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Detroit Three's lucrative pickup war intensifies as Ram makes big gains

DETROIT — The battle for profits from sales of large pickup trucks is intensifying among the Detroit Three automakers as sales of small cars in the United States shrivel. For decades Ford has had the single best-selling truck brand in its F-Series trucks. General Motors' Chevrolet brand was a solid No. 2, and Fiat Chrysler Automobiles' Ram was a distant third. Now, that hierarchy may be in flux. Sales figures for December and the fourth quarter released on Thursday show Ram tied with GM's Chevy for the No. 2 spot, as sales of the redesigned Ram pickup surged, fueled in part by demand for an optional 12-inch (30.48 cm) dashboard screen. Chevy not long ago held second place to Ford by a wide margin. GM executives said on Thursday they are bullish on their new GMC and Chevy trucks for 2019.Related: How the Detroit Three's pickups compare on paper 2019 Ram 1500 Laramie review 2019 Chevy Silverado 2.7L four-cylinder review 2019 Ford F-150 2.7L EcoBoost review "There's no doubt this segment (pickup trucks) is one of the epicenters of the auto wars," said Sandor Piszar, director of marketing for Chevrolet at GM. "It's been that way forever, and we wouldn't have it any other way." On Wall Street, investors give electric car leader Tesla a higher valuation than any of the Detroit automakers. But in the nation's heartland, big pickups remain far more popular and profitable than any electric car — and most other consumer vehicles of any kind. Large pickups generate at least $17,000 a vehicle in pretax profit for GM, the company has indicated in disclosures to investors. By contrast, many Detroit Three sedans are so unprofitable, their manufacturers have decided not to build them anymore. 'Hotly contested' Sustaining sales and pricing in the large-pickup segment will be critical in a year when most forecasters expect overall U.S. car and light truck sales to fall. Ford's U.S. sales chief, Mark LaNeve, on Thursday called the F Series "the backbone of our franchise" during a conference call, and added the "segment will continue to be strong, but hotly contested" in 2019. Automakers are banking on pickup truck sales to stay strong even if U.S. interest rates continue to rise. Rising interest rates translate into higher monthly car payments and are expected to deter some buyers in 2019. GM has said 27 percent of Chevrolet and GMC trucks — which can haul trailers by day and substitute for a luxury sedan by night — sell for more than $55,000.

2015 Chevy Silverado, GMC Sierra heavy duty trucks unveiled

Proving just how important trucks are in the Lone Star State, General Motors has chosen the State Fair of Texas to reveal its new heavy-duty trucks from Chevrolet and GMC. Looking to take some of the wind out of the sails of the 2014 Ram HD and 2015 Ford F-Series Super Duty, the 2015 Chevy Silverado HD and 2015 GMC Sierra HD will have plenty to brag about when they go on sale in the first quarter of next year.
The bragging starts right up front with two available engines. The standard engine is a Vortec 6.0-liter V8 that produces 360 horsepower in the 2500HD and 322 hp in the 3500HD to go along with 380 pound-feet of torque in all applications. The true benefit of this powerplant is that buyers can opt for it to run on straight gasoline, E85 FlexFuel or even compressed natural gas (CNG). For maximum towing and even more flexibility, the 6.6-liter Duramax turbodiesel B20-capable V8 is the way to go, with its carryover 397 hp and 765 lb-ft of torque. Though the max towing abilities of 23,200 pounds (with a fifth-wheel trailer) are less than the 30,000-pound rating of the new Ram, the GM HD trucks offer better conventional trailer towing (19,600 pounds) and payload (7,374 pounds) than rival heavy-duty trucks...for now. The Duramax is paired with a six-speed Allison automatic transmission, while the gas engine gets GM's six-speed Hydra-Matic - no manual transmissions are offered.
Including the engines, GM continues to offer a broad range of configurations (more than 150, to be exact) including three cabs, two cargo bed lengths, numerous trim levels and, of course, the choice of single- or dual-rear wheels on the 3500. The HD trucks have faces that are similar to their half-ton counterparts, with the exception of a larger grille and bigger for improved air flow, and like the current HD offerings, the new Silverado HD and Sierra HD DRW models feature a one-piece bed design incorporating the fender extensions.

GM might outsource vans to AM General

General Motors will possibly boost production of the Chevrolet Colorado and GMC Canyon at the Wentzville Assembly Plant in Missouri by contracting out some commercial van manufacturing to AM General. Demand for the two midsize trucks continues to boom, and GM would like to take advantage of the strong market for them. The possible deal came to light in a letter to workers at the factory, according to Automotive News. "This potential partnership would free up production capacity and allow the organization to capitalize on our ability to build midsize trucks to further satisfy customer demand," a portion of the document allegedly said. AM General would reportedly only take over assembly of the cutaway versions of the Chevy Express and GMC Savana. Customers and critics have quickly embraced the latest Colorado and Canyon since their introduction. The Chevy just won back-to-back Motor Trend Truck of the Year awards. GM also had to add a third shift and extra workers in 2014 just to keep up with demand. The Wentzville plant even increased employment on the weekends earlier in 2015 to assemble an extra 2,000 of the trucks each month. While the two pickups boom, deliveries for the Chevy Express and GMC Savana are down 26.9 percent and 26.6 percent respectively through the first 10 months of the year. GM doesn't break out numbers for the cutaway versions, but they make up about a third of production, according to Automotive News. AM General built the Humvee for the US military and does some contract work with automakers. For example, the company's Indiana factory now produces the Mercedes-Benz R-Class for export to China. Here's hoping this potential deal will help both GM and AM General keep their factories humming. Related Video: