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GM may kill 6 car models as it works with UAW to tackle sales slump

The president of the United Auto Workers union said on Thursday the union is talking with General Motors about the potential threat to plants and jobs from slumping U.S. car sales. GM's response will be more trucks and SUVs, and sources say at least six slow-selling car models may be killed off. "We are talking to (GM) right now about the products that they currently have" at underused car plants such as Hamtramck in Michigan and Lordstown in Ohio, and whether they might be replaced with newer, more popular vehicles such as crossovers, Dennis Williams told reporters. "We are tracking it (and) we are addressing it," Williams added. GM has cut shifts at several U.S. plants this year as inventories of unsold cars have ballooned. Industry analysts said more jobs could be at risk as the automaker wrestles with permanently shrinking production of small and midsized sedans. GM is reviewing whether to cancel at least six passenger cars in the U.S. market after 2020, including the Chevrolet Volt hybrid, which could be replaced in 2022 with a new gasoline-electric crossover model, Reuters has learned from people familiar with the plans. Other GM cars at risk include the Buick LaCrosse, Cadillac CT6, Cadillac XTS, Chevrolet Impala and Chevrolet Sonic, sources said. Some analysts have singled out GM's Hamtramck plant in Detroit as one of the most vulnerable because of plummeting car sales. The plant, which opened in 1985, builds four slow-selling models: Buick LaCrosse, Chevrolet Impala, Cadillac CT6 and Chevrolet Volt. In the first half, it built fewer than 35,000 cars, down 32 percent from the same period in 2016, according to suppliers familiar with GM's U.S. production schedule. The typical GM assembly plant builds 200,000-300,000 vehicles a year.COMING ATTRACTIONS: TRUCKS AND SUVS GM must "create some innovative new products" to replace slow-selling sedans "or start closing plants," said Sam Fiorani, vice president of AutoForecast Solutions. The auto maker already has begun to shift future production plans from cars to trucks, according to Morgan Stanley auto analyst John Murphy. He estimates that fewer than 10 percent of the new vehicle models that GM will introduce over the next four years will be passenger cars, with the rest divided among trucks, SUVs and crossovers. GM plans to add production of the new Cadillac XT4 crossover next year to its Malibu sedan plant in Fairfax, Kansas.

Fernando Alonso just misses qualifying for Indy 500 on first day

Former Formula One world champion Fernando Alonso will need a clutch run on Sunday to qualify for the Indianapolis 500 on May 26 after he failed to seal a guaranteed spot on Saturday. The Spaniard tried fives times to put his McLaren Racing Chevrolet in the top 30, but wound up one spot short. He can make the 33-car field only through a six-car shootout on Sunday that will determine the race's final three drivers. "We have another chance to be in the race," Alonso, who is seeking to make his second Indy 500 field, told IndyCar TV. The Spaniard twice got inside the top 30 but both times was bumped outside the mark, with JR Hildebrand and Graham Rahal the final two drivers to seal qualifying spots. Britain's Pippa Mann will be the only woman in the race, qualifying 30th in 227.244 mph. Race positions 10-30 were determined during the day-long qualifying with Saturday's nine fastest drivers set to return on Sunday to decide pole. Spencer Pigot, driving the Ed Carpenter Racing Chevrolet, led qualifying with a four-lap average of 230.083 mph. He was followed by 2018 winner Will Power of Australia (230.081) and Simon Pagenaud of France (229.854). The troubles for Alonso, whose top four-lap average was 227.224 mph, were exacerbated by a punctured tire in his first qualifying run. "That didn't help," Alonso told reporters. "But, obviously, our performance has been quite bad all week. Quite poor." The Spaniard crashed his Chevrolet in practice on Wednesday and missed nearly two full days of practice while a backup car was prepared. He returned on Friday. Alonso said he was worried the McLaren team was "not ready for the challenge." "We've been slow. You see Juncos Racing crashing yesterday and being ready at 6 o'clock. That's impressive," he said. "For us, we've been a little bit slow on everything." Alonso is bidding to join Graham Hill as the only drivers to achieve the 'Triple Crown of Motorsport' with an Indy 500 victory. He previously won the Monaco Grand Prix and Le Mans 24 Hours race. He also won two Formula One drivers' titles. (Reporting by Gene Cherry in Raleigh, North Carolina; Editing by Greg Stutchbury)Related Video: Motorsports Chevrolet McLaren IndyCar

2016 Chevrolet Malibu Hybrid: 48 mpg for $28,645

With the 2016 Chevrolet Malibu Hybrid, General Motors wants to show it's as serious about mainstream hybrids as it is about mainstream midsize sedans. Keeping with the theme, Chevy announced the Malibu Hybrid will have a serious price tag of $28,645. Chevy said Thursday the 2016 Malibu Hybrid will go on sale in the spring, with that price also including an $875 destination charge. That's about $3,000 more than where the Ford Fusion Hybrid kicks off, and about $2,000 more than a Toyota Camry Hybrid LE. The big news being pushed with the Malibu Hybrid, however, is the fuel economy. GM says it's capable of 48 miles per gallon city and 45 highway, for a combined rating of 47 mpg. That's better than any other 2016 midsize hybrid sedan. Power comes from a 1.8-liter gasoline engine and an electric motor with a 1.5-kWh lithium-ion battery, producing 182 combined horsepower. That's competitive with both the Camry and Fusion. Chevy also likes to say it's roughly the same system as the one installed in the 2016 Volt – although with a smaller battery, larger gas engine, and without the plug – so the Malibu Hybrid has that halo effect going for it. With both this Malibu and 2016 Toyota Prius, there's a lot of activity around gas-electric hybrids amid lowering fuel prices and a raft of plug-ins and full-electrics. The gas-only 2016 Malibu was found to be, "at least good again," so the 2016 Malibu Hybrid should be able to attract those who want a competent midsize sedan with excellent fuel economy that awaits EPA verification. We'll go with that thought until we get to drive it. Related Video: NEXT-GEN CHEVROLET MALIBU HYBRID LT STARTS AT $28,645 Projected to offer 48 MPG city using technologies borrowed from Volt DETROIT – The 2016 Chevrolet Malibu Hybrid LT, which achieves a General Motors'-estimated 48 mpg city, will be available this spring with a starting price of $28,645. "The Malibu leverages knowledge and technology directly from the second-generation Chevrolet Volt," said Steve Majoros, marketing director of Chevrolet Cars and Crossovers. "By leveraging technology, we are broadening our level of expertise and lessons learned to bring consumers a world-class hybrid." With an all-new, hybrid powertrain that uses a slightly modified drive unit and electric motors used in the 2016 Chevrolet Volt, the Malibu Hybrid offers a GM-estimated 48 mpg city, 45 mpg highway – and 47 mpg combined, unsurpassed in the midsize car segment. Official EPA estimates are pending.