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GM Axes New Suburban, Tahoe, Escalade Platform
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Enlarge PhotoIn further signs of the times, the New York Times reports that General Motors executives didn't give a second thought to axing the planned $2 billion development of a brand-new platform, the now stillborn CXX. It was to underpin next-gen Suburbans, Tahoes, Escalades, and Yukons, "brawny tanks that had defined the auto giant’s image for more than 15 years," said the Times.
GM also announced the impending closure of its Janesville, Wisconsin, production plant "where the big S.U.V. was born in the early 1990s." That plant currently produces the automaker's current full-size sport utility vehicles. GM will also be closing the Moraine, Ohio, plant that builds the GMT360 mid-size SUVs on December 23.
Promising to slash an additional $10 billion in costs (while burning through an estimated $1 billion per month in operating costs), the lumbering giant must act fast and think quick if it is to survive a down market and rapidly changing automotive tastes. A $25 billion low-interest Federal loan guarantee has already been promised domestic vehicle manufacturers, and some are pressing for even more assistance. Though gas prices have recently dipped to levels that might seem to suggest a resurgence of these distinctly American vehicles, it appears the die has been cast, and the market is shifting for good. Admits Robert Lutz, GM vice chairman and head of product development (not to mention champion of the Pontiac Solstice and upcoming 2011 Chevrolet Volt): "Reality had set in.”--Colin Mathews
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GM also announced the impending closure of its Janesville, Wisconsin, production plant "where the big S.U.V. was born in the early 1990s." That plant currently produces the automaker's current full-size sport utility vehicles. GM will also be closing the Moraine, Ohio, plant that builds the GMT360 mid-size SUVs on December 23.
Promising to slash an additional $10 billion in costs (while burning through an estimated $1 billion per month in operating costs), the lumbering giant must act fast and think quick if it is to survive a down market and rapidly changing automotive tastes. A $25 billion low-interest Federal loan guarantee has already been promised domestic vehicle manufacturers, and some are pressing for even more assistance. Though gas prices have recently dipped to levels that might seem to suggest a resurgence of these distinctly American vehicles, it appears the die has been cast, and the market is shifting for good. Admits Robert Lutz, GM vice chairman and head of product development (not to mention champion of the Pontiac Solstice and upcoming 2011 Chevrolet Volt): "Reality had set in.”--Colin Mathews
---
Make sure you check out our partner sites dedicated to focused news, reviews and more for Ford, Chevrolet, Toyota, Honda, and the Toyota Prius.
Responses (9 total)
By Carolynne | Posted: Nov 3rd 2008, 01:41:51 AM
Can't wait to buy my used Cadillac SUV. That's what brought me to this site in the first place.
ED - Eddie baby - you're not real, real bright are ya? Do ya get your way at the local bar by manhandling the other patrons?
At any rate, you might want to do a little Research on what brought about the exorbitant rise in gasoline prices. I'll give you a hint, though - it wasn't the vehicles. It wasn't the oil-producing countries either. In fact, Exxon Mobile just posted a record Profit (hint hint).
Americans love Big, lil' Eddie. Well, except when it comes to jerks. LOL
By Ed | Posted: Oct 28th 2008, 09:42:58 PM
And BTW, my very low opinion of these Automotive Atrocities big SUVs are NOT just MY opinions, but the BEST and the BRIGHTEST Auto Journalists and ENGINEERS in both the US and overseas fully agree with me on that.
By Ed | Posted: Oct 28th 2008, 09:41:06 PM
Marty:
I would not count on it if I were you.
BTW, see what I got on your "Human MPG" test.
And tell those undemocratic clowns that ask you to CENSOR me that THIS IS AMERICA, NOT NORTH EFFING KOREA or CUBA, where they can go if they want to silence people's FREE MINDS AND OPINIONS.
By Reece | Posted: Oct 28th 2008, 09:39:59 PM
Split a blood vessel more like bl;ew his whole head off. You ok Ed? Need some padded walls?
Markets tend to go in cycles, in five years with new tech and hopefully alternate fuels you will probably see a resurection of these things as they are a part of the psyche of many (and no not all) Americans. Good idea though to put off until they can try and turn the ship around, though as it is practically beached not sure anything they will do will turn it around.
By Marty Padgett | Posted: Oct 28th 2008, 09:28:27 PM
I was waiting to see if he split a blood vessel first.
By Glen | Posted: Oct 28th 2008, 09:07:31 PM
Dear Moderator-- Will you please take a pen to Ed's second response. The language is highly accusitory for a response to a reasonable comment. Such "yelling" is neither needed or helpful in this case.
By ed | Posted: Oct 28th 2008, 08:33:39 PM
Are you talking to me?
if yes, MAKE ME, impudent ignoramus!
I have every RIGHT as a FREE CITIZEN to expre3ss my opinion and I will SAY AGAIN that the STUPID UGLY VEHICLEs were AUTOMOTIVE ATROCITIES that only DAMNED FOOLS paid an arm and a leg to buy, and now it serves them right.
These idiots made gas $4.50 for ALL the rest of us, made driving hazardous for NORMAL, EFFICIENT Vehicles. And SELDOM used these POS vehicles AS INTENDED, ie to go OFF THE EFFING ROAD< but instead to transport kids in suburbs to silly games and even sillier MALLS.
The SUV was used as a MINIVAN, or, worse, to COMMUTE 100 miles a day ALONE in the stupid thing.
so, I repeat, whether you like it or not, JAY,
GOOD RIDDANCE TO BAD RUBBISH,
and there is plenty more where this came from , Automotive illiterates, so do not tempt me!
By jay | Posted: Oct 28th 2008, 07:36:37 PM
Funny - Every carmaker but Honday and the Koreans has a tank of a vehicle that Americans bought in droves - that's how free markets work - we demand and a company supplies - and look - we're demanding something different now and the companies are changing focus to supply.
Get off you accusatory perch and ride a bike, I don't trust your judgement behind the wheel!
By Ed | Posted: Oct 28th 2008, 07:08:43 PM
Long Overdue.
and Good Riddance to Bad Rubbish.
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