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VOL. 83 NO. 2 JANUARY 19, 2015ESTABLISHED 1933 AS NEW CENTER NEWS AND 1983 AS OAKLAND TECH NEWS

“F IRST IN THE HEAR T OF DETROIT”

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by Jim Stickford

Electric and hybrid vehiclesaren’t special cars that peoplewill buy to save the environment– they will only work in the mar-ketplace when the value proposi-tion for the customer adds up tosavings.That’s how GM’s Mark Reuss

explained Volt marketing plans atthe media preview of the 2015North American InternationalAuto Show (NAIAS).It was at that show that GM

introduced the 2016 Volt to theworld.Reuss, executive vice presi-

dent of GM’s Global Product De-velopment, Purchasing and Sup-ply Chain, said the new versionof GM’s extended-range electricvehicle (EREV) gives customersthat proposition value, throughcost.With tax incentives, buyers

can get a new Volt for about$30,000 – a drop of about $10,000from the previous model.And the 2016 features a new,

192-cell/18.4-kWh lithium-ion bat-tery pack and new, 111-kW two-motor drive unit. The Voltec sys-tem is up to 12 percent more effi-cient and approximately 100pounds (45 kg) lighter than theprevious system, Reuss said,adding that the Volt also goesfrom 0-60 in 8.4 seconds.What that means, Reuss said,

is that the drivetrain is lighterand the battery system is moreefficient, effectively giving thenew Volt a range that will allowowners to drive more than 1,000miles on average between gaso-line fill-ups with a total estimateddriving range of more than 400miles – 50 of those in all-electricmode.“The improvements in the effi-

ciency and performance of the2016 Volt are driven by whatowners said they wanted in thenext-generation model: morerange, better fuel economy andstronger acceleration,” saidAndrew Farah, vehicle chiefengineer.“Building on General Motors’

CONTINUED ON PAGE 8

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Bolt EV Concept is ‘Game-Changer’ – Barra

Mary Barra and Chevrolet’s Alan Batey with concept Bolt at NAIAS

by Jim Stickford

Fiat Chrysler CEO Sergio Mar-chionne spoke to the media atthe 2015 NAIAS car show in De-troit about the company and itsfuture.On the subject of a possible

merger with other automakers,Marchionne said the companywas not in any talks “at themoment” to consolidate withother automakers.“Even if we were, I doubt this

would be the forum in whichwe’d announce it,” Marchionnesaid.“I will reconfirm that there are

discussions with others aboutspecific projects in which FCAand others would collaborate.“The longer I stay in this busi-

ness, the more I realize thatthere’s a large amount of capitalbeing used by automakers for de-velopment that could be betterused to develop businesses if wejoined forces.“The cost of development is

well in excess of what I think amature industry can well afford.”Marchionne went on to say

that development costs force ex-ecutives to take huge gambleswith capital. If one of the gam-bles doesn’t pay off, it can sinkan automaker.

He added that right now themarkets reflect the attitude thatthe auto industry doesn’t usecapital well even in this low-in-terest environment.“I find it incredible that it took

us this long to realize this,” Mar-chionne said.But, he added, getting auto-

makers to collaborate is a diffi-cult proposition for a variety ofreasons, not the least of which isthe ego of auto executives.“To use an American expres-

Marchionne: Industry MustLower Development Costs

Sergio Marchionne

CONTINUED ON PAGE 5

By Jeff Karoub and Tom KrisherAP Business Writers

DETROIT (AP) – Ford’s bigmove to aluminum for the bodyof its flagship F-150 truck hashelped it garner some additionalmaterial: The hardware thatcomes with the North AmericanTruck of the Year Award.Ford took the top truck honor

last week alongside the Volkswa-gen Golf, which was named car ofthe year. The winners, voted onby about 60 automotive journal-ists, were unveiled at the start ofpress previews for the NorthAmerican International AutoShow in Detroit.“Clearly, the materials have a

lot to do with the story of the

truck,” Ford President of theAmericas Joe Hinrichs said,though he added he’s “mostproud” of what the material doesfor the vehicle’s capabilities.The aluminum body allowed

Ford to reduce the truck’s weightby 700 pounds compared withlast year’s model. That gave itgreater hauling and towing ca-pacity and better fuel economy.The lighter weight also makesthe truck accelerate faster, stopquicker and handle better, hesaid.Ford’s truck sales, which

amount to 20 percent of its NorthAmerican sales, slowed last yearas the company retooled facto-ries to make the new one. Hin-richs said initial sales have been

strong with trucks sitting ondealer lots for an average of onlyfive days. Only one factory, inDearborn, is currently makingthe F-150, but a second factory inKansas City will be ready by theend of March, he said.Hinrichs predicted sales would

pick up as both plants start sup-plying dealers.The F-150 beat out Ford’s Lin-

coln MKC and the Chevrolet Col-orado for truck honors.Volkswagen officials were

pleasantly surprised by the VWGolf win.“We didn’t expect this award,”

said Michael Horn, VW’s CEO inAmerica, while praising competi-tors and fondly recalling drivinga 1967 Mustang.

“It’s confirmation of the waywe’ve chosen to go forth. It’s astarting point to get back ontrack here in U.S.”Horn said the German auto-

maker’s U.S. sales were down lastyear but started to climb in the

final months of the year with thearrival of new models. He addedthe Golf, VW’s top-selling model,also represents “the DNA of thebrand” as well as its strategy fordesign, technology and market-ing.

F-150 Named North American Truck of Year

by Jim Stickford

To expand the Cadillac brand,GM has to compete with the bestin the world, and that’s exactlywhat the 2016 CTS-V is designedto do, said Cadillac brand presi-dent Johan de Nysschen at the2015 North American Interna-tional Auto Show.De Nysschen said the CTS-V

will be launched in the late sum-mer of 2015. It will come with 640horsepower, 630 lb.-ft. of torqueand a top speed of 200 mph.“The new CTS-V reaches high-

er than its predecessors, leadingCadillac’s product-driven expan-sion and elevation,” de Nysschensaid.“It is the third generation of

the acclaimed luxury sportssedan that launched the elite V-

Series a decade ago – and rede-fined Cadillac for a new genera-tion of enthusiasts.“V-Series represents the very

best of the Cadillac brand – thepinnacle of our design and tech-nical capabilities.“The new CTS-V is the most

compelling example of Cadillac’sproduct substance and brandtrajectory. The new CTS-V soarsinto the stratosphere of the mostexhilarating luxury cars.”Comprehensive updates make

the new CTS-V essentially twocars in one, de Nysschen said.One is a luxury sedan with so-phisticated road manners, hesaid, and the other is a track-ca-pable sports car straight fromthe factory.It also introduces a new super-

charged 6.2L V8 engine backed

by Cadillac’s paddle-shift eight-speed automatic transmissionand featuring launch control andPerformance Algorithm Shifting.“The philosophy is that one

can’t have too much horsepowerprovided you have a chassis thatcan handle it,” de Nysschen said.“This is the most powerful carCadillac has built in its 112-yearhistory.“It’s a bold challenge to be

sure, but only those who darerisk much will take the future.And Cadillac has dared much –but that’s the Cadillac way.”With more horsepower and

torque than the Mercedes-Benz5.5L biturbo V8 and the BMWM-series 4.4L TwinPower (twin-turbo) V8, the new CTS-V is capa-

GM’s Reuss: Goal of New CTS-V is ‘Not toCompete with BMW, Mercedes – It’s to Win’

De Nysschen with 2016 Cadillac CTS-V at the 2015 auto show

2015 F-150

CONTINUED ON PAGE 11

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by Jim Stickford

The Ram 1500 has been suc-cessful for Fiat Chrysler, but thatdoesn’t mean there’s no room forimprovement.And the public will have a

chance to see just what Ram’sdone with the 2015 Rebel modelof the 1500 next week at theNorth American InternationalAuto Show at Cobo Center.“Offering an off-road-style

package on the Ram 1500 hasbeen on our to-do list for sometime, but the right combinationdidn’t present itself until now,”said Bob Hegbloom, presidentand CEO – Ram Truck Brand.“The Rebel drops right into a

core segment of the truck marketwith unique design cues andcan-do attitude backed by RamTruck engineering.”Rebel features an all-new grille

with prominent billet silver“RAM” letter badge.Departing from the brand’s

iconic “cross-hair” designs, theblacked-out Rebel grille tops acompletely new black off-roadfront bumper design with adurable powder-coated surface,which incorporates a powder-coated, billet silver skid plate,new front tow hooks and newLED fog lamps. Black bezel bi-functional projector headlampswith LED marker lights lie be-neath an aluminum, twin-snorkelsport hood.Rebel’s blacked-out front end

continues on the flanks withblack Power Wagon wheel-archmoldings, flat-black badge, mir-rors and lower body panels.The new trim features a two-

tone paint scheme with black asa constant on the lower body,front to rear.The Ram 1500 Rebel also

features an all-new 17-inch alu-minum wheel. Among the mostelaborate designs found in massproduction, the new one-piecewheel incorporates matte blackpainted accent pockets andmulti-angled surfaces.Continuing around to the rear

view is a new “RAM” stampedtailgate with blacked-out letter-ing. The “Rebel” and “4X4”badge, Hegbloom said, empha-size the truck’s uniqueness. Therear bumper is also treated withdurable black powder coatingwith flared cutouts around dualchrome-tipped exhausts. Taillamps incorporate black bezelsto match forward lighting.Rebel includes an optional

backup camera, providing a bet-ter field of vision when maneu-vering, Hegbloom said. A new tri-fold tonneau cover is embossedwith the Ram logo.

