10 Cars That Could Salvage Detroit
The road to recovery in Detroit is so long and pitted that General Motors, Ford, and Chrysler might not all make it. Billions in federal aid will help. But the government doesn't build cars, and without top products in the most important segments, the Detroit Three will continue to flounder while the Japanese and Europeans surge ahead. Here are some of the cars that are key to the revival of the domestic automakers (Click here for photos):
EV-1. GM famously spent $1 billion trying to build this electric-powered two-seater in the '90s, only to scrap the project because of range limitations and other shortfalls. Critics dubbed the EV-1 a huge flop. But hold on: One of GM's top priorities right now is the Chevy Volt electric plug-in, due in 2010. And much of the technology comes straight from the EV-1. If electric cars catch on and GM ends up a leader, it will be largely due to lessons learned from this failed experiment.
Chevy Volt. Unlike the EV-1, the Volt has a gas engine that kicks in once the battery runs down, so you can't get stranded away from a recharging outlet. Since it's a sedan, the Volt will appeal to families, too. Initial sales will probably be low, thanks to a high price tag and wariness over the technology. And it could be years before GM recoups its investment. But if the Volt succeeds, it will help re-establish GM as a technology leader and provide some badly needed environmental cred. The technology will also get cheaper over time, and it could spread to many other GM models.
Ford Fiesta. All three domestic automakers need to recapture small-car buyers who have fled to imports like the Honda Civic that offer better quality and cachet. The European-built Fiesta, due in the U.S. in 2010, will make the case with crisp styling and gas mileage in the mid-30s. Ford could also import the C-Max and Kuga into the U.S. from Europe. If they succeed, "the impact of all three of these Euro Ford vehicles will be huge," says James Bell of Intellichoice.com.
[See our list of 10 Cars That Sank Detroit, and photo gallery]
Chevy Cruze. If this subcompact debuts as planned in 2010, it will be a spirited and welcome replacement for the middling Cobalt. A small turbocharged engine could produce high mileage and a bit of excitement, a combo that's been missing from GM's lineup. That might help grab a bit of turf from hot newcomers like the Honda Fit and Nissan Versa.
Cadillac Escalade. That's right, there's still a market for huge, gawdy SUVs, and even with sales down, the Escalade remains one of GM's most profitable vehicles. GM became far too reliant on big SUVs, and it's begun the arduous process of retooling assembly lines to build fewer SUVs and more passenger cars. But the Escalade and its downmarket cousins, the Chevrolet Tahoe and GMC Yukon, still appeal to families with gear to haul, boats to tow, and little fear of gas prices.
Ford F-150. This work truck has been Ford's bedrock vehicle, and a perennial bestseller. The housing bust has torpedoed sales, since contractors are prime buyers. But once there's a recovery and building activity picks up, the F-150 will help lift Ford, too.
Jeep Wrangler. Part of Chrysler's problem is a stable of indistinct vehicles that can't get traction in the marketplace. But not the Wrangler. This iconic Jeep remains popular when other off-roaders seem excessive and unnecessary. Some analysts think that deeply troubled Chrysler, which owns Jeep, should rally around its strongest brand, and maybe even rechristen itself as "Jeep Corp."
[Tell us what cars you would add to this list, and why: flowchart@usnews.com.]
GMC Acadia. This crossover has been a hit since debuting last year, and GM has covered all its bases by rolling out a Saturn, Buick, and Chevy version. Drivers like the carlike ride and SUV-style amenities, plus it carries 7, which makes it a minivan alternative. Once the economy rebounds and sales pick up, the Acadia could help GM reclaim a lot of turf seized by competitors like the Toyota Highlander and Honda Pilot.
Chevy Camaro. With gas prices falling, the timing could be just right for this revived muscle car, due in 2009. A new Ford Mustang is coming, too, which could offer car buffs a bit of excitement to balance all the bad news out of Detroit. "A good ol' pony car battle will bring smiles," says Bell.
Chrysler Secret. There's no model by this name, but one of the mysteries in Detroit is what Chrysler has planned for the future. The company has talked about electric cars and imports from China, but there are few official announcements. And a new hybrid version of the Dodge Durango hybrid was canceled just weeks after it debuted this summer. That's a bad sign. With the company hoarding cash and seeking a buyer, Chrysler's future is more uncertain than the price of gas in a year.
Tags: Detroit | General Motors | cars | Chrysler | car manufacturers | Ford
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Reader Comments
foreign cars
Just buy a Subaru-they're made in Ohio.
Not the cars fault ..
Cars types or size are not the down fall of any of the big 3 Detroit Brands . But the overpaid unions fault . They could have saved billions by taking pay cuts 2 years ago and ultimately saved there jobs and families in the long run. A simple 5.00 and hour pay cut by everyone across the board would have saved billions over a 2 year period and they still would have been paid well . Making more than about half the working force out in the field today .
This would have allowed the lowered paid half to still be able to buy their cars. The unions where a great idea at their origin but have basically failed the industry . Look at time and see how many unions have caused a company to fall to bankruptcy or failure..We do the Chinese and Japanese continue to grow and profit from us and small US Companies no union , no overpaid workforce or white collar workers . I think AK steel (armco Kawasaki ) proved this with their lockout tactics at plants in Ohio ..
Small none Union US companies will continue to grow without unions ,ie what started as a small company wal-mart or McDonalds .. Think about it... No talk of their bankruptcy or bailout from the government . This is something we as a nation or government should not be involved in .. If the fall they fall .. If Joe's dinner need a bail out would he get it no he would fall..
It is time for not just consumer to be patriot also the big three too.
I had bought three brand new cars in the past started from GM based my decision on "buy American" in first six month the car was overheated while stuck in snowing traffic. My second car was Dodge Minivan the paint peeled off in warranty time, third year(I also bought extend warranty) but Chrysler dealers made it like it was my faults in order not to fix the problem. My third car is Toyota and it is still running since 1997 no major problem to complain about. My next car I want to buy American gas economy car, but I am afraid that I am going to end up buying Japanese or Chinese or Korean made but American(import)name and company instead. I heard that GM is going to put it name on Chinese made small car to sell to American. How that going to save American job? I bet you right now in this minute the big three are importing or dealing with foreigh automakers to import smallcar in their name brand to sell to American consumers. Don't put the burden of patriot to poor American consumer alone when needed, the rich CEOs should take responsibilities too, ortherwise we are not going to make it out of this hole.
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