More than 1,900 GMC and Buick dealerships are getting a face-lift by 2013, but it’s about more than just a look. It’s also about a new atmosphere that enhances the customer experience.

“Luxury shoppers today expect a certain level of treatment when purchasing a vehicle,” said Brian Sweeney, U.S. vice president of Buick & GMC sales and service. “Those expectations are now being met at many Buick and GMC stores around the country.”

The image enhancement program, as it’s called, will boost the stores’ image by adding a new exterior façade with updated signage, a bright and airy showroom featuring a greeting station and lounge with free Wi-Fi. You may even find a café or a salon in a few locations — pretty fancy stuff.

So why did GM feel the need for an enhancement program? It’s because Buick and GMC attract more than 40 percent of its buyers from brands outside General Motors. So far, about 170 dealers underwent a face-lift through the image enhancement program. Right now, 1,900 Buick and GMC dealers are involved, but by the end of 2013, that number will grow to more than 2,000 across the U.S.

“These aren’t just new faces on old buildings. We’re creating the complete and convenient dealership experience that attracts these buyers,” Sweeny said.

GM has a long road ahead of them to rebuild consumer confidence in the Chevrolet Volt after months of negative press surrounding the fire risk of their extended-range electric vehicle.

The advertising campaign will focus on just how safe the Volt is and will include full-page ads in 19 different US newspapers including The New York Times, along with television ads. The launch of the ad campaign coincides with GM CEO Alan Akerson testifying to Congress that a recent Volt fire that took place after a NHTSA crash test would never occur in real-world situations.

NHTSA said late last week after its two-month investigation that the Volt does not pose any more of a fire risk than any other conventional vehicle. Unfortunately, damage clearly has been done as GM North America President Mark Reuss admitted that Volt sales took a huge hit in January. GM will be restarting production on the Volt in February at its Detroit Hamtramck assembly plant and expects to build it with “very reasonable” volume. Their immediate focus however, is to rebuild the reputation surrounding the Chevy Volt as quickly as possible.

Check out GM’s first ad “Morning in Hamtramck” after the break.

Continue Reading…

Beginning with the 2012 Chevrolet Sonic, Chevrolet plans to apply eco-impact labels on all of its brand-new vehicles by 2013. As the first of any automaker to present its cars in this manner, Chevrolet’s Ecologic label allows customers to assess environmental impacts associated with any particular Chevrolet vehicle in all stages of its product life.

First, “Before the Road” presents the environmental impact of the vehicle’s manufacturing and assembly. Next, “On the Road” notes fuel-saving features such as cylinder shut-off systems, aerodynamics, and low-resistance tires. Finally, “After the Road” reveals how much of the vehicle can be recycled at the end of its useful life.

With these Ecologic labels, GM makes itself more attractive to environmentally conscious consumers. According to GM North America President Mark Reuss, “Customers want companies to be honest and transparent about their environmental efforts and sustainability goals, and rightly so. Putting an Ecologic label on each Chevrolet is just one more way for us to share our environmental progress.”

The numbers and data on the Ecologic labels are determined by independent, third-party sustainability agency Two Tomorrows, a company that provides environmental audit and assurance services to companies.

[Source: Forbes]

In North America, Buick is trying hard to shed its blue-rinse, AARP image. In China, however, the brand’s status is very much revered. In fact, to own a Buick in many aspects, is to know that you’ve arrived.

Perhaps its not surprising then that among the best selling cars in China, Buicks rank right up there. In fact, last year, the best selling model of all wore a Tri-Shield logo, the Buick Excelle, sold stateside as the Verano.

With sales of some 253,514 units (by contrast the entire US Buick lineup sold 177,633 cars and SUVs last year), it clearly indicates that GM’s “premium” division is absolutely going gangbusters in the world’s largest auto market.

Other “global” cars that fared well include the Chevy Cruze (which was the third best selling car in China in 2011) and the Ford Focus, which ranked number 10.

2010′s best seller, the Chinese BYD F3, saw demand plummet last year, ranking as 11th on the best seller list. Recently, the Chinese government passed legislation that aims to restrict the sale of some imported cars in an effort to spur demand for home grown vehicles, which so far have been largely overlooked by Chinese buyers, especially in the premium and luxury segments.