The Ram 1500 Rebel will beavailable in five colors: GraniteCrystal Metallic, Bright SilverMetallic, Flame Red, Bright Whiteand Brilliant Black. Both mono-tone and two-tone paint optionsare offered.Becky Blanchard, newly-ap-

pointed director of the Rambrand, said there is a real de-mand for a truck like the Rebel1500.“We listened to our cus-

tomers,” Blanchard said. “Thistruck has both capability andlooks. It has the same towingcapacity as a regular 1500, and itwill be still available at an afford-able price.“We’re not saying how much it

will cost right now. The price willbe released closer to the releasedate, which is expected to besometime close to the end of thesecond quarter.“The Rebel will be manufac-

tured at our Warren Truck facilityand we expect the Rebel to com-prise between 5 and 10 percentof the Ram brand.”Blanchard said the Rebel was

designed for the “bold cus-tomer.” It allows them to expressthemselves, she said.The truck has the capacity to

tow dirt bikes to off-road loca-tions, she said, or it can be usedto drive off-road itself, addingthat a lot of the features on the

Rebel are the sorts of things peo-ple would normally have to get inafter-market shops.“We know that people like to

customize their trucks, so wejust added those features to theRebel,” Blanchard said. “The ad-vantage here is that all our cus-tomized features are factory test-ed and come with Ram war-ranties. I just hope we don’t getSEMA too mad at us.”Blanchard said that the Rebel

isn’t Ram’s only big announce-ment at this year’s auto show.She said the brand also was ableto announce that they upped thefuel efficiency of its “best-in-classmileage” engine from 28 to 29mpg.“The Ram EcoDiesel’s mileage

has improved,” Blanchard said.“We knew demand for it would bestrong when we introduced it. Weexpected sales to be about 10percent of Ram sales, but no oneforecast that it would get the 20percent it has now.”Blanchard said she’s been

asked a lot about how fluctua-tions in fuel prices affectEcoDiesel sales.“I have to say not much,” Blan-

chard said. “While gas prices areunder $2 a gallon now, only acouple of months ago, they werecloser to $4. Diesel fuel prices, onthe other hand, tend to be verystable over a long period of time,

so their sales aren’t really affect-ed by wild swings in fuel prices.“Additionally, EcoDiesel own-

ers like the fact that diesel trucksretain an additional 8 to 10 per-cent of value in the resale mar-ket.”

New Ram 1500 Rebel to be Launched in Second Quarter

Ram Brand Director Becky Blanchard and the Ram 1500 Rebel

NEW YORK (AP) – At least 45people have died and 68 havebeen injured in crashes involvingGeneral Motors cars with defec-tive ignition switches.Attorney Kenneth Feinberg,

who was hired by GM to com-pensate victims, updated thetotals Jan. 12.Feinberg has received 303

death claims and 2,407 injuryclaims, and is still reviewing 738of them. So far, 112 claims are el-igible for compensation.GM was aware of faulty igni-

tion switches in its ChevroletCobalts and other small cars formore than a decade, but it didn’trecall them until 2014. Theswitches can slip out of the “on”position, causing the cars tostall, knocking out power steer-ing and turning off the air bags.Feinberg is accepting claims

until Jan. 31.

Ignition SwitchDeath Count UpTo 45 – Feinberg

DETROIT (AP) – General Mo-tors says it expects pretax earn-ings and profit margins to in-crease this year over last, afteradjusting last year for recallcosts.The company also predicts

improved automotive results inall of its regions. It gave no spe-cific numbers.GM is scheduled to release its

fourth-quarter and 2014 earn-ings on Feb. 4.GM also reiterated 2016 finan-

cial targets of 10 percent pretaxprofit margins in North Americaand a return to profitability inEurope.It also expects to maintain

strong profit margins in China.Profit margin is the percentageof revenue that a company getsto keep.The company expects 9 per-

cent to 10 percent profit mar-gins overall by early nextdecade.GM made the predictions at a

Deutsche Bank conference foranalysts in Detroit last week.GM issued 84 recalls last year

covering more than 30 millionvehicles in North America, cost-ing the company more than $2.8billion.The spate of recalls began

with faulty small-car ignitionswitches that are responsiblefor at least 45 deaths and 68 in-juries. GM acknowledged know-ing about the bad switches formore than a decade, yet it didn’tstart recalling the cars until ear-ly 2014.CEO Mary Barra told the con-

ference that the company didn’tdo everything perfectly on therecalls, but said it now has per-manent systems, processes andbehavior changes in place tomake sure it doesn’t happenagain.GM plans to reach its goals by

leading in product and technolo-gy, expanding the Chevrolet andCadillac brands globally andcontinuing to grow in China.Company President Dan Am-

mann told the conference thecompany plans numerous newproducts during the next coupleof years, including top-sellingmodels such as the ChevroletCruze compact car, Chevy Mal-ibu midsize car and ChevroletEquinox small crossover SUV.The company has 27 new

models coming globally thisyear, and 38 in each of 2016 and2017, he said.“All major-volume entries get

all-new models the next coupleof years,” Ammann said.

GM Targeting2016 Target of10 Percent Profit

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by Jim Stickford

Buick has let its hair down byputting the top down.

Buick introduced the 2016 Cas-cada – a convertible that uses in-novative powertrain and chassistechnologies – at the 2015 NorthAmerican International AutoShow in Detroit.

The Cascada will be the firstBuick convertible offered in theUnited States in 25 years and thelatest globally developed vehicleto join the brand’s growing port-folio.

The Cascada goes on sale inearly 2016, said Buick spokes-woman Lauren Indiveri.

“The new 2016 Buick Cascadais a beautiful, engaging convert-ible that represents the very bestof the brand’s global develop-ment practices,” said DuncanAldred, vice president of Buick.

“It’s a car that will delight cus-tomers with its fun spirit andhelp drive the momentum that’sfueling Buick’s success.”

The Cascada’s 2+2 configura-tion offers comfortable room forfour adults, said Indiveri.

She added that its “expressive”driving experience is rooted in arigid body structure, Buick’ssophisticated HiPer Strut frontsuspension and responsive WattsZ-link suspension in the rear –along with a 200-horsepower tur-bocharged engine.

And when it comes to drop-ping the top on a whim, Indiverisaid, it lowers in only 17 secondsat speeds up to 31 mph.

“Cascada’s driving enjoymentis rooted in technologies that-make it more comfortable and re-fined,” said Aldred.

“Its features work harmonious-ly to provide a safe, connectedand confidence-inspiring drivingexperience.”

Technology and safety high-lights include:

• Buick IntelliLink with a sev-en-inch diagonal color touchscreen featuring Text MessageAlerts, Siri Eyes Free for Applephones with an iOS 6 or neweroperating system and navigation.

• OnStar 4G LTE with built-inWi-Fi hotspot.

• Electronic rear-seat entrysystem that automatically pow-ers the front seats forward bysimply pressing the seatbackforward.

It moves the seats back whenthe seatback is returned to theupright position.

• Electric safety belt presen-ters that use telescopic arms toslide the upper front safety beltassemblies from behind the frontseat into closer reach for easierbuckling.

• Rollover protection barsthat deploy behind the rear seatswhen the possibility of a rolloveris detected.

• Lane departure warning,rear park assist, rearview cameraand Rainsense windshieldwipers.

Designed from the outset as aconvertible, Indiveri said theCascada has a flowing, sculptedprofile, with fast-raked A-pillars

that convey a wind-in-the-hairflair.

