GM has small engines ready, waiting for customer demand

Posted Wed Jul 30 2008 1:26 PM by Nelson Ireson

The automobile industry - and especially the players in the U.S. market - have long been engaged in an all-out battle for more power and performance. The 2008 fuel crunch has shaken that strategy up somewhat, but General Motors says it still needs a signal from buyers that they are willing to accept smaller displacements and equal or less power before it can implement its available small engines.

While that may seem like backward thinking given the evidence of GM's plummeting sales while companies like Honda and Hyundai that focus on smaller-displacement, economical cars hold steady or even grow, it's the way the General and its Detroit compatriots have worked for decades. The problem may also lie in GM's current product lineup - customers interested in buying large SUVs and sedans don't want turbocharged four-cylinders powering them, it appears. Shifting output to smaller cars will make the smaller engines more desirable.

Nevertheless, Thomas G. Stephens, GM's executive vice president, insists the company is ready to move forward with smaller engines, reports Auto Observer, and is waiting only on customer demand, saying of a vehicle like a turbo four-cylinder Cadillac CTS or similar-sized car, "[f]rom a technical point of view, we could do it today."

Reader Comments

Wed Jul 30 2008 3:43 PM
James says

waiting only on customer demand?

This is why GM is in trouble. They are simply too reactionary. Of course it is a big risk to downsize engines, especially for a car like the CTS --or Corvette even-- but sometimes you have to take risks. I'm no fan of Toyota, but for some reason they saw a need for a Prius, spent their money (or the Japanese govt's money, depending on who you believe) and went forward with development.

One of the problems for an American company like GM is that "Wall Street" --and its sole focus on "next quarter's numbers" and immediate financial gratification-- don't necessarily allow for companies to think "long-term". This short-term mentality is partly why we find ourselves in this current economic mess.
Wed Jul 30 2008 7:27 PM
NoNameDenton says

I agree with James, GM needs to stop this reacting and need to go after the problem when it starts to come not after it is there. A high powered turbo 4 in the CTS would be a great seller in America (and how about getting a diesel version Europe gets one).
Wed Jul 30 2008 8:56 PM
DadzBoyz says

If they can do it, then do it. Pretty simple. How will they guage customer interest if the option is not available. What? They wait for Audi to put a 4 in the A6 (already have 4's in Passat)? They wait for BMW to put a 4 in the 5 series? Wait, wait wait. They're saying that they don't want to lead. They woud rather follow. Really, in the grand economics of a car manufacturer if they have the engine ready it shouldn't cost to much to start shipping the enginse to the plant and start installing. Come on GM. Stop talking ant act.
Wed Jul 30 2008 9:37 PM
NoNameDenton says

Well, the Audi A6 in Europe has a 4 cylinder and Caddy wants to sell well in Europe, so makes sense to stick the 4 cylinder in the CTS for that market and sell it in the States on a test period to see how well it does.

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