barra, pretends to know when the next downturn will occur.

"All I know is we're one day closer," she said Nov. 1.

That unknown and the demands of leadership in electrification and automation have led GM to continually fine-tune operations, including exiting Europe and working to cut costs. Hours after posting blockbuster third-quarter profits, GM last month offered voluntary buyouts to roughly 18,000 salaried employees in North America and most global executives with at least 12 years of experience.

"Today, our structural costs are not aligned with the market realities nor the transformational priorities ahead," she said in a letter to employees at the time. "We must take significant actions now to address this while our company and the economy are strong."

Those cuts, which could include layoffs if not enough employees take the buyouts, are in addition to GM achieving at least $6.5 billion in cost efficiencies from 2015 to 2018.

Wall Street has lightly cheered such moves, but GM still has a tough sales job to sustain that interest and patience as the emerging businesses take time to, well, emerge.

For example, GM is widely considered a leader in autonomous vehicle development, alongside Waymo, and was expected to begin testing its autonomous vehicles this year in New York. But testing hasn't started, and Barra last month said GM is focusing its efforts in San Francisco.

Reuters also reported last month that unexpected technical challenges — including the difficulty that GM's Cruise cars have identifying whether objects are in motion — could make GM's plan to launch a driverless ride-hailing fleet on U.S. roadways next year "highly unlikely."

She and other executives have consistently said the plans remain on track for 2019, but they stress that safety will be the determining factor for when the robotaxi service launches.

"She set a course for the company, and that is so important to have a plan and have everyone marching toward that plan," Krebs said. "The big challenge is when is the payoff? They're investing in areas that no one knows when the payoff will occur."

A similar test of patience awaits GM's plan for electric vehicles, including a new EV platform in 2021 that GM says will make the vehicles profitable.

The platform is part of the automaker's target to launch 20 new battery- or hydrogen fuel cell-powered EVs globally by 2023. So far, it has announced two for China, where the government is heavily supporting the vehicles. In the U.S., meanwhile, GM is close to maxing out on federal tax incentives for purchases of its EVs.

Barra was unavailable for an interview.

‘Hard choices'

Heading into 2019, declining sales in the U.S. and China and excess production capacity will pose more near-term tests of GM's resilience and Barra's resolve. GM faces what are expected to be contentious contract negotiations with the UAW and could look to the union for help in cutting costs on the plant floors — something the UAW hasn't always been so open to considering.

GM has the poorest plant utilization rates in the U.S. Its assembly plants represented about 1 million of the 3.2 million units of underutilized capacity through October, according to Kristin Dziczek, vice president of industry, labor and economics at the Center for Automotive Research. "They've got problems, big problems," she said. "They've got some hard choices to make, regardless of what expectations are for the membership."

Barra last month used GM's surprisingly strong third-quarter earnings as evidence that the company is up to the challenges. But she acknowledges there's more to be done to prove she's not running the same old GM that talks fast but moves slowly.

"A lot of people lost confidence in us," Barra said during a conference last month in Detroit. "So we have to work doubly hard to earn that respect and trust back, that we can be a company that not only innovates and grows, but leads."


Barra's 5-year track record

Notable events since Mary Barra became CEO of GM in January 2014:

  • 2014: Weeks after Barra assumes CEO post, GM embarks on ignition switch recall, triggering a crisis involving millions of vehicles and dozens of deaths. An independent report finds patterns of failures at GM; company implements compensation program for victims and begins overhaul of engineering department to improve quality and safety

  • 2015: GM largely exits Russian market and announces it will cease production of GM-branded cars in Indonesia, while concentrating on other emerging markets with a $5 billion investment in a new family of global vehicles

  • 2016: Barra is elected chairman of GM. The company begins an aggressive expansion into mobility with the acquisition of Cruise Automation, launch of Maven mobility brand and $500 million investment in Lyft Inc.

  • 2017: GM sells Opel/Vauxhall and GM Financial's European operations to PSA Group and restructures international operations; sells South Africa operations to Isuzu; ends sales in India; and ends production in Australia. GM announces plans to deploy self-driving vehicles into a ride-hailing fleet in 2019 and release 20 new all-electric vehicles globally by 2023.