When lowered, the top foldscompletely beneath a hardtonneau behind the rear seats.

“The Cascada’s design blendsthe suggestion of speed with so-phisticated and uncompromisingdetails,” said Holt Ware, Buick ex-terior design director.

“Most convertibles are de-signed from existing coupes orsedans, meaning stowage of thetop is an afterthought, but notthis Buick. It looks handsomeand has a premium appearancewhen the top is lowered – and aperfect, seamless profile whenit’s up.”

The Cascada also has plenty ofstorage space for the trappingsof a weekend getaway, Indiveri

said, including 13.4 cubic feetof cargo room with the top upand 9.8 cubic feet with the topdown. The rear seatbacksfold down electronically to ex-pand cargo capability for longeritems.

The Cascada is driven by a1.6L turbocharged engine ratedat 200 horsepower.

With more than 100 horsepow-er per liter, it’s one of the most

power-dense engines in thesegment, Indiveri said, addingthat it delivers strong torque,estimated at 206 lb.-ft., with anoverboost feature that brieflypushes torque to an estimated221 lb.-ft.

Direct injection and variablevalve timing complement theturbo engine’s performance with

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All work and no play can makefor a dull automaker, but thatwasn’t Ford’s problem at the2015 NAIAS in Detroit last week.Bill Ford Jr. addressed the

world media at the car show onJan. 12, saying that Ford MotorCompany is a vibrant and rele-vant automaker today because itinnovates.“Ford has always been driven

to improve the lives of driversthrough innovation,” Ford said.“We want Ford to be green, globaland high tech. And now, greenhas become a core value of Ford.“Ford has become a high-tech

company. It is leading the indus-try in the use of advanced light-weight materials. We justannounced a joint project be-tween Dow Chemical and the fed-eral government to develop light-weight carbon fiber materials.”Ford CEO Mark Fields added

that the auto industry is abouttaking advantage of the high-techrevolution that’s going on.“In this brave new world, the

winners will be the innovators,the disrupters,” Fields said. “AtFord, the spirit of innovation isaccelerating. Ford Smart Mobilityis taking Ford to the next level.We’ve just opened up an expand-ed tech lab in Palo Alto, Califor-nia. Our innovations have putFord on the fast track.”But, Fields said, Ford is about

more than innovation. The com-pany is also about performance.Ford vice president of Global

Product Development Raj Nairagreed, and told the media aboutthe new Ford Shelby GT350R.The new vehicle, Nair said, is a

true performance vehicle.“The Shelby GT350R Mustang

is a no-compromise car in thepursuit of maximum track capa-bility,” said Nair. “It is a thorough-bred street car making use oftechnology and ingenuity to de-liver performance few enthusi-asts have ever experienced.”The car features the first-ever

production V8 from Ford with aflat-plane crankshaft – the mostpowerful naturally aspirated en-gine Ford has ever produced –plus a specially tuned suspen-sion, Nair said.The vehicle is fitted with re-

vised spring rates and antirollbars, lower ride height, uniquetrack-tuned alignment settings,revised bushings and jouncebumpers, cross-axis ball joints inthe front suspension, and revisedcalibration controlling the Mag-neRide dampers.“The Shelby GT350R Mustang

is a car with the nimbleness andpower delivery you want on aroad course,” said Nair.“This isn’t just about horse-

power. This is an all-around bal-anced athlete – one that is ex-traordinarily precise and agile.”But, Fields said, Ford is only

getting started with the ShelbyGT350R. The company, he said, isalso bringing back the Ford GTsupercar.Beginning production late next

year, Fields said, the GT hits theroad in select global markets tocelebrate the 50th anniversary ofFord GT race cars placing 1-2-3 atthe 1966 24 Hours of Le Mans.“As we at Ford drive innova-

tion into every part of our busi-ness, it’s worth rememberingthat our first innovation as acompany was not in a laboratory,but on the racetrack,” saidFields, referring to Henry Ford’swin of a 1901 car race that in-spired financial backers to investin his company.“We are passionate about inno-

vation through performance andcreating vehicles that makepeople’s hearts pound.”The new GT supercar features

rear-wheel drive, a mid-mountedengine, and a sleek, aerodynam-ic, two-door coupe body shell. Itis propelled, said Fields, by themost powerful EcoBoost produc-tion engine ever – a next-genera-tion twin-turbocharged EcoBoost

V6 producing more than 600horsepower.The GT makes extensive use of

lightweight materials, includingcarbon fiber and aluminum – en-abling outstanding accelerationand handling with improved effi-ciency, said Fields.Ford’s commitment to – and

capability in delivering – tech-nologies typically offered only inelite vehicles is evident in the GT,Fields said, adding that they in-clude advanced active aerody-namics, such as a deployablerear spoiler, and a host of materi-al and technology innovations tohelp better serve the driver, suchas SYNC 3 – the latest version ofFord’s advanced connectivitysystem.

“The GT is the ultimate execu-tion of an enthusiast supercar,”said Nair.“GT includes innovations and

technologies that can be appliedbroadly across Ford’s futureproduct portfolio – another proofpoint that Ford continues raisingthe performance bar while ulti-

mately improving vehicles for allof our customers.”The GT, Fields said, is one of

more than 12 new Ford Perform-ance vehicles coming by 2020.It will join Focus RS, F-150 Rap-

tor, Shelby GT350 and ShelbyGT350R in the growing Ford Per-formance lineup.

by Jim Stickford

Ford’s F-150 Raptor pickuptruck has taken technology fromthe racetrack and put it in thehands of the public.“The Raptor was built to live

off the road,” said Joe Hinrichs,Ford executive vice presidentand president, The Americas, be-fore the world media at the 2015NAIAS.“This is just a neat vehicle that

was born on the racetrack. Inno-vation drives everything we doat Ford. Just look at the new F-150.”Hinrichs said the Raptor is the

toughest, smartest and mostcapable truck Ford has, and itdoesn’t sacrifice comfort.The Raptor, Hinrichs said,

starts with a purpose-built frame– the backbone of the truck –that is the strongest in the F-150lineup, featuring more high-strength steel than the outgoingRaptor.Forged from high-strength,

military-grade, aluminum alloythat helps save more than 500pounds of weight, Raptor’s exte-rior design was inspired, Hin-richs said, by Ford’s perform-ance heritage in off-road racingthat includes Best in the Desert,Lucas Oil Off-Road Racing Seriesand the famous Baja 1000.“The result is one tough

truck,” he said.Raptor is powered by Ford’s

new, second-generation 3.5-literEcoBoost engine that producesmore power with greater efficien-cy than the current 6.2-liter V8,which is rated at 411 horsepowerand 434 lb.-ft. of torque.The first-generation 3.5-liter

EcoBoost, Hinrichs said, provedits mettle off-road – racing in theoriginal F-150 EcoBoost TortureTest truck in the 2010 Baja 1000,as well as notching repeatedwins in off-road race series.The high-output 3.5-liter Eco-

Boost is a Raptor exclusive in theF-150 lineup.It will be paired with a new 10-

speed transmission for improvedefficiency.A new four-wheel-drive,

torque-on-demand transfer case,with an advanced, easier-to-useversion of off-road mode driver-assist technology, further im-proves Raptor’s trail perform-ance, said Hinrichs.Raptor’s new transfer case,

which manages power distribu-tion between the front and rearwheels, combines the best attrib-utes, said Hinrichs, of clutch-driven, on-demand all-wheeldrive with durable, mechanical-locking four-wheel drive.“The new transfer case offers

better traction for a greatervariety of terrain at low and highspeeds – both on-road and off-road,” said Jamal Hameedi, chiefengineer in Ford Performance.Raptor’s new off-road mode

driving technology has evolvedinto an all-new Terrain Manage-ment System that enables thedriver to select modes to opti-mize driving dynamics to envi-ronmental conditions – fromsnow to mud, sand and more,Hameedi said.The new Raptor features cali-

bration changes to its power-train, driveline, traction con-trol, ABS and AdvanceTrac stabil-ity control for optimal perform-ance. Six preset modes are avail-able for the truck, depending onterrain and driving conditions:• Normal mode for everyday

driving;• Street mode for higher-per-

formance, on-road driving;• Weather mode for rain, snow

or ice;• Mud and sand mode for

muddy and sandy trails and ter-rain;• Baja mode for high-speed

desert running;• Rock mode for low-speed

rock crawling.The result of all this technolo-

gy, Hinrichs said, is a smart truckthat uses technology from therace track to a very smart effect.

