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GM to cut production at 5 plants in North America, kill several models

DETROIT/WASHINGTON — General Motors Co said on Monday it will cut production of slow-selling models and slash its North American workforce in the face of a stagnant market for traditional gas-powered sedans, shifting more investment to electric and autonomous vehicles. The announcement is the biggest restructuring in North America for the U.S. No. 1 carmaker since its bankruptcy a decade ago. GM said it will take pre-tax charges of $3 billion to $3.8 billion to pay for the cutbacks, but expects the actions to improve annual free cash flow by $6 billion by the end of 2020. GM plans to halt production next year at three assembly plants: Lordstown, Ohio, Hamtramck, Michigan, and Oshawa, Ontario. The company also plans to stop building several models now assembled at those plants, including the Chevrolet Cruze, the Cadillac CT6 and the Buick LaCrosse, the sources said. Sources said the Chevrolet Volt, Impala and Cadillac XTS would also be discontinued. Signs of the demise of six passenger-car models have been swirling since July. Plants in Baltimore, Maryland, and Warren, Michigan, that assemble powertrain components have no products assigned to them after 2019 and thus are at risk of closure, the company said. It will also close two factories outside North America, but did not identify those plants. The AP reported that 14,700 jobs would be affected. Some 8,100 of those would be white-collar jobs reduced through buyouts or layoffs. The No. 1 U.S. automaker signaled the latest belt-tightening in late October when it offered buyouts to 50,000 salaried employees in North America. The company also said it will cut executive ranks by 25 per cent to "streamline decision making." Some 6,000 factory workers could lose their jobs or be transferred to other plants. Its shares were last up 6.2 percent at $38.16. Tariff 'headwinds' and cost-cutting GM Chief Executive Officer Mary Barra told reporters on Monday the company can reduce annual capital spending by $1.5 billion and increase investment in electric and autonomous vehicles and connected vehicle technology because it has largely completed investing in new generations of trucks and sport utility vehicles. Some 75 percent of its global sales will come from just five vehicle architectures by early in the 2020s. It plans to reduce annual capital spending to $7 billion by 2020 from an average of $8.5 billion a year during the 2017-2019 period.

Sunday Drive: Spying an automotive future of performance

I spy, with my little eye ... the future of the automotive world here in the United States. That pretty much sums up this week's Sunday Drive, in which we pull out the most popular stories on Autoblog of the previous week and try to draw some sort of conclusion as to what binds them all together. This week, it's spy shots, starting with one of the biggest and baddest muscle cars the world has ever seen: the Dodge Challenger Hellcat. The Hellish coupe gets a new hood for 2019 with dual scoops, but that's about the only meaningful change for the new model year. No matter. As long as it's packing 700-plus horsepower under those two hood scoops, all will be right with the world. Moving on, we take keep the performance angle but move it from the street to the dirt with a new version of the Chevy Colorado ZR2 that we think is probably called the Bison. We think it'll keep the high-tech suspension bits of the regular ZR2, but add expedition gear that may include a snorkel and a winch. Which, if true, is pretty dang cool. Keeping the truck theme is the 2019 GMC Sierra. There's nothing particularly noteworthy about the trim level in which the truck was spied, and that's what makes this specific example interesting. Base-model trucks almost never get much attention, but they sell in droves to workers who need an honest-to-goodness truck for work or play and don't care about bells, whistles, or massive chrome badges. And finally we have the 2018 Jeep Wrangler, which is on fire on the sales floor right now. But those are all V6-powered Wranglers flying off the showroom floor. Soon, a turbocharged four-cylinder engine option will become available, and now we know that it will return up to 23 miles per gallon in the city and 25 on the highway. That makes it the most fuel efficient Wrangler that Jeep has ever sold. As always, stay tuned to Autoblog this week for all the automotive news that's fit to publish. 2019 Dodge Challenger Hellcat with twin-scoop hood spied with no camouflage Chevy Colorado ZR2 Bison caught testing 2019 GMC Sierra 1500 spied in base trim level 2018 Jeep Wrangler four-cylinder fuel economy revealed Spy Photos Chevrolet Dodge GMC Jeep Truck Coupe SUV Off-Road Vehicles Performance dodge challenger srt hellcat sunday drive

Autoblog In Cuba: 1957 Chevy Bel Air Review

If you've been following the Autoblog In Cuba series, you may remember that my efforts to rent a car in the country were ultimately unsuccessful. Misinformation, bad planning, and a lack of rental car inventory conspired to disrupt my hoped-for driving adventure. I discovered in my week of exploration, however, that the terrific thing about Havana is that there's always another adventure to be found – if you're willing to look. A car I could drive myself might have been impossible to come by, but a ride to remember was not. After all, even when reviewing a new car, I've found that impressions about the car and the route can be credibly formed from the right seat. Starting from the parking lot of the grand Hotel Nacional, finding an interesting car for hire is as simple as walking up and down the block. Scads of classic American iron wait just outside the hotel gates, in a riot of colors and conditions befitting the tropical climate. Fords from the 1940s are plentiful – more sedans than coupes – and the glory days of General Motors are represented by enough Pontiacs and Cadillacs to fill a Bruce Springsteen B-sides album. But the Chevy Bel Air is the king of the road here, by some margin. View 30 Photos I settled on a burnt orange 1957 Chevy Bel Air convertible, in tourist-appropriate condition. I was looking for a hardtop at the request of my crew's audio/video needs, but settled on a burnt orange 1957 Chevy Bel Air convertible, in tourist-appropriate condition. This car might look good as a prop in the background on your vacation photos – hair blowing in the breeze with the ocean at your back, parked in front of Che's face in Revolution Square, etc. – but was far from pristine on a closer inspection. A perfect representative of the Cuban average. At least the price was right: $50 for two hours to make it 12 miles to Hemingway's house, and back. My driver was a kid named Daniel who looked to be about 20 years old. The Chevy doesn't belong to him, he co-drives it with the owner, but he was able to give me the basic mechanical rundown. The eight- or six-cylinder engine that Chevy shipped this convertible with was long gone. No surprise there, as nearly every American-made car I'd ridden in so far was powered by some belching Mercedes diesel. Despite it's clattering note, Daniel said the lump under the hood of the '57 drinks gas: a four-cylinder of Russian origins, pulled out of a GAZ Volga as best I can understand.