Volkswagen, which was among the longest established and largest  presence among Western automakers in China, had no fewer than four vehicles on the best seller list last year, the Bora, Jetta, Lavida and Santana.

[Source: Automotive News]

In 1989, Rick Moranis played a nerdy dad who accidentally downsized his children to an insect scale in Honey, I Shrunk The Kids. He probably wouldn’t have believed it if someone told him that 23 years later automakers would be doing the same thing to their cars.

For those of us living in the North American 2012, there are increasingly large swarms of little cars buzzing around the streets. The din their tiny engines makes isn’t overwhelming yet, but just wait.

General Motors’ German subsidiary, Opel, is planning to release a micro car they’re calling the Allegra (or, tentatively, Junior). No, not the allergy medication, though the thing is small enough to be mistaken for a bee in ragweed season, at least compared to the standard American palate. When the Allegra hits Europe in 2013 it will probably stand to compete against cars like the Volkswagen Up, MINI Cooper and Fiat 500.

In fact, it’s a solid 3.3 feet longer than the Mercedes-Benz spawned Smart ForTwo, which looks like a cross between a golf cart and an alien space pod. Our spies caught the Opel Allegra on camera during winter testing, but what’s the big deal? Opel cars aren’t sold in North America, right?

Well, not necessarily. Rumors are floating around that the not-so-smallish micro car might make it overseas rebadged as a Buick. (Why not? It’s not the first Buick to come from Opel). And with the recent launch of the Fiat 500 and the Scion iQ on our shores, the market for mini-cars is growing.

Of course, the name will likely change to keep big pharma happy.

GALLERY: Opel Allegra/Junion Spy Photos

One of the stand-out cars at this year’s North American International Auto Show, the Cadillac ATS looks extremely promising. In the 4th installment of Cadillac’s “The Journey” series, we witness GM’s commitment behind this product, from conception, to development, to its debut at the Detroit Auto Show.

Tuned during Nurburgring shakedown testing, the ATS aims to take on the best of what Germany has to offer– the luxury compact sedan segment. Weighing less than 3,400 lbs, the ATS is expected to carry 100 lbs less than either an Audi A4 or Mercedes-Benz C-Class. What’s more, the ATS will also possess an all-original chassis attaining 50/50 weight distribution, must like the segment leading BMW 3-series. But most of all, the party piece of the ATS’ handling dynamics will be its magnetic ride shocks– a first in this segment.

The Cadillac will come with as many engine trim options as its German rivals, offering a 2.5-liter 4-cylinder base power plant producing 200-hp, a 270-hp turbocharged 2.0-liter 4-cylinder and a 318-hp 3.6-liter V6. Expect a diesel engine offering later in the ATS lifecycle as well.

A lot rests upon the ATS as its success will draw implications to Cadillac’s future in the global market. GM North America President Mark Reuss is confident, boldly introducing the ATS at the Detroit Auto Show as, “this is the car to finally challenge the German cars at their own game and win.”

GALLERY: 2013 Cadillac ATS

Watch the 4th video of “The Journey” series below and look out for an appearance by AutoGuide’s very own Editor-in-Chief Colum Wood!

Continue Reading…

At present, save from slight trim and equipment (such as the Denali trim package shown above) there really isn’t much to differentiate the GMC Sierra from it’s Chevy Silverado counterpart. However, that’s set to change.

During an interview in Detroit, Mark Reuss, GM’s North American President said that for the next generation of GM full-size pickups, due for launch as 2014 models, the plan is to move the Sierra more upmarket with a greater list of standard equipment, more distinctive sheetmetal and corresponding higher sticker prices; a similar strategy has so far proved quite successful for GMC’s line of SUVs.

Such a move finally sweeps away the last vestiges of badge-engineering at America’s biggest automaker, something the “old” General Motors was notoriously known for.

“I think you will see equipment and models attacked very differently,” Reuss declared. “If we are going to carry two brands, we are going to make them pay their way.”