An available Torsen frontdifferential increases off-roadcapability further, Hinrichssaid.The system increases grip

significantly for the front endof the truck and allows it to pullitself over obstacles and upsteep grades – even when trac-tion is split between the fronttires.

Building a high-performanceoff-road truck isn’t just about en-gine power – more importantly,it’s about the suspension, Hin-richs said.The F-150 Raptor comes stan-

dard with new FOX Racing Shoxwith custom internal bypasstechnology that works to dampand stiffen suspension travelover rough terrain to help pre-vent the truck from bottomingout.Front and rear shock canisters

have grown from 2.5 inches to 3inches in diameter for improvedperformance.They feature more suspension

travel than the current Raptor’s11.2 inches at the front and 12inches at the rear offers, Hinrichssaid.Advanced LED lighting and

camera technology, said Hin-richs, contribute to improvedvisibility on the trail or street –day and night.“This all-new F-150 Raptor

takes Raptor performance to thenext level,” said Dave Pericak,director of Ford Performance.The Raptor will be built at

Dearborn Truck Plant. It goes onsale in the fall of 2016.

PAGE 4 JANUARY 19, 2015DETROIT AUTO SCENE

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The Ford GT supercar is coming back in 2016.

Ford is About More Than Innovation, It’sAlso About Performance – CEO Mark Fields

Raptor ‘Built to Live Off Road’ – Hinrichs

The Ford F-150 Raptor will bring power to the truck market in 2016.

“Newtransfer case

offersbetter traction. . .”Jamal Hameedi,Chief Engineer

JANUARY 19, 2015 PAGE 5DETROIT AUTO SCENE

sion, I’ve never heard of a turkeythat invited himself to Thanks-giving dinner.“Just look at the happy-go-

lucky 1990s when we had merg-ers that didn’t make sense.“But the industry needs to

bring down the cost of develop-ment. What I learned when I wasyounger is that the biggest re-dundancies in the car businessexist at the executive level.”Marchionne also talked about

the company’s facilities in Mexi-co and Canada. He said he hadno specifics to say about theMexican plants other than inabout 12 months, an announce-ment would be made what in-vestments the company wasmaking at those facilities.He also said that Windsor

Assembly has received about $2billion in investments for thenext FCA minivan, which hehopes to see at the 2016 Detroitauto show. And if they decide tobuild a large SUV, that facilitywould be the logical place to doit.

Marchionne also talked a littleabout the Jeep plant in Toledo.He said the workers there havedone a great job for the companyand that effort should be ac-knowledged.“Regardless of what happens

with Jeep, that plant will be keptbusy,” Marchionne said. “The is-sue is financial. It comes down tohow much would it cost to buildthe Wrangler there. It isn’t a nor-mal production vehicle.“The way the plant is set up

imposes production limitations.We’re still working through thedetails. The problem is the sizeof the investment. Some peoplewill have to step up to the bar.We’re talking about a lot of mon-ey.”When asked about the recent

drop in oil prices, Marchionnesaid that shouldn’t really havemuch effect on FCA’s plans or itsportfolio.The decisions that really affect

what will be made, he added, arebased on things like CO2 emis-sions, which he said that, givenupcoming federal regulations, isthe thing that wags the dog.Marchionne added that it’s not

the price of oil that will affect theU.S. market, it’s the value of thedollar.Because of its relative

strength, European and Asianautomakers will be “looking atthe U.S. market with more affec-tion.”In discussing automotive re-

calls, Marchionne said there’sbeen a change in the paradigm ofhow vehicles are recalled andwhy.“We need to see this process

develop as we go forward,” Mar-chionne said. “That’s as far as I’llgo on this.”Marchionne concluded by say-

ing that 2015 looks to be a goodyear for the car business.“There is no doubt that the in-

dustry sees 2015 in an optimisticfashion,” Marchionne said.“The worst case scenario is we

see a stable market this year.We’re all in good shape and notcomplacent, which is unusual.But for now I’m saying I’m opti-mistic for 2015.”

Industry MustLower Costs ofDevelopment

“The industrysees 2015

in an optimisticfashion.”

– Sergio Marchionne,CEO of FCA

CONTINUED FROM PAGE 1

“What a difference a yearmakes.”Those were the words of Ford

CEO Mark Fields used at the 2015NAIAS auto show to describewhere the Lincoln brand was.“The proof of this is in our ac-

tions, not our words,” Fieldssaid. “Last year, we launched theLincoln brand in China. Thebrand had its best sales yearsince 2008.”And, Fields said, the brand

also launched the MKC both hereand in China as well. The newLincoln Navigator was launchedin 2014 and it doubled its market-share in the luxury SUV segment.But 2014 was only one year in

Lincoln’s journey, Fields said.Granted, it was a year that hadOscar-winning actor MatthewMcConaughey become aspokesman for the brand.“I think there should some new

kind of metric to measure a com-mercial’s success based on thenumber of parodies done of it,”Fields said.He said Lincoln’s growth in the

U.S. and China is important be-cause, over the next few years,fully half of all luxury vehicleswill be sold in those two coun-tries.But that’s 2014, Fields said.

The next chapter of Lincoln fea-tures the new MKX.“We are focused on delivering

engaging and refined luxury vehi-cles with innovative and thought-ful technologies,” said KumarGalhorta, president of Lincoln.“The all-new Lincoln MKX re-flects that focus.”He said the MKX is the third of

four vehicles that Lincoln prom-

ised to introduce by 2016.The new Lincoln MKX goes on

sale first in the United States thisfall, followed by other marketsthat include China, Canada, theMiddle East, Mexico and SouthKorea.The Lincoln MKX, Galhorta

said, further strengthens Lin-coln’s position in the global mid-size premium utility segment,which represents 11 percent ofthe global automotive luxurymarket and is expected to growto 12 percent by 2018. It is one ofthe largest luxury segments inthe United States, representingabout one-quarter of the retailluxury automotive market.Leading the engine choices for

the new Lincoln MKX is the avail-able advanced 2.7-liter twin-tur-bocharged Ti-VCT EcoBoost V6,Galhorta said. It is projected todeliver more than 330 horsepow-er and more than 370 lb.-ft. oftorque, based on preliminarytest data.The standard engine, Galhorta

said, is a 3.7-liter V6, projected todeliver 300 horsepower and 280lb.-ft. of torque, based on prelimi-nary test data.Both engines are mated to a

six-speed automatic transmis-sion with push-button shift andSelectShift. Front-wheel drive isstandard, with Intelligent All-Wheel Drive optional.The addition of the integral

link rear suspension, upgrades tothe body structure and chassiscomponents make the new mod-el the best-handling, best-ridingand quietest Lincoln MKX ever,Galhorta said.Several available technologies,

starting with the 360-degree cam-era, a first for Lincoln in theMKX, help make all kinds of low-speed parking situations easier,Galhorta said.The available front camera de-

ploys from behind the LincolnStar badging between the twofront grilles. The camera systemalso offers a 180-degree splitview, which can be helpful inlooking out in cross-traffic situa-tions. The 360-degree viewshows up to 7 feet all around thevehicle.Lincoln MKX has an ultrasonic

sensing system with 12 sensorsenabling the full range of avail-able parking-assist features: frontrear side sensing, perpendicularand parallel parking assist andpark out assist.New available 22-way ad-

justable front seats with activemotion help reduce musclefatigue in the upper legs and low-er back through six adjustableair bladders in the cushion andfive adjustable air bladders inthe lower seat back.Further adjustments can be

made through the four-way pow-er head restraint and the powerthigh extender. The thigh bolsterdeflates to make exit easier andreinflates after entry to the previ-ous setting.Always-on, built-in connectivi-

ty is provided through an avail-able embedded modem, Galhortasaid. Via a smartphone app thatcommunicates with the vehicle,the available MyLincoln Mobileapp gives owners the ability tostart, lock, unlock and locatetheir vehicle, as well as schedulea remote start.

efficiency. It’s backed by a six-speed automatic transmission.Power from the turbocharged

engine is translated into drivingenjoyment via the innovativesuspension system, which em-ploys the sophisticated HiPerStrut front suspension pioneeredon the LaCrosse and Regal.HiPer Strut is based on the

MacPherson strut design and fea-tures dual-path top mountingsthat separate the transfer ofspring and damper loads to thebody structure.Indiveri said it enhances ride

and handling – by reducingtorque steer – more linear andcommunicative steering throughimproved camber control, andimproved impact isolation onbumps and rough surfaces.

