By on January 7, 2008

wagoner.jpgGM's main man told Bloomberg that he expects 75 percent of The General's car and truck sales to come from outside the U.S. within a decade. Meanwhile, while GM's setting sales records in developing markets overseas, they're losing money at home. Lots of money. To his credit, Rabid Rick did touch on that small issue with Bloomberg. GM's CEO claimed his "plan" to end those losses is about "50 to 60 percent complete." WHAT PLAN? Has anyone seen this plan or is he, like Indiana Jones, making it up as he goes along? Which ever it is, Wagoner [finally] admits things aren't quite going as expected. "Maybe the actions are a little farther along, but the results I don't think are that far along." With Wagoner conceding defeat in North America, the results probably won't get much farther along, either. What's that sound? Why, it's Toyota, Honda and Nissan letting out a war whoop as they thunder down their American happy hunting ground.

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16 Comments on “Rick Wagoner: GM’s Throwing in the Towel on the U.S. Market...”


  • avatar
    GS650G

    The PLAN is foriegn production of GM automobiles. The transplants are too wise to get sucked in the black hole that is the UAW.

  • avatar

    GS650G :

    The PLAN is foriegn production of GM automobiles. The transplants are too wise to get sucked in the black hole that is the UAW.

    That plan is already in effect (e.g. the American revolution that is the Korean Aveo., etc.). Which is why Chevy’s flag waving makes me sick.

  • avatar
    geeber

    If GM does avoid Chapter 11, I wouldn’t be surprised if the only vehicles it produces in the United States are trucks, SUVs, Corvettes, Cadillacs and other larger cars.

  • avatar
    timoted

    As I understand it, GM still holds onto healthy fleet sales for government and law enforcement though, not what they were a decade ago. When is GM gonna fire up their bilge pump? I think the water is starting to come over the bow.

  • avatar

    In my opinion, the flag waving by Chevy and other domestics is not as offensive as the convoluted arguments made by domestic fans that Mexican or
    Korean built chevys are a good thing but Toyotas and Honda made here in the US by Americans is bad.

  • avatar
    oboylepr

    Maybe reality has finally hit RenCen. From a purely business perspective moving assets and manufacturing offshore is a good strategy although it spells disaster for domestic jobs. Maybe it is the only way they will survive. They seem to do very well in foreign markets where their cars are up there with the best of them. Years and years of short sighted management and foolish decisions have forced them into an ever narrower operating environment in NA and it may be that Mr. Wagoner sees the writing on the wall. The recent offloading of health care benefits might not be for the purpose of creating a better cost structure for NA operations but rather a cut-and-run strategy, along with pushing back the volt, canceling the V8, taking those tax credit writedowns etc. etc.

  • avatar
    Landcrusher

    If they could count exports in CAFE, and sell versions of their trucks with lighter engines, and less government mandated crud, they could likely make it work and stop building cars.

  • avatar
    MgoBLUE

    I would like to get a list of Big 2.8 vehicles and where they are manufactured. Anybody have one…or know where this info can be found?

    It is great amunition to use against those who poo-poo the transplants…yet are in denial over where their Ford’s and Chevy’s are produced.

  • avatar
    Busbodger

    So the big 2.8 would be GM, Toyota and Ford???

  • avatar
    starlightmica

    MgoBLUE:

    Here’s a list of Mexican-built Detroit 2.801 vehicles, others please feel free to add on:

    Chevrolet HHR
    Chrysler PT Cruiser
    Dodge Journey
    Dodge Ram
    Ford Fusion
    Lincoln MKZ
    Mercury Milan
    Saturn Vue

  • avatar

    MgoBLUE
    I would like to get a list of Big 2.8 vehicles and where they are manufactured. Anybody have one…or know where this info can be found?

    USA Today ran this list last year. It’s a bit dated but still pretty accurate.

  • avatar
    jkross22

    GM – posterchild for dysfunctional organizations focusing on today’s stock price rather than product pipeline and engineering excellence. Nice job fellas. What are your bonus checks going to look like this year?

    Seriously, any GM employees reading this thread ought to raise holy hell when it’s announced what Rabid Rick and MaxBob’s bonuses will be.

  • avatar
    mikey

    What! jkross22 Rick and Bob are getting a bonus?
    If I see them in the plant I’m gonn’a give e’m a piece of my mind,and I ain’t got’a whole lot to give.
    Its not been a positive day for GM at TTAC today or anywhere else for that matter.
    I,ve been reading every comment on all articles.
    The best ones gotta be “start the bilge pumps,water is flowing over the bow” excellant.
    Heres the problem,we sold the bilge pumps and the bailing cans.
    The Captain and his officers are getting thier life boats ready.
    Us guys staying with the ship are waiting for a miracle to save us.I,m thinking the board of directers,or shareholders or a mutiny the water up to my knees and we are listing.S.O.S.

  • avatar
    Redbarchetta

    I wonder if the workers could take the company back from the incompitent management like Harley Davidson. Probably impossible given the size, diversity and more importantly the feifdoms that are all over the place in the organization. That would also require investing more of your money and future for a huge risk.

  • avatar
    Gardiner Westbound

    Wagoner clearly believes GM’s poor North American image for quality and integrity cannot be corrected in the foreseeable future.

  • avatar
    OverheadCam9000

    The boyz at topspeed.com seem to be thinking the same thing as GS650G and RF, namely, GM will move its entire manufacturing base to East/Southeast Asia and export to the rest of the world.

    http://www.topspeed.com/cars/car-news/-gm-means-global-motors-ar50007.html

    It’s possible that GM would delist off the NYSE and relist in some tax haven country like the Bahamas or Caymans. Save serious $$$$ on taxes. Change the name to Global Motors and off you go.

    Sales in NA down? No problem, just shut down a shift at a Chinese plant to bring production in line with sales.

    Politicians outlaw ICE? No problems, just stop selling cars there. With nothing in, say, the USA but sales and distribution, shutdown would be quick and easy.

    We may be seeing the plan come into focus….

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