GM Canada sold only 32 copies of its Chevrolet Orlando in November 2014, the worst month yet for the rapidly declining Mazda 5 alternative.
Although the Orlando set an impressive sales pace in its first 18 months in Canada – 2612 were sold during 2012’s fourth-quarter – it’s been in free fall ever since. Sales have declined in 19 of the last 22 months. 2013 volume was down 68%. Through eleven months, Orlando volume in 2014 is off by 43%. Read More >
In October 2014, for the first time since March of this year, the Chrysler Group outsold all other automobile manufacturers in Canada.
The margins were slim: only 259 units separated Chrysler Group’s five brands from the Ford Motor Company; only 301 stood between the Chrysler Group and General Motors. But these are celebratory moments for an automaker which owns 15.6% of the Canadian market. Chrysler Group’s market share in its “home” U.S. market stands at 12.6% through the first ten months of 2014. Read More >
Without an unexpected drastic downward turn in the final quarter of 2014, Canadian auto sales will reach record levels this year, a strong follow-up to best-ever sales in calendar year 2013.
September 2014 was marked by a collective 13% sales improvement from the overall industry, a gain of nearly 19,000 units compared with September 2013. September also marked Ford Motor Company’s return to the top of the overall sales leaderboard in Canada. Chrysler Group’s five brands haven’t actually led the monthly results since March, but their lead was strong enough to support year-to-date number one status through the end of August.
Both Ford/Lincoln and General Motors outsold the Chrysler Group in September, however, despite a combined 20% year-over-year improvement from Chrysler, Dodge, Jeep, Ram, and Fiat. Read More >
In today’s General Motors digest: GM recalls over 700,000 units globally; Siemens VDO Automotive urged the automaker to look into airbag data in 2004; product chief Doug Parks was aware of the ignition problems in 2005; Feinberg compensation plan will have no payment cap; and Delphi is under the gun from both Congress and the IRS.
In May 2014, Canadian auto sales shot up to record monthly levels by soaring beyond 195,000 units, one-eighth the size of the U.S. industry last month.
These record sales levels occur as buyers transition from in large numbers from cars to crossovers, particularly smaller crossovers from volume brands. Read More >
Automotive News reports General Motors will release Thursday the results of attorney Anton Valukas’s three-month independent internal investigation into how and where the automaker went wrong before recalling 2.6 million vehicles affected by an out-of-spec ignition switch linked to 47 accidents and at least 13 fatalities. The announcement will come at 9 a.m. Eastern via webcast, with what CEO Mary Barra says will be an “unvarnished” look at the events surrounding the recall. In addition, GM will have an update on plans for compensating victims of the switch, though the attorney heading up the affair, Kenneth Feinberg, says a formal announcement won’t come until a few weeks down the road. Reuters adds the Valukas report will likely exonerate Barra, former CEO Dan Akerson and other senior execs and board members of any wrongdoing over the recall, with “a number of people” to be formally dismissed from the company due to their ties to recall. The report will be turned over to the federal government by the end of June.
Automotive News reports General Motors’ recall parade could, according to Barclays Capital analyst Brian Johnson, last well into the middle of the summer season. The data mining conducted by the automaker’s team of 60 safety investigators on 10 sources reporting potential problems — including consumer complaints and reports from its dealership network — will likely bring more recall requests before GM’s senior executives. Johnson adds that the investigators are working on likely defects on a per-issue basis instead of per-vehicle, which may mean a number of vehicles will be called back multiple times as the recall parade marches on; he also notes that its hard to discern if recalls of past vehicles have already peaked.
Automotive News reports dealers are still waiting for the ignition switches meant to replace the out-of-spec switch at the center of the ongoing recall crisis at General Motors. The switch was to have arrived at dealerships beginning this week, yet most dealers are in a “holding pattern” on deliveries. Once the parts do arrive, service bays will begin work on affected customer vehicles immediately before turning toward the used lot, where vehicles under the recall are currently parked until the customer vehicles are fixed.
Unifor has put their union certification vote on hold for Toyota Canada’s manufacturing plants, amid claims by Toyota that the size of the bargaining unit is much larger than expected – derailing Unifor’s assertion that they have met the required threshold for a vote.
Automotive News reports Tesla and Greater New York Automobile Dealers Association reached a compromise agreement over the weekend that would allow the EV automaker to keep their five stores while prevent Tesla or any other auto manufacturer from establishing more direct-sale stores in the state. In the words of Governor Andrew Cuomo:
Today’s agreement reaffirms New York’s long-standing commitment to the dealer franchise system, while making sure New York remains a leader in spurring innovative businesses and encouraging zero emissions vehicle sales.
While celebrating the successful turnaround for Fiat Chrysler Automobile’s Sterling Heights, Mich. plant, CEO Sergio Marchionne proclaimed the issue of upgrades made to the Windsor, Ont. plant with help from Canadian federal and provincial governments one no longer worth discussing.
UPDATE: Mere minutes after our prior editorial was published Chrysler announced that they will be withdrawing their request for funding from the Canadian government, and
“…confirmed its intention to begin to allocate to our Windsor, Ontario plant the development and industrialization of the next “people carrier” architecture (the so-called next minivan and derivatives)”
We are awaiting a call from Chrysler to discuss the matter. In the mean time, you can read the official announcement here.
The biggest news for North America’s auto industry was announced at Geneva, and it wasn’t a new product debut. According to Automotive News, FCA CEO Sergio Marchionne has decided on a location for the next assembly plant, and things aren’t looking great for the current plant in Windsor, Ontario.
FCA CEO Sergio Marchionne took to The Globe and Mail‘s editorial pages to make his case for government investment in Chrysler’s assembly plants in Canada. Marchionne is seeking government funds to upgrade the Brampton plant (which builds Chrysler’s rear-drive cars) and the Windsor plant (which builds minivans, and would be upgraded as a flexible plant) as part of a $3.6 billion investment.
Fiat Chrysler Automobiles NV boss Sergio Marichonne, in talks with federal and provincial governments in Canada for loans to help prepare their factories in Windsor and Brampton, Ontario for new vehicle production, may come to a decision about moving forward with plans for where new minivans will be built by the end of March 2014.
On the heels of reports that put a $3.6 billion pricetag on Chrysler’s investment at two Canadian plants, another Canadian outlet is reporting that the money would ensure the future of the two plants for decades to come.
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