Built on the Delta II platform, arigid body structure featureshigh-strength steel in strategicareas, reinforced side sills andpress-hardened steel in theA-pillars.It is the foundation for the Cas-

cada’s driving experience, con-tributing, said Indiveri, to steer-ing precision, ride quality andquietness – as well as safety. A106.1-inch wheelbase, she said,enhances ride smoothness whileenabling greater rear-seat legroom.“This convertible has the same

name of its Opel counterpart,” In-diveri said.“It will be made in Poland and

we like to think of it as a ‘halo’ ve-hicle.“A ‘halo’ vehicle is one that is

an aspirational vehicle that iselevated above the rest just as a

halo is above your head. TheCorvette Stingray is Chevy’s halovehicle.

The idea is to build agood perception of the Buickbrand.”Buick also showed off the

concept car Avenir, which –loosely translated – is French forfuture.“The Avenir was designed with

the inspiration of the classRiviera in mind,” Indiveri said.“It’s meant to evoke Buick’s

classic past while showingthe public where the brand cango.“We have no plans to produce

an Avenir right now, but Buickand GM will look at the businesscase for one and if it makessense, sure.”Indiveri said the response to

the Avenir has been positive.

Buick Cascada and Avenir Shown to WorldCONTINUED FROM PAGE 3

2016 Lincoln MKX


The Buick Avenir concept car debuted at the 2015 NAIAS show.

By TOM KRISHERAP Auto Writer

DETROIT (AP) – Jeep brandCEO Mike Manley has the unenvi-able goal of nearly doubling salesof the Jeep brand all over theworld in the next three years.He’s banking on the rugged

SUV brand’s high recognition inEurope, China, Brazil and else-where, and some new vehicles insegments where Jeep does notnow have entries to meet thegoal set by his boss, FiatChrysler CEO Sergio Mar-chionne.Still, it will be tough to grow

from last year’s record sales ofjust over a million to 1.9 millionin 2018. It also will be difficult forManley to pull off an encore per-formance of the last five years,which saw sales triple from just337,000 in 2009.But Manley, in an interview

last week at the Detroit autoshow, is confident he has thetools to get the job done.Here are three questions that

Manley answered, edited for clar-ity and length:

Q: Your sales goal is prettyhigh. How do you accomplish it?Is the majority of the growth inglobal markets?

A: Since 2009, every singleyear we have continued to growmuch stronger than the industry.And I think we have the opportu-nity to do that, particularly asRenegade (a subcompact SUV)reaches the U.S. by the end of thefirst quarter and finishes its glob-al rollout by the end of the firsthalf.Cherokee (midsize SUV) is

only in its second full year, so I’mlooking for that vehicle to contin-ue to grow. There will be someadditions to the portfolio.One of the major parts of the

next phase will be the globaliza-tion of the industrial footprint. Inthe major markets of China andBrazil, for example, as a pure im-porter, we naturally play in avery niche position. Our first

plant will go on line to make theRenegade in Brazil in March.At the end of this year, we will

return to local manufacturing inChina with Cherokee. We alreadymade the first stage of globalmanufacturing with the Rene-gade in Europe. (Chrysler has topay tariffs in major marketswhen it imports vehicles. Manu-facturing locally makes it morecompetitive on price.)If we execute well, the 1.9

should be in our sights. TheCompass and Patriot compactSUVs are next to get updates in2016.

Q: Are low gas prices in theU.S. helping Jeep sales?

A: When we were still at $3.80per gallon, we were still up 38percent year over year. We endedthe year up 41 percent. So ourgrowth story was happeningprior to the lows we’re seeingtoday.There’s no doubt that gas

prices being this low for this longhave got to help – even if it’s justhelping consumer confidence. Ithink we all notice it’s a lot lessmoney to fill up your vehicle.That helps with a better senti-ment and outlook.Whether you can directly say

it’s moving people into SUV seg-ments or not – my gut tells me itis. But whether it is or it isn’t, Ihave no doubt that it’s going tohelp at least maintain and contin-ue a strong industry into 2015.

Q: How is the Jeep brandviewed in Europe or China? Dothey know it as tough andrugged?

A: Yes. In all senses, it’s a gen-uine global brand. It’s really be-cause of what Jeep stands forand its history. Jeep to me is abrand that has a spirit, has a con-nection with its customers. It’sabout experiencing life. It’s aboutdoing more tomorrow than yes-terday. The things that Jeepstands for resonate with people.We may have to communicate

it in a different way based uponthe region.

Jeep CEO Manley AnswersFuture-Marketing Questions

Lincoln MKX to Hit U.S. Showrooms by Fall

Already recognized for en-abling many of the top perform-ing production cars in the world,said tire company spokesmanBrian Remsbert, Michelin is onceagain prominently featured onseveral high profile world pre-mieres and other recently intro-duced automobiles during theNorth American InternationalAuto Show in Detroit.Remsberg said that the follow-

ing automobiles will exclusivelyfeature Michelin tires that werespecifically designed and devel-oped in partnership with their re-spective manufacturer:• 2016 BMW X5M and 2016

BMW X6M – Michelin Pilot SuperSport (21-inch only);• 2016 Cadillac ATS-V – Miche-

lin Pilot Super Sport;• 2016 Cadillac CTS-V – Miche-

lin Pilot Super Sport;• 2015 Corvette Z06 – Michlin

Pilot Super Sport and MichelinPilot Sport Cup 2;• Ford GT – Michelin Pilot

Sport Cup 2;• 2016 Shelby GT350 Mustang

– Michelin Pilot Super Sport;• 2016 Ford Shelby GT350R

Mustang – Michelin Pilot SportCup 2.“Michelin is proud of our col-

laboration as a preferred tech-nology partner with many of theworld's leading automakers, wehave worked very closely withtheir engineering teams to de-sign and develop tires that maxi-mize the performance of theseamazing vehicles,” said Bob Car-roll, vice president of NorthAmerican sales for Michelin. “Welike to say that we don't just selltires, we sell technology that en-ables mobility. Every one ofthese projects was unique withthe tires specifically tuned to thevehicle.”These vehicles join a growing

list of automobiles exclusivelyfitted with Michelin tires to helpenhance performance, Remsbergsaid, including: the BMW M3 andM4, Ferrari 458 Speciale, Mer-cedes Benz SLS AMG CoupleBlack Series, Porsche 918 Spyderand 911 GT3R.

Michelin Tires Give Edge

By DEE-ANN DURBIN and TOMKRISHERAP Auto Writers

DETROIT (AP) – The head ofelectric car maker Tesla Motorssays the company should turn aprofit in five years after it bringsa lower-cost car to market.CEO Elon Musk, speaking Jan.

13 at an automotive conference,said Tesla needs to show a profit,and will when it’s selling 500,000cars per year. He predicted thatsales milestone will be reached in2020, when its lower-cost car –the Model 3 – is in full production.Tesla, which was founded in

2003, has never made a full-yearprofit. The company based inPalo Alto, Calif., expects to sellaround 33,000 Model S sedansthis year.Speaking at the Automotive

News World Congress, Musk saidTesla could make money underU.S. accounting standards “if weweren’t growing and investinggreat amounts of money.”In addition to developing the

Model 3 and a crossover, Teslarecently reengineered its Model Ssedan to offer all-wheel drive. It’salso building a $5 billion batteryfactory in Nevada that is set tobegin production in 2017.Musk wouldn’t say how many

Model S sedans Tesla sold lastyear, citing its upcoming earn-ings report.He did say fourth-quarter sales

fell in China because of cus-tomers’ concerns about plugging

in their vehicles if they live inapartment buildings.Musk said that issue is being

resolved as Tesla expands its net-work of supercharging stations inChina.He added that North America

and Europe saw a “significant in-crease” in sales.In addition to the Model 3 –

which, at $35,000, would costhalf the price of a Model S –Tesla is developing the ModelX SUV, which is set to go onsale this summer after severaldelays.Musk said technical difficulties

with the crossover’s unique reardoors, which open up instead ofout, were the reason.“I do have an issue with punc-

tuality,” Musk joked. “This car isreally good. And I do not saythese things lightly.”He said he wasn’t concerned

about competitors, including theChevrolet Bolt, a $37,500 electriccar with a 200-mile range thatwas introduced this week at theDetroit auto show.General Motors says the Bolt

could be on sale by 2017.“I don’t see it as a competitive

threat because I think all carswill go electric,” he said. “It’s notgoing to affect us, really.”Musk said he wishes more

automakers would take a risk onelectric cars.Low gas prices, he said,

shouldn’t hinder their adoptionbecause electric cars are cheap-er to run than gas-powered cars

even if oil is $40 to $50 perbarrel.“I think there’s going to be

huge societal pressure towardselectric cars,” he said. “They’rejust fundamentally better.”Musk said he plans to lead

Tesla at least through high-vol-ume production of the Model 3.He may not always be CEO,

he said, but he will play a role inthe company “as long as I’malive.”