[Source: Autoweek]

With the craze for new smart phone apps continuing unabated, Chevrolet has jumped in with both feet releasing one that ties in with this year’s Superbowl.

Dubbed the Game Time App, it allows users of smart phones and tablets to play trivia related to the game, Tweet each other and participate in polls or contests while watching the Superbowl; with the chance to win prizes from Chevrolet and other game sponsors such as Bridgestone, Motorola, the NFL, Papa John’s Pizza and Sirius XM satellite radio. Among the prizes up for grabs are no fewer than 20 Chevrolet vehicles.

According to GM’s marketing chief Joel Ewanick, the Chevy Game Tim app, “is the first time any company has attempted such a large-scale app, which will enhance the game watching experience and help them engage in the online conversation about the Super Bowl.”

Chances to win a prize, begin the moment a viewer downloads the app to their smart phone or tablet. Upon doing so, each player receives a unique license plate number. If their particular plate appears on a Chevy commercial during the game, or online, they win a new vehicle.

The Game Time App is just one of several Superbowl initiatives being put together by GM’s Bowtie brand; others include game day live stream coverage with advertiser exclusivity on NBCSports.com, teaming up with the NFL and Twitter on the former’s NFL Huddle Site and Twitter’ s “Road to the #Superbowl,” plus automotive exclusivity for the branded USA Today Facebook Superbowl Ad Meter and additional interactivity via Chevy’s own social media channels.

“With these initiatives, the traditional ads on the Super Bowl broadcast and additional initiatives we will announce soon, we expect more than 1.5 billion impressions of our message on game day and beyond,” declared Ewanick.

To download the app, visit the Chevy Game Time site here

Earlier this month a new reports noted that Chevrolet Volt sales were more successful in its first year than the sales numbers of the Toyota Prius hybrid on its first year back in 2000. What little optimism Chevrolet might have had on the Volt’s sales performance were quickly silenced when data revealed that Toyota dealt a quick knockout as its new Prius v wagon (also in its first year) out sold the Volt. And it did so with just 10 weeks on sale.

Official numbers for Chevrolet Volt’s 2011 sales are 7,671 units delivered. Toyota managed to sell 8,399 hybrid wagons, which did not arrive to U.S. dealerships and showrooms until the last week of October.

President of Toyota U.S. Sales Jim Lentz says, “Prius v is off to a great start.” For 2012, Toyota aims to deliver 220,000 Prii to U.S. customers, a 60 percent increase from 2011. Toyota’s offensive includes offerings of the original Prius, the Pruis v wagon, and the Prius c subcompact that arrives in March.

GALLERY: Toyota Prius v wagon

[Source: Bloomberg]

Read AutoGuide’s 2012 Toyota Prius v Review here and watch the video review below:

Continue Reading…

That’s according to a statement made by Don Chambers, chairman of the National Automobile Dealers’ Association (NADA) government relations committee.

Under the Obama administration, the plans to boost Corporate Average Fuel Economy standards to a fleet average of 54.5 miles per gallon by 2025 would require the adoption of advanced technologies for each vehicle, in order for automakers to achieve them. It would also mean that a portion of the costs in utilizing these technologies would end up being passed onto consumers, which could result in pricing a number of potential new vehicle buyers out of the market.

A study, which NADA plans to release in February will show that the costs associated with using new fuel saving technologies will be far in excess of government projections, by as much as 60 percent in fact, which means the sticker price of a new vehicle could increase by as much as $5,000.

Chambers’ comments were made during a hearing in Detroit, where members of the public are given the chance to voice their comments on the proposed CAFE regulations, before they’re finalized later this year. Two more hearings are scheduled for later this month, one on January 19 in Philadelphia, another on January 24 in San Francisco.

However, despite criticism from the NADA, the proposed CAFE regs have strong support, not only from environmental groups like the Sierra Club but also the United Auto Workers’ Union and no fewer than 13 automakers, including the Detroit triumvirate of Chrysler, Ford and General Motors.

In fact, many of those  who attended the Detroit hearing, believe that in the long run, tougher fuel economy standards will ultimately save motorists money thanks to fewer trips to the pumps, as well as reducing US dependence on foreign oil supplies.

