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Junkyard Gem: 1998 Cadillac Catera

Every so often, during the last few decades of the 20th century, the suits running each of the big Detroit automakers would eye their European subsidiaries and decide that some car from the other side of the Atlantic could be making dollars over here in addition to pounds or francs or Deutschmarks over there. Chrysler didn't do so well with Simca 1204s or Plymouth-badged Hillman Avengers in the American marketplace (though the Simca-based Omnirizon did very well). Ford USA moved quite a few Capris and Fiestas during the 1970s, then bombed with the Merkur Scorpio and XR4Ti. General Motors tried, over and over, to get Americans to buy Opels (some sold by Buick dealers, others actually badged as Buicks), and I still see the occasional Kadett, GT, or Manta in junkyards to this day. For the 1997 model year, still stinging from the not-so-great sales of the Turin-Hamtramck-built Cadillac Allante, GM took the Omel Omega B and applied Cadillac badges. The result was the Catera, and I found this silver '98 in a Denver self-service yard recently. The Catera had a lot going for it, with a rear-wheel-drive layout and a modern V6 engine that made more power than the BMW 528i's straight-six that year. It should have been able to compete with European luxury sedans in North America because it was a European luxury sedan. Unfortunately, you couldn't get a manual transmission in the Catera, "traditional" Cadillac shoppers thought the Catera lacked a sufficiently massive presence, and younger Cadillac buyers flocked straight to the Escalade starting in 1999. After 2001, the Catera was no more. I still find Cateras in junkyards, nearly 20 years after the last ones were sold, so they appear to have held together pretty well. This one was in nice shape until the end, with all the original manuals still in the glovebox. Even the Catera ballpoint pen remained with the car for its whole life. As we can see in the owner's manual, Cadillac marketed the Catera as "The Caddy That Zigs." The idea was that younger car shoppers would become as Cadillac-obsessed as their grandparents had been. Inspired by the ducks in the Cadillac logo, the Catera marketing team created Ziggy the Duck to pitch this car. Things didn't go so well. The Catera listed at $29,995 in 1998, about $47,600 in 2020 dollars. That made it an affordable alternative to the BMW 5-Series or Acura 3.2 TL, but total Catera sales came to fewer than 95,000 cars over five model years.

Will attaching the electrodes re-animate Cadillac?

This announcement last week from General Motors —"Cadillac will be GM's lead electric vehicle brand"— followed quickly by the surprise reveal Sunday night of a Cadillac EV crossover, leads one to wonder whether this is a case of GM pulling out the defibrillator and hoping a full-on jolt of electricity will revive Cadillac from its ongoing diminution in the market. In 2018, Cadillac U.S. sales were 154,702 vehicles, which was down from the 156,440 it had sold in 2017. And the 2017 sales were down significantly from the 170,006 vehicles delivered by Cadillac in 2016. And that is down from the 175,267 sales of 2015. Sure, part of Cadillac's problem — one shared by some other OEMs — is that its sedans aren't selling. But if we put those to the side, realize that in 2018 sales of the venerable Escalade were down by 2.2 percent. Admittedly, that rig is a little old in the grille, and it's suddenly gotten strong competition from the Lincoln Navigator, so a sales decline isn't too surprising. But the XT5, the compact lux vehicle that was launched in 2016 as a model-year 2017 product, had an 11.3 percent decline in a segment that is doing nothing but growing. This is not promising. Although the argument at GM HQ might be that Cadillac can reinvent itself as a Tesla fighter, one of the things that isn't often noted about Tesla vis-a-vis other OEMs is that while sedan sales are generally down, Tesla, which had an estimated 2018 sales volume of 197,680 (according to Cleantechnica.com), made its numbers primarily with the Model 3 and Model S, both sedans, as it has just the Model X crossover. So it isn't just about vehicle architecture. It is going to take more than an electric SUV to change Cadillac's performance. But here's where circumstances can fall in Cadillac's favor. Scale can be highly beneficial to Cadillac versus Tesla. The Chinese market, even though it is weakening of late, will be largely predicated on "New Energy Vehicles," which means electrified and fully electric. And while Tesla only just now broke ground on a factory in China, LMC Automotive reports that as of December 2018, SAIC GM is already well-established there and is the third-largest vehicle manufacturer in China (behind SAIC Volkswagen and FAW Volkswagen). Cadillac is going to be able to take advantage of GM's global efforts in developing EVs, so soon the Cadillac showroom could be filled with an array of luxury EVs that may make even Tesla loyalists take another look.

Johan responds to critics again about Cadillac's NY move

Cadillac's new President Johan de Nysschen has faced a fair amount of criticism since assuming his position at the head of the American luxury manufacturer. From the company's move to New York City to a controversial new naming scheme, the first few months of his tenure have not been smooth sailing. Now, the embattled exec is firing back against his critics, notably Automotive News Editor-in-Chief Keith Crain, in a new column running in AN.
De Nysschen countered Crain's claim that the move to the Big Apple, "can only mean that someone wants to live in New York."
"The relocation decision is entirely unrelated to the personal living preferences of any Cadillac executive. No corporation would tolerate such indulgence by its leadership," de Nysschen wrote. "It is about structurally entrenching a challenge to the status quo by reinforcing the psychological and physical separation in business philosophy between the mainstream brands and GM's luxury brand."