Tesla CEO Predicts Profit with New Model


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Chevrolet is using advancedconnected vehicle technology togive customers a sense of assur-ance in their vehicles.This new tech will debut later

this year, said GM spokesmanStuart Fowle.This “industry-leading” prog-

nostic technology can predictand notify drivers when certaincomponents need attention – inmany cases before vehicle per-formance is affected, Fowle said.The predictive technology is

initially focused on the battery,starter motor and fuel pump,all critical to starting andkeeping a vehicle running, Fowlesaid.Additional vehicle parts and

components are expected to beadded in future model years.“This is a new chapter in our

pursuit to provide customerswith convenience and the bestoverall service in the industry,”said Alicia Boler-Davis, GeneralMotors senior vice president,Global Connected Customer Ex-perience.“Using our innovative OnStar

4G LTE connectivity platform, wecan actively monitor vehiclecomponent health and notify our

customers if covered vehiclecomponents need attention.“Nobody else in the industry is

offering this.”Building on the 15-year history

of connected vehicle technologythrough OnStar, the prognosticservice relies on OnStar 4G LTEto provide data streams fromsensors within the vehicle, Boler-Davis said.When customers have enrolled

their properly equipped vehiclein this service, the data is sent toOnStar’s secure servers and pro-prietary algorithms are appliedto assess whether certain condi-tions could impact vehicle per-formance.When indicated, notifications

are sent to the customer viaemail, text message, in-vehiclealerts or through the OnStar Re-moteLink smartphone app.This service is expected to be

available on select 2016 Chevro-let Equinox, Tahoe, Suburban,Corvette, Silverado and Silvera-do HD models equipped with cer-tain powertrains.More Chevrolet vehicles will

follow with this service through-out the 2016 model year, Fowlesaid.

Prognostic capability is the lat-est advancement in a suite ofservices that will keep Chevroletcustomers informed from thefirst day of ownership throughmany years into the future, saidFowle.Chevrolet customers with an

active OnStar connection alreadycan monitor tire pressure, oil lifeand other key data points via theOnStar RemoteLink smartphoneapp or through a monthly diag-nostic email sent from the vehi-cle.In 2016, Chevrolet is adding a

new capability, which allows cus-tomers to check these key datapoints continuously, withouthaving to wait for their monthlyemail, Fowle said.Keeping a vehicle’s tires filled

to the recommended pressureand keeping vital systems well-maintained can lower fuel costsand extend a vehicle’s life, hesaid.Together, said Boler-Davis,

Chevrolet’s advanced diagnosticand prognostic capabilities willkeep owners more informed andempowered to make every tripconfidently through years ofownership.

Chevrolet to Debut Prognostic TechnologyThat Informs Drivers of Potential Issues

Chris Urmson, director of self-driving cars at Google, said Jan.14 at the Automotive News WorldCongress that the technologygiant has started talks with mostof the world’s top automakersand assembled a team of globalsuppliers to speed its push tobring self-driving cars to market.The suppliers named by

Google included Bosch, whichsupplies power electronics andlong-range radar to Google; ZFLenksysteme, which supplies anew steering gear; LG Electron-ics, which supplies the batteries;plus Continental and Roush.Urmson confirmed that Roush,

the Michigan-based engineeringand specialty manufacturingcompany, built the podlike two-seater that Google plans to starttesting on public roads this year.Crain’s Detroit Business, an affili-

ate of Automotive News, reportedthat relationship last May.Google didn’t ask a large auto-

maker to build this car, Urmsonsaid during a discussion withAutomotive News publisher andEditor Jason Stein, but intends todo so in the future when it seeksto commercialize its technology.“At some point, we’re going to

be looking to find partners tobuild complete vehicles, andbring the technology to market,”he said.Asked when that might be, he

said, “When it’s safe and ready.”Urmson was among more than

20 industry leaders to addressthe sold-out group of more than1,200 attendees. Other speakersincluded Mary Barra; Elon Musk,CEO of Tesla Motors; Sergio Mar-chionne; and Joe Hinrichs, presi-dent – The Americas, Ford.

Google Talks Cars at NAIAS

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industry-leading battery anddrive-unit technologies, we’vedelivered all of that, while alsomaking the Volt more refined andfun to drive.”Practically every element and

component of the Voltec system– which includes the battery,drive unit, range-extending en-gine and power electronics – isnew or improved, said Farah.The Volt’s greater EV range andnew range-extender result in aquieter driving experience.“Volt remains the only electri-

cally driven vehicle with rangecapability similar to traditionalengine- or hybrid-driven cars ofits size,” said Farah.“In all climates, it can be driv-

en across town strictly on elec-tricity or across the country withthe assist of its range extender –

a claim that can be made of noother electric vehicle withoutcondition.”GM also showed off a concept

car – the Bolt – at the auto show.This vehicle, which Reuss saidwas well on its way to produc-tion, is a fully electric vehiclethat goes a long way towardfulfilling GM’s vision for anaffordable, long-range all-electricvehicle designed to offer morethan 200 miles of range startingaround $30,000.“The Bolt EV concept is a

game-changing electric vehicledesigned for attainability, not ex-clusivity,” said General MotorsCEO Mary Barra. “Chevrolet be-lieves electrification is a pillar offuture transportation and needsto be affordable for a wider seg-ment of customers.”Leveraging the electrification

prowess established by Volt and

Spark EV, the Bolt EV concept isdesigned to offer long-range per-formance in all 50 states andmany global markets, Barra said.Drivers will be able to select

operating modes designedaround preferred driving stylessuch as daily commuting andspirited weekend cruising, foruncompromising electric driving.The modes adjust acceleratorpedal mapping, vehicle rideheight and suspension tuning.The Bolt EV concept is also de-signed to support DC fast charg-ing.“We have made tremendous

strides in technologies that makeit easier and more affordable forChevrolet customers to integratean all-electric vehicle in theirdaily lives,” said Barra. “The BoltEV concept demonstrates Gener-al Motors’ commitment to elec-trification and the capabilities ofour advanced EV technology.”“We’re doing what our cus-

tomers are asking us to do,”Reuss said. “The Bolt has greaterrange for less money. I think itwill be a lot of fun for people whodrive it. And that’s important be-cause we’re a for-profit businessand we have to take a long-termview concerning mileage andCO2 standards for our fleet.”GM invited several Volt cus-

tomers to speak to the mediaabout the Volt ownership experi-ence.John Monsour of Clinton

Township, a husband and fatherof two children has owned a Voltsince June of 2014. Since then,he’s only had to fill up the car“exactly three times.”“People are always asking me

what kind of gas mileage I getwith my Volt,” Monsour said. “Itell them that, according to thecomputer, I’m getting about 165miles to the gallon.“They then ask me what I’m

spending on electricity to chargethe car. I am only spending about$30 a month to charge the vehi-cle. It even tells me what the besthours are to charge to save mon-ey. It’s between 1 and 4 a.m.“So, the charge automatically

charges, when plugged in, duringthose hours. It’s a really good carand I’m glad I bought it.”

CONTINUED FROM PAGE 1


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by DAVID RUNKAssociated Press

