truth about domestics

Due to Toyota’s recent runaway quality issues, they have had to increase incentives to fairly high levels (in some cases up to $4,000 AND 0% financing.)  In order to keep pace, the domestic automakers have had to raise their incentives as well.  This has actually worked in their favor though, as both GM and Ford have been able to increase sales volumes, while keeping their discounts at lower levels than Toyota.  Sadly Chrysler continues to struggle, even with large incentives.  For more details, head on over to MSNBC.

(Image source: GM)

Sure there are a lot of exclamation points in the title for this post, but they are there for a reason.  Chrysler Group LLC’s Chief Executive Officer, Sergio Marchionne, said Tuesday that the automaker would break even on an operating basis this year.  This is kind of a bold move, especially when you look at the numbers.  Chrysler’s sales were down 10% in March of this year when compared to the worst year in decades, 2009.  Chrysler also saw a drop of sales of 36% in 2009 from the previous year, much greater than the 21% the rest of the industry saw.  Couple that with the lack of new product and you can see my skepticism on Chrysler’s grand plans for breaking even.  For more details, head on over to MSNBC.

(Image source: traceyricksfoster.com)

In a move that doesn’t surprise many in the auto industry, Ford has decided to release a hybrid version of the Lincoln MKZ.  The MKZ rides on the same platform as the Ford Fusion and Mercury Milan which both feature an impressive hybrid powertrain.  These two cars achieve 41 mpg in the city, 8 mpg more than the Toyota Camry hybrid.  The MKZ hybrid will be a 2011 model and should achieve the best mileage of any luxury car on the market, even beating the Toyota hybrid platform-sharing Lexus HS 250h which gets a rather unimpressive 35 mpg city, 34 highway.  For more details on the MKZ hybrid, head on over to MSNBC.

(Image source: Stephen @ Truth About Domestics)

Ed Whitacre hasn’t been on the job long at GM as the former interim now permanent CEO, but already his wrath can be seen.  Thousands of jobs have been cut, executives have been shown the door, and the old corporate structure has been flipped upside-down.  Does this mean GM is out of the woods yet?  Hardly, but it has shown some signs of life in recent months, putting out some of the nicest products ever in its 100 year history.  For more on the story, head on over to MSNBC.

(Image source: NYDailyNews.com)

The video above is a brief interview with GM’s vice chairman, Bob Lutz.  The interview takes place at the Detroit Auto Show, and Lutz discusses future product, the challenges GM faced, and how soon the General will turn a profit.

The video above brings some new, outside perspectives on the new battery plant that General Motors has just opened in Michigan.

GM’s CEO and Chairman Ed Whitacre Jr. has stated that hundreds of the 1,350 dealerships that were closed this year could be restored in a congressionally mandated arbitration process that begins later this month.  Whitacre Jr. also said that the company could be profitable this year, but that depends on the economy and several other factors.  For the full story, head on over to MSNBC.

(Image source: The Car Connection)

Toyota Motor Company has been awarded with a record for 2009 that I’m sure it would rather have not won.  Toyota had more vehicles recalled than any other automaker in 2009 with more than 4.87 million recalls.  The issue mainly surrounded its unintended acceleration issues but also focuses on Tundra truck frames rusting through.  For more details head on over to the Detroit Free Press.

On a similar note, Toyota is said to be investigating claims from 2010 Prius owners who say their vehicles lost braking ability while driving.  Looks like when it rains on Toyota’s rice paddies, it pours.  For more details, head on over to MSNBC.

(Image source: Toyota)

General Motors is pushing close to $7,000 at dealers in order to move the remaining Saturn and Pontiac models sitting on dealer lots.  The move comes as GM was forced to close down 4 brands (Hummer, Saab, Saturn and Pontiac) leaving only GMC, Buick, Cadillac and Chevrolet left.  Sales of the Saturn and Pontiac brands were down sharply this year, which is to be expected, I mean, who would really want to buy a brand that will no longer be around come spring of 2010?  For more details, head on over to MSNBC.

(Image source: GM)

The list put together by MSNBC is a pretty good one.  I love to read about American cars (hence this whole website that I work on several hours a day) so one more list about great American metal is always welcome!  For more, head on over to MSNBC.

(Image source: GM)