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Buick Encore GX expected to come to the U.S. alongside the popular Encore

When we posted on Buick unveiling the Encore GX at Auto Shanghai 2019 as a longer-wheelbase version of the Encore, we though the GX trim could supplant our local Encore. According to Automotive News, citing "sources familiar with the plans," Buick will sell both the Encore and the Encore GX here. Brand boss Duncan Aldred told Buick dealers in January to expect a new model this year, and it appears the slightly larger subcompact crossover is that product. GM Authority reported the same news in March, the outlet saying that Buick intends to re-create in the U.S. the "model family" strategy the carmaker employs in China. Over there, our rebadged Verano sold as the first-generation Excelle, Excelle GT and Excelle GX, the GX being the wagon version of the sedan. When the Excelle trio moved a less expensive platform for the second generation, Buick introduced a Verano model in China in both sedan and Verano GS hatchback forms. AN reported that Buick is also planning a smaller three-row Enclave for China. The Encore GX differs fundamentally from both the Chinese- and U.S.-market Encores. Our Encore, a rebadged Opel/Vauxhall Mokka, rides on the Gamma II platform. The second-generation China-market Encore rides on GM's new Global Emerging Markets (GEM) platform, an updated version of the Gamma II for regions like China and Latin America. The Encore GX rides on the Vehicle Strategy Set - Front (VSS-F) architecture. AN wasn't sure yet where our U.S.-market Encore GX will be built, but doesn't expect it to come from China. The Encore GX here will slide into the lineup between the $23,200 Encore and $31,995 Envision. Whereas the Chinese model aims to stop hemorrhaging Encore sales in China, our version will want to expand the Encore success story. Since it went on sale in 2013, the model has posted double-digit sales increases here every year save for last year. In 2018 the model sold 93,073 units, accounting for 47 percent of brand sales. There's no reason to doubt the Encore GX will boost that number.

GM recalling nearly 4,000 vehicles over airbag concerns

Four different General Motors vehicles from the 2012 model year are being recalled over a potential airbag issue. The driver's side airbag shorting bar in the 2012 Buick Verano and 2012 Chevrolet Camaro, Cruze and Sonic might make contact with the airbag terminals, even during a crash. If so, the airbag won't deploy when it should, possibly increasing injury to the driver.
The recall is expected to begin on February 13 for the 3,896 units that might be affected. GM will notify owners who can then take their vehicles to dealers to have the airbag coil replaced. A bulletin from the National Highway Traffic Safety Administration below has more info.

GM earnings rise 1% as buyers pay more for popular pickups

DETROIT — General Motors said Thursday that higher prices for popular pickup trucks and SUVs helped overcome slowing global sales and profit rose by 1% in the second quarter. The Detroit automaker said it made $2.42 billion, or $1.66 per share, from April through June. Adjusting for restructuring costs, GM made $1.64 per share, blowing by analyst estimates of $1.44. Quarterly revenue fell 2% to $36.06 billion, but still beat estimates. Analysts polled by FactSet expected $35.97 billion. Global sales fell 6% to 1.94 million vehicles led by declines in North America and Asia Pacific, Middle East and Africa. The company says sales in China were weak, and it expects that to continue through the year. In the United States, customers paid an average of $41,461 for a GM vehicle during the quarter, an increase of 2.2%, as buyers went for loaded-out pickups and SUVs, according to the Edmunds.com auto pricing site. The U.S. is GM's most profitable market. Chief Financial Officer Dhivya Suryadevara said she expects the strong pricing to continue, especially as GM rolls out a diesel pickup and new heavy-duty trucks in the second half of the year. "We think the fundamentals do remain strong, especially in the truck market," she said, adding that strength in the overall economy and aging trucks now on the road should help keep the trend going. Light trucks accounted for 83.1% of GM's sales in the quarter, and pickup truck sales rose 8.5% as GM transitioned to new models of the Chevrolet Silverado and GMC Sierra, according to Edmunds, which provides content to The Associated Press. As usual, GM made most of its money in North America, reporting $3 billion in pretax earnings. International operations including China broke even, while the company spent $300 million on its GM Cruise automated vehicle unit. Its financial arm made $500 million in pretax income. Suryadevara said GM saw $700 million in savings during the quarter from restructuring actions announced late last year that included cutting about 8,000 white-collar workers through layoffs, buyouts and early retirements. The company also announced plans to close five North American factories, shedding another 6,000 jobs. About 3,000 factory workers in the U.S. whose jobs were eliminated at four plants will be placed at other factories, but they could have to relocate. GM expects the restructuring to generate $2 billion to $2.5 billion in annual cost savings by the end of this year.