DETROIT (AP) – Another Chi-nese automaker is showing vehi-cles this year at the auto show inDetroit, raising the perennialquestion about when these com-panies might sell in the UnitedStates.The answer: Years from now,

according to carmakers and in-dustry observers alike.Chinese manufacturers have

announced plans over the pastdecade to export to the U.S. onlyto postpone them when facedwith passing U.S. safety andemissions tests and building adealer network. They also mustovercome big hurdles in convinc-ing U.S. car buyers that Chinesecars have the quality they de-mand. Still, Chinese companiesremain interested in eventuallyselling in the prestigious – andpotentially profitable – market.“The fact that they’re showing

in Detroit doesn’t really signifythat they’re coming soon,” saidMichael Robinet, managing direc-tor of IHS’s automotive group.“They’re showcasing that they’rein the game, looking to expandbeyond the home market.”Any Chinese-made cars sold in

the U.S. likely would come in atthe bottom segment of the mar-ket for different types of vehi-cles, Robinet said, where theywould compete in the alreadylively market for used cars. Buy-ers would need to decidewhether it’s better to buy a usedcar made by General Motors orToyota, for example, or a new carfrom a company that just arrivedon American shores.John Humphrey, senior vice

president of global automotiveoperations at J.D. Power and As-

sociates, said the quality of Chi-nese-built vehicles has im-proved, but they still generallylack the fit-and-finish that U.S.car buyers expect. And con-sumers’ experience with wavesof Chinese-made products thatthey encounter daily at storeswould color their expectationsabout new cars.“There’s a general perception

of goods coming out of China, be-ing fair or unfair, that they arerelatively sub-par,’’ Humphreysaid.The Chinese automakers basi-

cally compete on price, and inthe past several years have start-ed to upgrade their design,’’ saidYale Zhang, managing director ofAutomotive Foresight, a researchfirm in Shanghai.Quality has improved but “it’s

not there yet to enter maturemarkets like Western Europe andthe U.S.,’’ Zhang said. In the U.S.,challenges include setting up dis-tribution in an unfamiliar marketin which local laws prohibit di-rect sales to customers, Zhangsaid.Chinese companies are in their

first decade displaying vehiclesat the North American Interna-tional Auto Show. In 2006, a loneGeely Automobile sedan sittingoutside the main exhibit hallsmarked the first time a Chineseautomaker showed a car in De-troit. Last year, the Chinese com-panies skipped Detroit.This year, Guangzhou Automo-

bile is showing vehicles includ-ing a fuel-efficient small SUV thatwill be sold in China starting inApril and parts of the MiddleEast, Africa, South America andeastern Europe in late 2015.The company, GAC, said 2017

is a possible year it would like toenter the U.S. market.

Chinese Carmakers Want toEnter U.S., But Face Hurdles

Ford Motor Company’s thirdannual trend report suggests2015 will be marked by a broaddesire to enact change for thegood.“Looking Further with Ford

2015” reveals data and insightsabout global consumer habitsand behaviors expected toshape culture in 2015 and be-yond.One of the featured trends

commented on in the report is“Make Way for Gen Z.”Generation Z, which follows

the Millennials, is the first trulyglobal generation, born into anon-demand, technology-drivenculture.Expected to account for more

than 20 percent of the world’spopulation, these digitally savvy,socially conscious consumers,most of whom are still teenagers,are working to help define thetrends of both today and tomor-row, said Ford spokeswomanMarisa Bradley.“While demographics are in-

variably a factor in futuringwork,” said Sheryl Connelly, Fordglobal consumer trend and futur-ing manager, “what’s driving ourreport for 2015 is this emergingGeneration Z consumer, who isalready inspiring attitudes andbehaviors in consumers of allages.“We saw similar traits with Mil-

lennials, but Gen Z consumers –

being much more connected andaware of the options available tothem – are the global go-getterswho have a link to each of ourmicro-trends for 2015.”Despite looming issues such as

climate change, privacy threats,epidemic disease and geopoliti-cal strife – there is optimism inthe air, Connelly said.Against this backdrop, “Look-

ing Further with Ford 2015” high-lights the modern-day rebelworking to buck convention andset new standards, as well aspeople who are more motivatedthan ever to take risks in theirsearch for success, which is be-ginning to erode the stigma offailure, Connelly said.

“In this spirit of determination,new forms of collaborative con-sumption and mobility areemerging – giving us more free-dom to pursue ideas and pas-sions,” Connelly said.In preparing trend reports,

said Bradley, Ford experts moni-tor shifts in social, technologi-cal, economic, environmentaland political arenas to under-stand what drives consumer atti-tudes and behaviors – and howthis impacts the automotive cate-gory.The insights gathered will

guide Ford designers and engi-neers in developing future Fordproducts.Ford marketers will also use

this information to help antici-pate in terms of the customershopping and ownership experi-ence of emerging generations,Bradley said.“Looking Further with Ford

2015” focuses on a broad rangeof micro-trends affecting busi-nesses and consumers, and re-flects years of qualitative andquantitative research, as well ascollaboration with thought lead-ers around the world.

“A rich understanding of ourcustomers’ ever-evolving needs,priorities and desires – both to-day and tomorrow – is key to oureveryday business and globalproduct development strate-gies,” said Connelly.“These trends and insights

help us at Ford in our role as aninnovator to create products thatnot only exceed expectations,but push the boundaries of imag-ination.”As the Generation Z consumer

evolves, Ford is looking at howthese behaviors and trends willaffect every part of the automo-tive business – from vehicle de-velopment to the experience cus-tomers will expect when the timecomes to purchase or own a ve-hicle, Connelly said.Some of the trends Ford ex-

pects to influence consumersand brands in 2015 and beyondinclude:• Make Way for Gen Z: With

considerable pressure and highexpectations, Gen Z’s mantra issimple: “Good things come tothose who act.”• Rally for Renegades and

Rebels: Society has always lovedrisk-takers, but the marketplacehas never been more receptiveto those who push boundariesand break molds.• Flaunting Failure: The stigma

of failure is quickly eroding; in anera of constant change, the onlytrue failure is a failure to try, toimprove, to evolve.• Carryless Movement: To-

day’s consumers don’t want tocarry things and, increasingly,don’t need to. New technologiessuch as wearable gadgets andsmartphone apps are transform-ing the mechanics of how con-sumers pay for goods and servic-es, how and where marketersreach their customers, and whopeople trust with their most valu-able information.• No Strings Attached: In a

world where innovation movesso rapidly, no one wants to beleft behind with a product thathas become outdated or obso-lete. The result is an emerging ala carte mentality that trumpetsaccess over ownership.• Expanding Next of Kin: As

traditional families and commu-nities become less the norm, theconcept of family is adapting, ex-panding and evolving in a mostpersonal fashion.


Ford’s Trend Report: ‘Make Way for Gen Z’

DETROIT (AP) – A new part-nership that will research andcreate lighter and stronger man-ufacturing materials will be aboost to Michigan’s economyand the auto industry, officialssaid Jan. 13.President Barack Obama in

early January announced thatthe $259 million Institute for Ad-vanced Composites Manufactur-ing Innovation, which will be an-chored by the University of Ten-nessee-Knoxville and will include122 public and private partners,including some from Michigan,will team to make lighter andstronger manufacturing materi-als for things like fuel-efficientcars or wind turbine blades.The effort is backed in part by

a $70 million grant from the U.S.Department of Energy, and Michi-gan has made a $15 million com-mitment to support the hub’s ac-tivities in Michigan over the nextfive years. Other partners areproviding the rest of the funding.“This award has huge implica-

tions on the future of the indus-try and will help smaller compa-nies who need access technolo-gy or a place to test innovativeideas,” said Lt. Gov. Brian Calleyat the North American Interna-tional Auto Show in Detroit.As part of the effort, lab space

is expected to be used in Detroit.Michigan State University, theUniversity of Michigan, Midland-based Dow Chemical Co. andDearborn-based Ford Motor Co.are among those involved in theAdvanced Composites hub.It joins other manufacturing

hubs designated for Detroit;Youngstown, Ohio; Raleigh, N.C.;and Chicago.On Jan. 15, a ribbon-cutting is

planned at the earlier-announced$148 million American Light-weight Materials ManufacturingInnovation Institute in Detroit.The research program is expect-ed to help move cutting-edgemetals from research into vehi-cles, planes and ships used com-mercially and by the U.S. mili-tary.Meanwhile, Calley on Jan. 13

also joined officials in announc-ing the creation of the MichiganDesign Council, which is intend-ed to help grow Michigan’s poolof design professionals.Details are in the works, but

plans call for the creation of anannual statewide product designprize and a district in Detroitwhere design work would be en-couraged. A similar design enter-prise zone could be organized inGrand Rapids to promote the de-sign industry.