  • 2018: GM Korea restructures with expectations of returning to profitability by 2019. SoftBank Vision Fund announces plan to invest $2.25 billion in GM Cruise, followed by $2.75 billion from Honda over the next 12 years

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Canada blindsided by GM Oshawa closure, workers walk out in protest

Allison Martell & Allison Lampert, Reuters  /  November 26, 2018

Hundreds of workers walked off the job and Canadian Prime Minister Justin Trudeau expressed “deep disappointment” after General Motors Co on Monday announced the closure of its Oshawa plant, catching governments and employees by surprise.

Canadian officials, briefed on the plan on Sunday, promised to aid those affected by the December 2019 closure, part of a wider restructuring plan that will cut production of slow-selling models and slash its North American workforce.

GM said the closure affects 2,973 assembly line jobs in the Ontario city, out of a Canadian workforce of 8,150.

“I spoke with GM (Chief Executive) Mary Barra to express my deep disappointment in the closure,” Trudeau tweeted on Monday. “We’ll do everything we can to help the families affected by this news get back on their feet.”

GM told the provincial government nothing could be done to keep the plant about 37 miles (60 km) east of Toronto open, Ontario Premier Doug Ford said.

“The first thing I said is, ‘What can we do? What do we have to do?’” said Ford, referring to a Sunday call with GM Canada’s President Travis Hester. “He said the ship has already left the dock.”

Ford later added: “We’re disappointed in GM. We supported GM years ago when they were in trouble.”

The Canadian and Ontario governments joined the United States in supporting GM with billions of dollars in aid after the automaker filed for bankruptcy protection during the 2009 global economic downturn.

The closure dealt a blow to an industry which has struggled to attract new investment in recent years. However, the new trade agreement struck by the United States, Mexico and Canada in September leaves significant room for Canadian plants to grow exports duty-free. USMCA, as the new NAFTA is called, is expected to be formally signed this week.

Canadian Innovation Minister Navdeep Bains said that GM “only made this official announcement to us yesterday.”

A former Canadian auto executive said it would be difficult for Canadian government officials to entice GM to keep the plant open.

“The government has done everything they could to keep them afloat. Obviously incentives by themselves don’t keep a car plant open,” said the executive, speaking on condition of anonymity because of the sensitivity of the matter. “It’s all about getting a product mandate,” or a commitment to produce a specific vehicle.

Members of Unifor, which represents GM assembly workers, walked out of the Oshawa plant “in protest,” ahead of a meeting with GM about the announcement, a union spokeswoman said.

“I’ve moved my family twice for this company and they do this to me. It’s terrible,” a tearful worker told CBC TV as he left the plant.

A 2015 study commissioned by the union estimated that shutting the plant would eliminate 4,100 direct jobs and reduce Ontario’s gross domestic product by C$1.1 billion.

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'It makes no sense' to shutter GM Oshawa, Unifor says

Automotive News  /  November 26, 2018

Unifor’s auto director says “it makes no sense” for General Motors to close its Oshawa Assembly Plant, northeast of Toronto.

The automaker has informed the union, which represents about 2,500 workers the plant, that there will be no product allocation to Oshawa plant after 2019. 

“We will work to determine what this really means,” Unifor’s Dino Chiodo told Automotive News Canada.

The plant currently builds the 2019 outgoing models of the light- and heavy-duty GMC Sierra and Chevrolet Silverado on a consolidated line while building the Cadillac XTS and Chevy Impala on a flex line.

The union will have the opportunity to sit down with GM executives Monday and possibly Tuesday, too, Chiodo said.  

GM is scheduled to make a significant announcement today regarding its global operations. It is expected to include the future of the Oshawa plant. The Globe and Mail late Sunday reported that GM has told top government officials in Ontario and Canada that the plant will be closed.

Chiodo believes the plant deserves to stay open because of its production performance over the years.

“The Oshawa plant is the most efficient, has had one of the best vehicle launches, has set benchmarks and standards on how to do it the right way,” Chiodo said. “It’s fully flexible, one of the few that can build both cars and trucks. It makes no sense to me that they would shut it down.”