However, German automakers Daimler AG and Volkswagen, which currently offer some of the most fuel-efficient vehicles on sale in the US, won’t back the CAFE proposal because there’s no incentive for diesel fueled vehicles.

Chambers says he supports the notion for more fuel efficient vehicles, but if it increases the price to the point that buyers can no longer obtain financing then “it makes no difference.”

Mitch Bainwol, who heads up the Alliance of Automobile Manufacturers believes that, at the end of the day, consumer buying habits will ultimately decide whether automakers can actually meet the proposed Federal fuel economy standards, he also proposes a thorough mid-term review of the CAFE policy to see if the rules actually relate to fuel price trends, technological advances and consumer buying habits.

“Looking into the future, consumer purchasing patterns will be the biggest unknown,” he said, though given CAFE’s patchy track record, perhaps looking at lessons from the past could help paint a clear picture of what’s to come.

[Source: Automotive News]

Ohio Governor John Kasich and Missouri Governor Jay Nixon made a visit to Detroit this week during the North American International Auto Show in an effort to bring U.S. automotive manufacturing to their respective states.

John Kasich said, “Contrary to popular opinion, the auto industry is getting stronger.” Ohio currently possesses the second-largest automotive industry work force in the nation behind neighboring Michigan. Home to Chrysler Group, Ford Motors and Gerneral Motors, Michigan also is the home to most of the world’s automotive parts suppliers. It is also in Michigan where government regulators are tasked with policy making in auto safety, emissions and fuel economy.

The chief engineer of Honda Research and Development in Detroit, Toshiaki Shimizu said, “People may have the wrong idea. Detroit is not becoming less important. It is more important. It remains the center of the automotive industry. We all come here because we must.”

Well aware of Michigan’s relevance, Ohio Governor John Kasich and Missouri Governor Jay Nixon spoke to a number of auto executives to reach agreements that prove to be mutually beneficial. Ford committed to $1 billion over a span of four years to upgrade Ohio’s driveline manufacturing plants. Honda will invest $400 million in improvements to its Ohio facilities to prepare for the production of its new Acura NSX hybrid sports car. Chrysler will add another 1,100 jobs and invest $1.7 billion into its Jeep plants of Toledo, Ohio. GM continues to build its Chevrolet Cruze in the Lordstown, Ohio, plant and will put in another $204,000 to upgrade its Toledo transmission plant.

On his first day in office, Missouri Governor Jay Nixon assembled the Automotive Jobs Task Force to attract investments to the state. In October, Ford announced that it will spend $1.1 billion  and add another 1,600 workers to assemble the Transit van alongside the F-150 Ford pickup trucks at the Kansas City, Missouri plant. GM will also invest $380 million into its Wentzville, Missouri plant, adding another 1,660 jobs as it expands assembly to include the Chevrolet Colorado and GMC Canyon.

Nixon explains, “we are here not just to talk to the manufacturers, but also to the suppliers. As the manufacturers invest and production rises, we are asking the suppliers what we can do to help them make the investments they need to make to support this.”

[Source: Detroit News]

The Epcot Center, Walt Disney World’s theme park dedicated to human achievement, has renewed its long-term business relationship with GM and are making plans to overhaul GM’s “Test Track” amusement ride this year to re-open as the new Chevrolet Design Center. GM will also be involved with Walt Disney Imagineering of the development of the ride.

The Test Track ride opened for the public in 1999, and was intended as a ride that would educate the public of how prototype vehicles undergo a series of tests for evaluation as the visitors ride in futuristic cars rolling along inside a “GM testing facility.” The new Design Center amusement ride at Epcot will remain similar to Test Track but replaces the testing of a generic prototype with a new concept that allows visitors to design and create their own vehicles as well. Guests use interactive design and styling workstations to make up their own vehicles, and then hop aboard to experience their thrilling creation on the twisting and turning ride-course. This design workstation area is very similar to the queue elements that Walt Disney World has added to attractions in order to make waiting in line a more engaging experience. After the ride, riders can view the score their prototype received out on track to determine how well it did.

