Friday, 9 November 2007
Friday recap: Volvo/Ford status, Volkswagen diesels, Cadillac hybrids, Chrysler rebates
« Ford seeking global design expression, shedding PAG brands | Main | Is Henry Ford’s entrepreneurial drive alive and well? »A few manufacturer and product updates from this week that are worth noting:
Ford Motor Company will retain ownership of Volvo, despite previous rumors that the American automaker would sell the Swedish company as part of its restructuring effort. Instead, Ford will work to “improve its cost structure and brand positioning” of Volvo, although specific details on that effort have not been revealed. Beginning in 2008, however, Ford will begin revealing Volvo’s financial performance, which previously did not occur for the Premier Automotive Group (Land Rover, Jaguar, Aston Martin, Volvo) brands.
Volkswagen has delayed the launch of its 50-state legal Jetta TDI diesel sedan because of a “technical issue that was found during later stages of durability testing.” Automotive News reports that the problem was related to – surprise – emission controls, and that VW has fixed it but once again must go through emissions validation. Originally slated to go on sale early next spring, the TDI Jetta won’t reach showrooms until late next summer. Bummer for diesel fans, as well as VW dealers eager to get clean diesels back on their lots.
The Cadillac Escalade Hybrid will join the Chevy Tahoe and GMC Yukon Hybrid models, employing the two-mode hybrid system co-developed with Chrysler and BMW. Look for gas-electric Escalades in showrooms during the summer of 2008.
Chrysler is planning an aggressive December rebate campaign for its Dodge, Jeep and Chrysler brand models, hoping to shed excess inventory headed into 2008. Emphasis will be on the company’s newly-launched lifetime powertrain warranty, and models headed out of production (PT Cruiser, Pacifica, Crossfire and Magnum) are expected to be marked down heavily.
Sources: Automotive News, Brandweek and eGMCarTech
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