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Even if GM does close all 5 of those plants, it'll still have too many

DETROIT — General Motors' monumental announcement on Monday that it will close three car assembly plants and two powertrain plants in North America and slash its workforce will only partially close the gap between capacity and demand for the automaker's sedans, according to a Reuters analysis of industry production and capacity data. Sales of traditional passenger cars in North America have been declining for the past six years and are still withering. After GM ends production next year at factories in Michigan, Ohio and Ontario, it will still have four U.S. passenger-car plants — all operating at less than 50 percent of rated capacity, according to figures supplied by LMC Automotive. In comparison, Detroit-based rivals Ford and Fiat Chrysler Automobiles will have one car plant each in North America after 2019. The Detroit Three are facing rapidly dwindling demand for traditional passenger cars from U.S. consumers, many of whom have shifted to crossovers and trucks. Passenger cars accounted for 48 percent of retail light-vehicle sales in the United States in 2014, according to market researchers at J.D. Power and Associates. This year, sedans will account for less than a third of light vehicle sales. That shift in turn has left most North American car plants operating far below their rated capacities, while many SUV and truck plants are running on overtime. The collapse in passenger-car demand is a challenge for nearly all automakers in the United States, including Japan's Toyota and Honda, which have the top-selling models in the compact and midsize car segments. Toyota executives said last month they are evaluating the company's U.S. model lineup. But Toyota also plans to build compact Corolla sedans at a new $1.6 billion factory it is building in Alabama with partner Mazda. The obstacles facing GM in its plans to close more auto factories became apparent on Tuesday as U.S. President Donald Trump threatened to block payment of government electric vehicle subsidies to GM. While it is not certain that Trump unilaterally has the power to do that, he made it clear he intends to use his office to pressure the company to keep open a small car plant in Ohio that GM says will stop building vehicles in March.

The Chevrolet Camaro 1LE returns with V6 or V8 power

The Chevy Camaro's performance variants are legendary, and enthusiasts have long lusted after the Z/28 and ZL1. But there's a lesser-known model that shouldn't be overlooked: the 1LE. It's Camaro code for performance on the track. The 2017 Camaro 1LE debuts this week at the Chicago Auto Show and goes on sale late this year. The 1LE package will be offered for the first time on V6 Camaros, as well as the traditional V8-powered SS. The cars have upgraded suspensions, better brakes, aerodynamic treatments that create more downforce, and improved cooling features. The goal is simple: faster laps. "This is all grip and handling and cooling," said Todd Christensen, Camaro marketing manager. It's an enthusiast special, transforming your basic Camaro into a more capable track machine. The 335-horsepower V6 and 455-hp V8 are unchanged (and only come with six-speed manual gearboxes), because the focus is on improving the Camaro's reflexes. That means different things, depending on the engine choice. Here's how they break down. V6 1LE The V6's 1LE package is based on the LT trim and it pilfers the best chassis pieces from the V8 model, including the FE3 suspension with stabilizer bars. It also has a mechanical limited slip differential (3.27 ratio) and four-piston Brembo brake calipers in front. The fuel system is also borrowed from the SS, and it all rolls on 20-inch forged aluminum wheels wrapped in Goodyear Eagle F1 rubber measuring 245/40R20 in front and 275/35R20 in back. Christensen says Chevy added the 1LE pack for the V6 because customers actively wanted it, and for a reasonable price (we hear the 1LE will cost about the same as the fifth gen's $3,500 option) they can transform their V6 into a car that's as track capable as the SS. While it's giving up 120 hp, a V6 Camaro 1LE will also be more than 200 pounds lighter than the eight-cylinder 1LE. Chevy noticed the customer interest for a V6 1LE and will study offering the pack on Camaros with the turbocharged four-cylinder engine. Consider the V6 a test case. "I'm anxious to get some customer feedback [from the V6]," Christensen said. SS 1LE Even though it's heavier, the SS 1LE offers a lot of goodies that make it three seconds faster than a normal SS, according to Chevy's testing at Willow Springs Raceway in the California desert. The spotlight features in the SS are Magnetic Ride Control for the FE4 suspension and electronic-slip differential (3.73 ratio).

New Toyota Tacoma, Ranger, Colorado/Canyon fight for midsize truck dominance

Sam Wedll has been driving his Toyota Tacoma pickup on the rugged roads of Northern California for seven trouble-free years, racking up almost 100,000 miles, so he’s interested in the redesigned version of the truck coming later this year. He paid $34,000 for his truck in 2016, loading it with plenty of options. HeÂ’s eyeing the new gas-electric hybrid Toyota Motor Corp. is going to offer, but Wedll, who does his own repairs, isnÂ’t interested in paying luxury prices. “The hybrid is pretty interesting to me because I like the idea of the fuel efficiency,” says Wedll, 47, a casino operations manager in Blue Lake, California. “IÂ’m just trying to save some costs wherever possible.” The Tacoma, known as the Taco to its legions of loyalists, is the leader of the pack in midsize pickups, one of the fastest-growing auto markets of the past decade. With outdoorsy weekend warriors and do-it-yourselfers looking for a truck that could fit in their garage, sales of midsize pickups more than doubled from 2010 to 2020. General Motors Co. and Ford Motor Co., which abandoned the market segment when sales slowed early this century, returned with new trucks to take on the Tacoma, which has dominated the medium truck market for almost two decades. Although it's easy to predict that the most lushly appointed versions of the new Taco could approach $50,000 (prices wonÂ’t be announced until later this year), Toyota insists it isnÂ’t backing away from budget buyers even as it rolls out fancier trucks. The current Tacoma starts at $28,030, and the company says affordability is critical to its success. In fact, Toyota will continue to offer the Taco with an old-school stick shift. The Tacoma controls 42% of the midsize truck market and outsells FordÂ’s offering 4 to 1. ThatÂ’s a role reversal from the full-size pickup market, where FordÂ’s F-Series has ruled the road for 46 years. Tacoma sales in the U.S. surpassed 237,000 last year, more than twice the number of GMÂ’s No. 2-ranked Chevrolet Colorado, according to consultant LMC Automotive. But as growth in the overall segment slows, the midsize market is developing into more of a turf war, with manufacturers vying for the sweetest highest-margin spots. “This segment is likely past its prime growth spurt,” says Jeff Schuster, president of the Americas for LMC Automotive.