It sounds like General Motors learned its lesson from the Great Recession when it relied heavily on trucks and SUVs to pull strong profits. In an interview with Trucks.com published last Tuesday, GM product chief Mark Reuss said the automaker won’t make any short-sighted decisions on its passenger cars.
When asked what will happen to the passenger car market, which has continued to shrink in favor of crossovers and trucks, Reuss said the entire industry is “obviously a cyclical market.” He added that GM makes long-term investments in vehicles and a quick decision to cut a car could come back to haunt it.
“There can be external events that happen, and if you’re not in those markets then you may miss the growth potential,” he said. “We don’t want to do that.”
External events could include an unforeseen market crash or rising fuel prices. Reuss also added that GM is prepared if such a market crash does occur, though no one is forecasting severe losses in 2018.
Of course, the question comes at a time when GM has let at least one of its passenger cars go quite long in the tooth: the Chevrolet Impala. So far, mum is the word on the nameplate’s future, but we recently voiced our opinion to build a stylish and more performance-oriented sedan. Without a major change, the Chevrolet Malibu ticks nearly all of the same boxes.
Comments
Chewy need AWD MALIBU to complete with other car brands
The demand for passenger cars is shrinking, and GM has no presence in Europe, where these models are much more accepted, and usually developed.
I think in the future GM will eventually merge Cruze, Malibu and Impala into two intermediate models.
Then make a car that I want to buy. FULL SIZE, 2 DOOR, RWD (AWD OK), DECENT SIZE V6 or V8, HUGE TRUNK. Then I don’t have to buy a Silverado to use as my “car”, as I do now.
Find another 100,000 people that would buy it and it will come.
If you build it, they will come.
Passenger car sales at GM is now closer to 20% of the total mix.
On the road, passenger cars are now dwarfed in height by everything else on the road. I do blame Federal MPG targets, forcing passenger cars to become sleeker to a point where most are too low for comfort.
Passenger cars can make a comeback, but they need a higher roof height and seating position, and some mileage regulation relief.
That is why my “car” is a Silverado. Gets used like a car because there are no decent sized cars available, some are close, but not quite.
Gas prices are supposedly about to spike so staying in the business will help GM. Chrysler learned nothing from 2008, and Sergio will blame any failure on GM refusing to merge.
I love low slung, sleek cars like Buick Regal, Audi 4 coupe, & even Chrysler 200. Malibu would benefit from being an inch lower to the ground.
AWD, V8 and a dozen other wishes are not going to save the auto sedan let alone coupe.
I am not saying we will lose them but the fundamental marketing is going to change.
We will see larger more expensive luxury cars and I expect smaller more efficent cheaper models but the middle ground is slipping away till or if the markets decides to embrace it again.
Honda and Toyota have a lock on the mid size and even Ford with the Fusion had failed to make a major dent and even less return on investment.
I expect GM to remain in the game where ever they can make a decent return. Specially and luxury for sure the entry level too. Hybrids and EV.
As for Europe they were not making money and they can design cars anywhere.
GM has taken and while they based cars out of Australia and Germany the work was happening globally and 24 hrs a day electronically. Be it Detroit, Germany or Korea all units were involved. Many of the people in these groups were moved regularly to learn at each unit. Even Mark was at Holden for a good while.
With most of the CUV models being mostly car based like platforms GM could change over fast if needed.
The market today is about the ability to use their vehicles for all need. Utility rules.
I love my 08 Malibu. It has a large trunk but only for thin items that fit in the shallow opening. Buick is trying a hatch but we have yet to see the results.
Then like bob stated you have mpg/cafe issues to deal with.
But if you add a higher roof and seating you have a CUV. A CUV is only a tall car.
One reason too people stop embracing cars is styling. Let’s face it aero has killed styling as well as size. No longer so we have large canvases of sheet metal to craft lines. So if it is going to look crappy people feel they may as well get utility.
I look at those new Audi CUVs and the roof height for the Q3 is 62.5 inches and 65 inches for the Q5. Older passenger cars from the 50’s and 60’s have a roof height between 56 and 60 inches.
If passenger cars can go higher by about 2-3 inches, people may become more interested in in them again.
Impala has been a part of GM/Chevrolet for ever. The Impala needs a update and marketing . Maybe as a option AWD and increase the horse power ? I for one do not like the Malibu with stop/Start you can’t even deactivate.
GM just have to position the next Impala on Alpha2 RWD with more engines options from the 2.0 to the V8 and why not a 2.5 turbo. In addition to the power plant they can add many trims L, LS, LT, LTZ, premier and ans SS, with RWD or AWD choice.
The Malibu just stays on the E2XX or its successor on FWD.
Could not of said it any better…
The Impala’s only 5 model years in. That’s not long for a large sedan, at this time in its class. But with the changing scene, it would be beneficial to make a refresh model for 2019 or ’20. Probably the 9-speed automatic would be good. And a driver decided engine stop-start for the V6. Actually, just letting the 4-cylinder go, or maybe offering the 2.0L turbo as a base would be good. And no, there should not be any classicists’ dream models up for today’s market. RWD, V8s, and three pedals is just not a viable thing to have these days. And it would probably damage the sales, more than not.
But if GM are going to merge models… Please, God, don’t let them go with the “Malibu” name… Just saying. I couldn’t picture myself introducing a car called “Malibu” to anyone I wanted to take me seriously.