According to George Aguel, Senior Vice President of Corporate Alliances for the Walt Disney Company, “We are excited to renew our long-term alliance with General Motors. This unique agreement extends collaboration between two of the most recognized brands in the world, a relationship that spans over 30 years. The re-imagined Test Track Presented by Chevrolet will continue our shared goal of providing unique and innovative experiences that engage Disney guests in exciting and interactive ways.”

The GM Global Chief Marketing Officer Joel Ewanick adds, “As a global brand, Chevrolet is looking forward to welcoming Guests from around the world to the re-imagined Test Track. The best of Disney and the best of Chevrolet will come together to bring Guests an immersive experience in the design process of the vehicles they see on the road today and will see in the future.”

An official opening date for the Chevrolet Design Center at Epcot has not been announced.

GALLERY: GM at Epcot

The Chevrolet Volt ended the last month of 2011 with its best month of sales to date. Having sold 1,529 Volts in December, GM ended its full year of Volt sales at a total of 7,671 units for 2011.

While this figure is significantly lower than its 10,000 sales goal, Fox News noted that the Volt’s sales performance for its first year easily trump the sales performance of the Toyota Prius on its first year, which only managed to sell 5,600 units all the way back in the year 2000. Today, the Prius is the best-selling hybrid in America and Toyota has sold 136,463 units of Prius models in 2011.

Going forward, Chevrolet aims to sell 45,000 Volts for 2012 and reach a round 60,000 total units worldwide. An ambitious goal, Chevrolet will have to sell a lot more Volts for every quarter of 2012 than the total number of Volts it sold for all of 2011.

[Source: Fox News]

According to Chris Lee, a spokesman for General Motors, the automaker is planning a 21-week suspension at its assembly plants that build full-size trucks and SUVs, namely Fort Wayne Indiana, Flint, Michigan,  Arlington, Texas and Silao, Mexico.

The reason, is to allow time for the General to re-tool these facilities so they can switch over to the updated 2013 full-size pickups, of which production is scheduled to begin during the latter half of next year. The idle is slated to begin at the Fort Wayne plant in January, with a seven week idle schedule planned through October, while the Flint and Arlington facilities will start their idling process in June, with seven and five weeks planned through November and December respectively. As for the Silao facility that produces full-size trucks and SUVs, GM has said it will announce that plant’s idling schedule in the new year.

In preparation for the changeover and to ensure adequate supply for dealers, GM has been ramping up production of current Chevy Silverado and GMC Sierra models, aiming for around 200,000 pickups inventory by the end of the year, giving dealers around 90 days supply of 2012 models.

[Source: The Detroit News]

Considering that many rumors have been circulating about the future of the Chevrolet Camaro, ranging from the fact that it might be axed, to it being based on a version of the same platform that will underpin the Cadillac ATS (which would essentially mean no V8 option, due to lack of space under the hood),  it now appears that through the end of the decade at least, the Camaro won’t likely change too much.

Yet, aside from information apparently gleaned from inside sources at the General that the next iteration of the Camaro will debut as a 2016 model and it will retain the 6.2-liter V8, not much else is currently being revealed.

However, given that tough Corporate Average Fuel Economy standards are looming and the fact that the current Camaro is rather heavy (more than 300 lbs heavier than the Mustang, which itself is  no bantam), don’t be surprised if the 2016 model goes on a diet; GM has stated previously that the next Camaro will be dimensionally smaller, which likely also means it will be significantly lighter too. Stay tuned for further developments.

[Source: GM Inside News]

For many of us, brake squeal is something that can really get on our nerves. You’re traveling along a busy thoroughfare, you hit the brake pedal and screech! Not only is it irritating, but also embarrassing, since on warmer days, motorists in other surrounding vehicles usually know that its you.

The thing is, brake squeal happens to be incredibly common and although is often associated with worn pads, can also afflict anchors that are in decent working order, since it is a by product of frequencies caused by vibration, which happens every time the pads touch the surface of the rotor.

And until now, there wasn’t really much of a cure for it. Well General Motors is hoping to address that and currently has a group of the companies engineers working on a solution to the problem. However, like much in the automotive universe, the idea isn’t actually a new invention at all.