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GM plans to discontinue the Chevrolet Impala, Cadillac XTS and CT6 (continued in China),  and Buick LaCrosse.

Surprisingly, GM will also discontinue the widely acclaimed Chevrolet Volt hybrid, and impressive Cruze compact sedan, rather than evolve these two models forward.

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I suspect the Cruze/Volt platform went to Peugeot with the Euro car biz, so those models have been on borrowed time. For years the Impala has suffered from being confused with the too similar Malibu, but if one has to die, the Impala with it's more upmarket image and heritage should be saved. That leaves GM with the Korean designed subcompacts and Bolt electics, the forgettable Malibu, the Isuzu designed compact pickups, the domestic 'cept for the Isuzu diesel V8 pickups, the Isuzu cabovers, the Camaro, legacy full size van, Nissan minivan, and the the Vette... 

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GM Takes Painful Measures to Avoid Another Near-Death Experience

David Welch & John Lippert, Bloomberg  /  November 27, 2018

What’s good for America hasn’t been so good for General Motors.

With gasoline prices falling and new electric cars beckoning, consumers are abandoning the conventional sedans that have defined the U.S. auto industry since the days of Henry Ford. Scarred by a financial crisis a decade ago, GM is moving unusually fast this time to reckon with the new reality, and Wall Street is applauding the move.

News Monday that GM would cut more than 14,000 jobs and, like Ford, pull back from conventional sedans thrilled investors, sending the shares up 4.8 percent and lifting other automaker stocks. The largest U.S. automaker is cutting seven plants and eliminating unpopular sedan models during a time when auto sales remain brisk, a sign that Chief Executive Officer Mary Barra is making changes now before an economic downturn forces her hand.

“In the past, GM management didn’t react as quickly -- they went through a sort of slow-speed crash that culminated in 2009 bankruptcy, and that’s a lesson that was hard-learned,” said Maryann Keller, an independent auto analyst in Stamford , Connecticut , who’s written several books about the company. “This is a cyclical, highly competitive, slow-growing business. You can’t continue producing unprofitable vehicles, especially when you’re making crazy investments in mobility service business with no potential for profit in the foreseeable future.”

Barra, a GM lifer, is dealing with two challenges. The first is of the present: American consumers are snubbing sedans like never before. The second concerns the future: Doubts abound that GM and other century-old industrial giants will be able to cope with the rise of electric cars and self-driving technology, especially with the likes of Tesla and tech giants such as Google’s Waymo perceived to be on the forefront.

GM’s broad restructuring, just weeks removed from reporting surprisingly strong profit, is a move reminiscent of what Ford did in 2006, two years before a worldwide credit crunch sent GM and Chrysler into Chapter 11.

While the U.S. auto market is past its peak reached in 2016, automakers are still on track to sell more than 17 million vehicles for a fourth consecutive year. The longest such run in the past was a two-year stretch that ended in 2001. In the six years that followed, sales stayed steady above 16 million, and Ford restructured toward the end of that stretch.

SUV Shift

This time around, wrenching change in buyer behavior could cost GM car plants in Michigan, Ohio and Ontario their future.

Sedans have gone from more than half of U.S. sales as recently as 2012 to just about 30 percent of the market this year. Sport utility vehicles and pickup trucks are more dominant than ever in showrooms, spurring GM to join Ford and Fiat Chrysler Automobiles NV to kill off many of the passenger cars in its lineup.

On top of this, Barra is plowing money into GM Cruise LLC -- the unit developing the automaker’s self-driving technology -- and is developing 20 fully electric cars to sell globally starting in 2023. Both of those pursuits are going to require tens of billions of dollars in spending over the next decade to keep up with rivals including Volkswagen AG.

“This industry is changing very rapidly,” Barra told reporters Monday in Detroit. “We want to make sure we’re well-positioned. We think it’s appropriate to do it while company is strong and the economy is strong.”

Political Blowback

Barra, 56, is convinced enough of the need for GM to slim down that she was willing to risk immediate political backlash from U.S. President Donald Trump and Canadian Prime Minister Justin Trudeau.

Trump told reporters he spoke to Barra and reminded her “this country has done a lot for General Motors.” He said there’s a “lot of pressure on them” and that he’s pushing for GM to bring new products to Ohio, whose Lordstown plant is one of five scheduled to close in North America.