State, Feds, Colleges, FirmsTeam for Better Materials

There’s tough and then there’spolice vehicle tough.That’s what Ed Peper, GM Fleet

& Commercial U.S. vice presi-dent, said when the county ofVentura (Calif.) took delivery of afleet of 2015 Chevrolet TahoePPVs.The Tahoe fleet soon will be

used by the county sheriff’s de-partment while on patrol.The department received the

vehicles on Dec. 18, said GMspokesman Robert Wheeler.Once the existing Ford Crown

Victorias and Dodge Chargersare phased out, Wheeler said,the County of Ventura’s patrolfleet will comprise solely Chevro-let Tahoe PPVs.“The safety and ergonomics of

the 2015 Chevrolet Tahoe PPVare the key reasons for the sher-iff’s department and our fleet op-erations team choosing this vehi-cle to replace their current patrolvehicles,” said Peter Bednar,County of Ventura Fleet Opera-tions manager.“The visibility from the vehicle

allows deputies to better spot in-cidents and react faster.”For the first time, the Tahoe

PPV is offered with 4-wheel-drivecapability. Tahoe PPV remainsthe only full-size, body-on-frametruck-based product on the mar-

ket, said GM spokesman RobertWheeler.More than 6,500 Tahoe PPVs

have been ordered since Marchwhen the vehicle was made avail-able to police agencies and fleets.“The Tahoe PPV & SSV contin-

ues to be GM Fleet and Commer-cial’s most-popular selling policevehicle,” said Peper. “The all-newTahoe strengthens GM’s policeportfolio and commitment to thelaw enforcement market.”Although more municipalities

are selecting Tahoes due to theirlow cost of ownership and highresale value, Wheeler said,Chevrolet also offers the mostcomprehensive police lineup inthe market.And, Wheeler said, the Chevro-

let Caprice PPV, a purpose-builtpolice duty vehicle that deliversbest-in-class top speed and 0-60acceleration of just over six sec-onds, and the Chevrolet ImpalaLimited Police sedan give policefleet owners options when itcomes to choosing a vehicle.New for 2015 is the Chevrolet

Silverado 1500 Crew Cab SpecialService Vehicle (SSV), saidWheeler, offering the same capa-bilities and durability as theaward-winning Silverado 1500,with special features designedfor police use.

California Sheriffs PatrolHighways in 2015 Tahoes

“Gen Zconsumers

are the globalgo-getters.”

Sheryl Connelly,Ford Trends


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8333 EAST 11 MILE ROAD • I-696 & VAN DYKE • 888-548-8939Visit our website: www.PrestigeCadillac.com for all our specials

* Tax, title, license and dealer fees extra. No security deposit required. 30,000 miles with approved lease. Mileage charge of $.25 per mile over 30,000 miles.Lessee pays for excess wear and tear charges. All applicable rebates to dealer. Photo may not represent actual vehicle. ATS, CTS, XTS & SRX must show

proof of current lease of a 2004 or newer GM vehicle and lease eligible new 2014 Cadillac.MRSP’s: ATS $38,240, ATS Coupe $41,440, CTS $48,340, XTS $45,595, Escalade $82,245, SRX $38,600.Due at signing ATS $3,059, ATS Coupe $3,819, CTS $4,109, XTS $3,179, Escalade $3,974, SRX $1,729.

See dealer for details. Take delivery by 1/31/2015.

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ble of 0-60 performance in 3.7seconds, de Nysschen said.Track-honed design, chassis

and suspension elements com-plement the superchargedpowertrain and elevate CTS-V’scapability, performance and driv-er control to new thresholds,while enabling track drivingwithout modifications or specialprocedures, de Nysschen said.According to a Cadillac press

release, key performance tech-nologies include:• Standard carbon fiber hood

and available carbon fiber vent,front splitter, rear spoiler andrear diffuser for greater aerody-namic performance.• Brembo high-performance

brake system developed to pro-vide durability, consistency andthe capability for track-dayperformance straight from thefactory.• Third-generation Magnetic

Ride Control delivering 40 per-cent faster damping response.• Integrated chassis controls

that provide balanced perform-ance for touring and the track, in-cluding competition-spec Per-formance Traction Management.• Structural stiffness in-

creased by 25 percent forimproved ride and superiorhandling.• Driver-selectable modes

that electronically calibrate per-formance variables for touring,sport and track driving condi-tions.• Michelin Pilot Super Sport

tires with tri-compound

technology offering excellentgrip with extended wear .• An interior with perform-

ance-oriented, sueded microfiberaccents and matte-finish carbonfiber trim and available RECAROhigh-performance seats for spir-ited driving.• Advanced safety and park-

ing technologies, including afront curb-view camera systemthat provides a visual cue ofcurbs to protect the front split-ter; automatic parking assist tofind and steer into parallel orperpendicular parking spots;side blind zone alert; forwardcollision alert; lane keep assist,and rear cross-traffic alert.Mark Reuss, GM vice president

for Global Development, said hegot to drive the CTS-V a fewtimes in the development stageand “it’s great to see it out in thereal world without any camou-flage.”“Driving any car at 200 mph is

incredible,” Reuss said. “It meansyou’re approaching the limits ofwhat a production car can do.Very few vehicles achieve thatkind of speed. And it’s hard todesign such a vehicle and stillhave it be comfortable to drivefor everyday use.”People, Reuss said, have been

asking him why GM designed theCTS-V with a V8 engine whenthey have a great V6 that couldgo in the CTS-V.“I tell them that we’re not leav-

ing anything on the table.Besides, Cadillac basically in-vented the V8. The goal of thiscar is not to compete with BMWand Mercedes – it’s to win.”

GM’s Reuss: CTS-V Goal is toNot Compete – ‘It’s to Win’CONTINUED FROM PAGE 1

by JEFF KAROUBAP Business Writer

DETROIT (AP) – Inside the au-to show here, automakers areshowing off electric and other ve-hicles designed to cut our de-pendence on fossil fuels. Out-side, car buyers are paying thelowest prices in years for car-bon-based fuels.That dichotomy has the indus-

try scrambling to sell alternativevehicles and buyers makingchoices that seemed impracticaljust a short time ago.Some of the cars that will tease

visitors to the North AmericanInternational Auto Show includea new all-electric Chevrolet Bolt,hybrid and plug-in versions ofthe Hyundai Sonata, and othervehicles aimed at easing pain atthe fuel pump.But cheap gas prices across

the country, driven by a surpris-ing plunge in oil prices, aretempting potential buyers awayfrom the small and economicaland toward comparatively moregas-guzzling trucks and SUVs.That’s leading automakers totake the long view, adjust pro-duction and hope big researchand development bets still payoff on better mileage to meetstricter government emissionsstandards. They also want to ap-peal to consumers, who oncewere anxious about high gasprices.The plummeting pump prices

– now pegged by AAA at $2.13per gallon on average as of Jan.12, compared with $3.31 a yearago – have had an “immediateimpact on consumer psyche,’’ ac-cording to Edmunds.com senioranalyst Jessica Caldwell. Accord-ing to the car-shopping site,SUVs and pickups outsold cars in2014 for the first time in adecade. It helps that SUVsare now built on car ratherthan truck platforms and havevastly improved fuel efficiency

compared with their forebears.“People want to buy these cars

and low gas prices give them thejustification they need to do so,’’Caldwell said.High gas prices and stricter

fuel-economy rules forced theindustry to improve existing gas-powered engines and to developnew vehicles that relied less – ornot at all – on carbon for power.Hybrids came to prominence atthe turn of the millennium withthe Toyota Prius. But last year,sales of Prius models dropped11.5 percent, compared with theprevious year.It’s tough to predict a turn-

around. The lower gas goes, thelonger it will take to make thepurchase pay off for a higher-priced, better-mileage Prius in-stead of, say, a Corolla.The Prius costs approximately

$4,300 more than a comparablegas-powered vehicle. Back inJuly, when gas was around $3.60a gallon, a Prius buyer could ex-pect it to take about 8 years torecoup the extra cost in the formof gasoline savings. At currentprices, the payback doesn’tcome for nearly 14 years.Still, not all small cars have

suffered. Caldwell says falling gasprices have given first-time buy-ers and others more comfort andconfidence to buy a new car.Sales of the redesigned Honda Fitsubcompact were up 40 percentin December, for example, whilesales of the Nissan Sentra smallcar rose about 43 percent.Alec Gutierrez, a senior market

analyst for Kelley Blue Book, saidtemporarily cheap gas isn’tenough to convince buyers tomake extreme moves, like trad-ing in a subcompact for a largeSUV. But low prices are prompt-ing buyers to kick the tires ofsomething a little larger. Peopleshopping for a small SUV like theToyota RAV4 are now also con-sidering the larger Toyota High-lander, for example.

Lower Gas Prices TemptingBuyers to Move Up to SUVs

JANUARY 19, 2015DETROIT AUTO SCENE

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*We make car buying fun at Milosch’s Palace. Please call to schedule an appointment for a demonstration drive. All rebates to dealer. Deals apply to stockunits only. Must be a Chrysler employee. $1995 down, plus destination, taxes, title, plates. Must be Chrysler Employee. $500 Military and TDM included.Lease calculated at 10,000 miles per year. Vehicle shown not actual vehicle. WAC. See dealer for details. **Lease and prepay examples are plusdestination, taxes, title, plates, $0 sec. deposit required. Includes Conquest Trade-in and must be Chrysler Employee. Programs subject to change.†On select models. See dealer for details. Expiration date is 1/31/15.

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