The Coulomb friction damped disc brake (based on a damping mechanism design originally created by 18th century Physicist Charles Agustin de Coulomb), uses a thin ring of metal that’s actually embedded in the brake rotor, designed to absorb vibrations when the pads hit the rotor and thus significantly reduce squealing.

The new disc design follows on from corrosion resistance technology developed by GM and while still undergoing testing, could become available on certain cars and trucks in the General’s lineup within two to three years.

In addition, because the Coulomb design means engineers have to worry less about brake noise, it could, according to GM brake expert Jim Webster, allow engineers to develop future brake systems that use new materials with higher coefficients of friction. This would enable brake rotor designs that provide more powerful clamping force than those on the market today, but ones that would be smaller and lighter, thus increasing safety  while enabling vehicle weight savings.

And given that automakers are looking every which way they can to shave vehicle mass in order to meet mandated higher fuel economy standards, such a concept as smaller brakes would no doubt be welcomed on that front too.

For more information on brake squeal reduction, click on the link below:

http://bcove.me/mm9gy6wp

2011 has been the year of the recall for General Motors. Hardly a week goes by when a new vehicle recall from GM is not making news. The latest addition to this list is the Cadillac SRX.

In particular, SRX models built in Mexico between 2010 and 2011. Roughly 20,000 vehicles are said to be affected, with the majority of these vehicles being in China and America. A smaller number of defected vehicles can be found in 20 other countries.

The problem is with the transmission shift cable causing unintended movement. Upon examination, GM has sourced the problem to an incorrect routing of the transmission shift cable through the engine bay.

The problem was triggered by a person who wrote to the NHTSA (National Highway Traffic and Safety Administration) about unintended vehicle motion when he shifted from park to drive to park again.

GM has notified the NHTSA that it will sort out this issue. No accidents or injuries have been reported due to this defect.

Despite the recent supply shortage that plagued its Cruze production, Chevrolet‘s performance for 2011 set an all-time high sales record for the one hundred year old American automaker. Having sold 4.8 million vehicles worldwide this year through the month of November, December is projected to perform just as well. Overall, Chevrolet gained an additional half a percent of global market share this year. With a diversified market, Chevrolet has been well received in markets like China, Vietnam, Europe, South Korea, and South America.

What’s more, it’s new B-segment subcompact Chevrolet Sonic hatchback is selling extremely well and dealers of North America only average a 17-day supply. In the United States, Chevrolet is right behind Ford in total consumer market share.

[Source: Autoblog]

Like many luxury automakers these days, Cadillac is looking to capitalize on the perceived growing affluence of consumers in China.

To that end, GM’s luxury division plans to introduce several new models in an effort to better compete with the German triumvirate of Audi, BMW and Mercedes-Benz, which have so far, witnessed strong sales increases in recent years.

Like many automakers peddling vehicles in China, Cadillac’s goals are rather ambitious. Kevin Wale, who head’s up the brand’s operations in that country, said at a recent press conference in Shanghai, that the brand plans to boost Chinese production by some 40 percent in the next two years.

“Luxury-car sales will continue to grow faster than the overall passenger-car market, driven by increasing wealth,” said Wale. And perhaps he’s right.

According to data released from research firm LMC automotive, China is currently poised to overtake Germany as the world’s second largest market for luxury vehicles by next year.

That said, overall vehicle demand in China has been slowing in recent months November deliveries saw the smallest monthly gains in the second half of 2011, rising by just 0.3 percent over October.

[Source: Automotive News]

General Motors is taking their Cadillac and OnStar brand to the 2012 Consumer Electronic Show in Las Vegas.

The show, which runs from January 10 – 13, is a hot bed for all the latest gadgets and gizmos and GM wants to take advantage of that by showcasing their latest version of the OnStar system and Cadillac’s new CUE multi-media infotainment system.

Cadillac will be demonstrating for the press and public how CUE works and also regarding the creation of this innovative new technology.

OnStar will unveil its evolutionary research in the 4G LTE cloud connected vehicle space and reveal future expansions in the mobile applications arena. It will also make announcements about  OnStar FMV, its aftermarket rearview mirror that contains all of OnStar’s key functions for older and off-brand vehicles.