During the financial crisis a decade ago, the U.S. Treasury Department kept GM alive by investing $49.5 billion in both equity and debt, giving the automaker the only financing available to get through bankruptcy. After GM went public and paid off the debt portion of the investment, taxpayers lost more than $10 billion in total. GM emerged from bankruptcy in 2009.

Four factories in the U.S. and one in Canada could be shuttered by the end of 2019 if the automaker and its unions don’t come up with an agreement to allocate more work to those facilities. Another two will close outside North America. The Detroit-based company’s shares surged on the plan.

“GM has to make sure that the crisis doesn’t happen again,” said Ron Harbour, senior partner with consulting firm Oliver Wyman. “They want to make sure they are out front.”

Job, Sedan Cuts

The plan to lop 15 percent of salaried workers follows a round of buyouts that GM offered to longer-tenured workforce at the end of October. GM said the cuts will boost automotive free cash flow by $6 billion by the end of 2020. The company flagged one-time charges of up to $3.8 billion for the fourth quarter of this year and first quarter of 2019.

GM plans to jettison the Buick LaCrosse, Chevrolet Impala and Cadillac CT6 sedans next year. The Chevy Volt plug-in hybrid will also be dropped along with the Chevy Cruze compact, which will be made in Mexico for other markets.

Too many of GM’s factories are operating on a single shift to build models that have fallen out of favor, leading its plants to run about 1 million vehicles short of their full capacity, said Kristin Dziczek, vice president of industry, labor and economics for the Center for Automotive Research in Ann Arbor, Michigan.

“Most of the one-shift plants are sedan plants,” Dziczek said. “That’s a real mismatch in a market where 40 percent of the vehicles sold are crossover utilities.”

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It's been reported that GM is in crisis mode over their new 2019 pickup. With the new 2019 Dodge (Ram) pickup now having the best interior in the segment, Chevrolet has been pushed to third place. Those who answer to Mary Barra about that are sweating.

Ford has the highest sales. However, once the new heavy duty Dodge range enters the picture for 2020, I think we'll all be able to say that Dodge has the best line-up.

It will be interesting to see if Dodge's heavy duty range gets a tilt hood, or hear that they changed their 2020 product late in the design process, adding a tilt hood after the Silverado/CV debut.

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There's an incredible disconnect here between GM and Ford's business plan and reality... The only way to build an electric car at a near competitive price is to make it a subcompact, otherwise the expensive battery pack needed becomes too big and expensive to be viable in the market. The market wants bigger SUVs and huge pickups, and they're not going to give them up for a subcompact like the Bolt!

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I think both the 2020 Ram HD and the upcoming GM heavy duty pickups and medium duty chassis-cabs are going to significantly eat into Ford's market share.  I also noted in the GM news that one of the plants slated for closure is the Baltimore transmission plant.  That plant was the part of Allison that GM kept, and for the last several years has manufactured the 1000 series transmission for GM trucks along with some of the 2000 series transmissions for other OEM's.  I wonder if production of those transmissions will transfer to another GM plant or move to an Allison facility. 

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4 hours ago, RoadwayR said:

I think both the 2020 Ram HD and the upcoming GM heavy duty pickups and medium duty chassis-cabs are going to significantly eat into Ford's market share.  I also noted in the GM news that one of the plants slated for closure is the Baltimore transmission plant.  That plant was the part of Allison that GM kept, and for the last several years has manufactured the 1000 series transmission for GM trucks along with some of the 2000 series transmissions for other OEM's.  I wonder if production of those transmissions will transfer to another GM plant or move to an Allison facility. 

Great points.

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Reuters  /  November 27, 2018

White House economic adviser Larry Kudlow on Tuesday indicated President Donald Trump may announce specific ramifications for General Motors's plans to cut thousands of jobs and potentially close some of its North America plants.

"I'm going to leave that to him," Kudlow said when asked if Trump has consequences in mind for the major auto maker. "You may find additional announcements coming on that topic."


“Very disappointed with General Motors and their CEO, Mary Barra, for closing plants in Ohio, Michigan and Maryland,” said Trump. “Nothing being closed in Mexico & China. The U.S. saved General Motors, and this is the THANKS we get!”



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7 hours ago, RoadwayR said:

I think both the 2020 Ram HD and the upcoming GM heavy duty pickups and medium duty chassis-cabs are going to significantly eat into Ford's market share.  I also noted in the GM news that one of the plants slated for closure is the Baltimore transmission plant.  That plant was the part of Allison that GM kept, and for the last several years has manufactured the 1000 series transmission for GM trucks along with some of the 2000 series transmissions for other OEM's.  I wonder if production of those transmissions will transfer to another GM plant or move to an Allison facility. 

No doubt with the new Ram and the GM/Navistar class 4,5 and 6 coming on stream Ford's market share can only go one way.  The key is by how much.  And what are they doing to keep as much as they can.

As far as engine choices, the GM/Navistars are hurt by the lack of a gas option.  Now I know your sources have said a gas option is right around the corner so Ford's gasoline advantage will be short lived?-Possibly.  As for the diesel options, I think it is safe to say the 6.7 Power Stroke has proven it is a far cry from the 6.0/6.4 fiasco.  So as I see that-its a draw with GM/Navistar-if someone does not like V-8 diesels, Ford-GM/Navistar are i n the same boat and Ram has one leg up.

Regarding the tilt hood the GM/Navistar will have, no doubt it has to be better than the Ford/Ram Alligator hoods from a serviceability perspective.  No clue what Ram will do but as for Ford, while I keep thinking IF they are going to stay in class 6,7 and as 450 and 550 chassis cabs are now built with the 650 and 750 at the Avon Lake plant perhaps there is a case that Ford will come out with a new cab to serve class 4-7.  And by the way, as the 650 with its tilt hood is available in a low pro version with 19.5 wheels, what does it take to modify that hood for 450-550?

In any case looks like a good horse race is shaping up. And the GM Isuzu cab overs will make the fight even tougher.

One thing I don't understand, for years we heard..."GMC, the truck people from General Motors".  And what does GM do?  Kick the "truck people" in the ass and give the new trucks to the Chevy dealers. Yes I know there are more Chevy dealers, but it seems they are missing the boat on that one-internal politics is my bet.


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GMC is indeed making a killing with each Denali-spec'd light truck. And that's great for the division.

However, I personally feel that GMC is also GM's commercial truck brand.

Not to mention how narrow GMC's portfolio is, and how overextended Chevrolet's is.....at least when they used to build cars.

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45 minutes ago, RoadwayR said:

GMC division is making FAR more money building expensive light trucks and SUV's than they ever did with commercial trucks, that's why.  Ain't no boat to miss. 

Ah -if you were a GMC dealer you would sing that same tune?  I doubt it.  No question they make a lot of money on high ATP pick ups-its but one phase of the business.  Again...The Truck People from General Motors"..Not anymore IMO.

I would be absolutely outraged over this if I was a long time GMC dealer, went through the bail out of class 4-8, yet stuck with them and now this.  We have at least two in this area-did not sell B-O-P along with the trucks-just trucks. and now they are missing the boat.

Again-my opinion.

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I was trying to think where/when I saw the last stand-alone commercial truck GMC dealer in Southern California.  The was the old 'factory' store that was once near downtown that moved to Santa Fe Springs, but they closed around 1996.  They was a small one in Van Nuys, but they went to selling Isuzu after GM quit medium duty.  As far as the 'big' commercial truck dealers are/were concerned, seems to me that most that were selling GMC's also had one or two other brands (Freightliner, ect.).  Are any of the 8 remaining GMC-only dealers exclusively commercial truck?

No question a lot of GM dealers got burned when GM exited the commercial medium duty market.  Just like Sterling, UD, Iveco, Dodge, Brockway, and Diamond Reo dealers.  A few  GMC commercial truck dealers lost the franchises when GM heavy truck merged with Volvo/White.  And some Ford dealers didn't get Sterling franchises either.  

BTW- Somewhere I have a copy of an old 'GMC News' issue that extols the virtues of selling pickups and other light trucks for private use to GMC dealers.  It's dated 1966.........


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