OnStar will also collaborate with Verizon Wireless to show how its 4G LTE network to show how its in vehicle streaming can benefit all its occupants.

The 2012 C.E.S. will be held at the Casanova Ballroom of the Venetian Hotel and Casino, so if you want to see the latest technology from GM and other tech companies, this is the show to be at.

Saab’s financial rollercoaster seems to have come to what many have speculated would be its inevitable conclusion, with the Swedish automaker today announcing it has filed for bankruptcy with the District Court in Vänersborg, Sweden.

The news comes as Saab was seeking to reorganize, with the struggling car maker desperate to arrange funding. The most likely candidate had been Chinese automaker Zhejiang Youngman Lotus Automobile Co., which has now announced it can not move forward based on opposition from General Motors. GM opposed the sale to a Chinese automaker as it owns the technology behind two of Saab’s models and even manufactures the 9-4X crossover for Saab.

Representatives at GM have previously said the American auto giant would look to block any sale based on intellectual property issues, with concerns such a sale could harm its business in China.

“After having received the recent position of GM on the contemplated transaction with Saab Automobile, Youngman informed Saab Automobile that the funding to continue and complete the reorganization of Saab Automobile could not be concluded. The Board of Saab Automobile subsequently decided that the company without further funding will be insolvent and that filing bankruptcy is in the best interests of its creditors,” reads a statement on the Saab website. Along with Saab Automobile, this filing includes Saab Automobile Tools AB and Saab Powertrain AB.

Problems with a parts supplier have caused the GM assembly plant of the Chevrolet Cruze and its identical brother, Buick Verano, to experiences stoppages in the past 3 weeks, one of which was a one-week planned shutdown and another one that wasn’t planned at all.

According to GM spokesman Tom Mock, GM’s Lordtown, Ohio assembly plant are currently working hard to solve the issue but will not predict when Cruze and Verano production will resume. Unlike the Cruze, however, GM spokeswoman Kim Carpenter confirmed that Buick Veranos are still made at its Orion assembly plant in suburban Detroit dispute an adjustment in model mix.

Since it’s September 2010 launch, Chevrolet’s compact sedan has become GM’s top-selling car, accounting for 215,057 U.S. sales this year through November. This also earned the Cruze its #2 position in the compact market, behind 219,250 units of Toyota Corolla and Matrix sold.

While GM hasn’t commented on the parts that are causing the production stoppage, sources revealed that a shortage of struts and suspension components are to blame.

[Source: AutoNews]

General Motors is reviving negotiations that were scrapped back in 2007 with Lotus parent company Proton Holdings, Malaysia’s biggest auto manufacturer. Both brands are looking to form a manufacturing venture in the Southeast Asian country.

A collaboration between the two parties would probably be mutually beneficial, with GM getting access to Proton’s production in Southeast Asia while Proton would be able to take advantage of GM’s technologies to boost their exports.

Proton Holdings is a government-linked company (GLC) with the majority of its equity owned by a government-owned company named Khazanah Nasional Berhad. Ever since an unsuccessful relationship with Mitsubishi ended in 2004, the Malaysian government has been seeking a partner for Proton.

[Source: Bloomberg]

Following in the wake of the highly publicized Chevrolet Volt battery fire issue, GM is now working  to fix the problems, which are said to include adding reinforcements around the car’s battery pack along with protection to prevent coolant leakage as well as laminating electrical circuits.

However, the cost in doing so will reportedly work out to about $9 million, which translates to around  $1,000 per Volt currently on the road.

Nonetheless despite the fires, reportedly caused by coolant leaking and then crystalizing to cause electrical shorts, neither the National Highway Traffic Safety Administration, nor the Insurance Institute for Highway Safety (which reported no fires as the result of its own crash testing) have plans to change the five-star crash ratings they awarded the Volt earlier this year.

GM, despite offering a free loaner program to concerned customers, is also saying that the Volt poses no immediate fire risk to customers following an accident, a sentiment echoed by US Transportation Secretary Ray LaHood. So far, around 33 customers have taken advantage of GM’s loaner program.

[Source: Reuters]