Report: Aveo Production Moving To Lordstown; Cobalt, Astra Production Goes To Mexico

[Perian]

Link: http://www.vindy.com/news/2008/may/3...-to-lordstown/

By Don Shilling

LORDSTOWN — General Motors is ready to give its Lordstown complex a new small car that gets nearly 40 mpg, a union leader said.

“We’re going to have longevity. This car’s going to sell,” Jim Graham, president of United Auto Workers Local 1112, said at a news conference Friday about a new labor contract.

Graham didn’t provide any other details about a new model, but an industry analyst said it would be the new version of the Chevrolet Aveo, which is now made in South Korea.

Erich Merkle, an analyst with IRN in Grand Rapids, Mich., said GM plans to begin making the new model in Lordstown in 2010, to be followed by a new rear-wheel drive, mid-size model in early 2011.

He said substantial work will need to be done to the Lordstown complex to prepare for the new models.

Graham said such work will begin if workers ratify a tentative agreement on the labor contract.

“You are going to start seeing things move very rapidly toward a new product,” he said.

Despite GM’s interest in Lordstown, it still is increasing small-car production in Mexico, Merkle said. The Cobalt will be moved there because GM wants a high-production model in a new plant it is building, he said. He added that the Saturn Astra, which now is made in Europe, also will be moved to Mexico.

Lordstown workers will vote Monday and Tuesday on the tentative agreement, which was reached Wednesday. The contract would expire in 2011.

Strickland declined to release any details in advance of informational meetings for members Saturday.

Strickland declined to discuss reports that GM is considering adding a third shift to the complex. GM eliminated the midnight shift in 2006 after 1,600 Lordstown workers left the company with buyout offers.

Full article at link.

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Email alert from Automotive News:

LORDSTOWN PLANT TO MAKE NEW CHEVROLET MODEL:

DETROIT -- General Motors will unveil a Chevrolet compact car at an auto show this fall, with production slated to begin early next year, say sources familiar with GM's product program.

The vehicle will be built on the Delta compact car architecture at GM's plant in Lordstown, Ohio.

The car will use a new 1.4-liter global engine that GM developed and recently announced in Europe. The turbocharged four-cylinder engine will be used in several GM vehicles worldwide.

The Chevrolet compact will not be called the Cobalt, says one source familiar with the plans. GM will produce the current-generation Cobalt through June 2010 as a 2009 model. It was unclear from sources whether GM will continue to build the Cobalt after that.

[ptmeyer84]

good news! an american aveo + 40 mpg
sign me up for one!

[minnfang]

OK, I'm confused. Are they going to build a Delta based Cobalt AND another car on Delta? (In addition to the Volt.) The Aveo and its successor aren't built on Delta.

[megeebee]

GM will produce the current-generation Cobalt through June 2010 as a 2009 model.

Shouldn't that be the other way around?

[paul8488]

Ummm those appear to be conflicting stories... one says it will be the Aveo replacement, and the second says that it will be a delta-based car. Which is it?!? I assume the first story is correct (Aveo at Lordstown, Cobalt in Mexico).

Overall I think that it's good news because the Aveo will be US made but bad news because the Cobalt won't be.

And what's this news about a midsize RWD car? Alpha? Seems odd to build a subcompat FWD and midsize RWD in the same plant, no? Too bad they wouldn't send the RWD to another plant, to share the love! Moraine could use something!

[skylark68]

The best part of this article is the mid-size RWD to be built in 2011.

Awesome

[Cortazzo]

Originally Posted by paul8488

Ummm those appear to be conflicting stories... one says it will be the Aveo replacement, and the second says that it will be a delta-based car. Which is it?!? I assume the first story is correct (Aveo at Lordstown, Cobalt in Mexico).

Overall I think that it's good news because the Aveo will be US made but bad news because the Cobalt won't be.

And what's this news about a midsize RWD car? Alpha? Seems odd to build a subcompat FWD and midsize RWD in the same plant, no? Too bad they wouldn't send the RWD to another plant, to share the love! Moraine could use something!

If American's aren't losing jobs, American consumers have more fuel efficient choices, I'm ok with our friends to the south sharing in some of the new product. A solid Mexican economy is nothing but good for the US, less illegal immigration, stronger demand for bilateral trade, more jobs for everyone. Oh, and an Astra produced in Mexico will be a lot cheaper than the currently Belgium sourced unit.

[88ls1blazer]

Originally Posted by Perian

The car will use a new 1.4-liter global engine that GM developed and recently announced in Europe. The turbocharged four-cylinder engine will be used in several GM vehicles worldwide.

Good enough for me

[HoosierRon]

The stories may not be conflicting. Note this line from the first story:

Erich Merkle, an analyst with IRN in Grand Rapids, Mich., said GM plans to begin making the new model in Lordstown in 2010, to be followed by a new rear-wheel drive, mid-size model in early 2011.

So the FWD Cobalt is going to Mexico. Lordstown is getting the Aveo and this RWD car. Of course, for the stories to not conflict, you have to accept that they can make a RWD Delta II.

[jkennedy293]

Originally Posted by megeebee

Shouldn't that be the other way around?

It doesn't make much sense that way either.

[prowlerjc]

This story makes little sense. I'm betting the new compact is the Beat, but I'd be surprised if it was built in the US.

And RWD in 2011? Well, we can hope guess.

[BlackStar]

New Cobalt and Astra on Delta II in Mexico, new Aveo on global Gamma in Lordstown. Would be nice to see a Saturn Corsa built at Lordstown as well.

[jkennedy293]

Erich Merkle, an analyst with IRN in Grand Rapids, Mich., said GM plans to begin making the new model in Lordstown in 2010, to be followed by a new rear-wheel drive, mid-size model in early 2011.

Why would you completely re-tool a plant only to completely re-tool it again a year later. Seems like a lot of extra costs for a single year of production.

[FenwickHockey65]

Hmm...sounds like the Alpha-based Caddy and perhaps the G6 replacement?
Why don't they just build them at Moraine?

[nadepalma]

Originally Posted by minnfang

OK, I'm confused. Are they going to build a Delta based Cobalt AND another car on Delta? (In addition to the Volt.) The Aveo and its successor aren't built on Delta.

Originally Posted by paul8488

Ummm those appear to be conflicting stories... one says it will be the Aveo replacement, and the second says that it will be a delta-based car. Which is it?!? I assume the first story is correct (Aveo at Lordstown, Cobalt in Mexico).

Overall I think that it's good news because the Aveo will be US made but bad news because the Cobalt won't be.

And what's this news about a midsize RWD car? Alpha? Seems odd to build a subcompat FWD and midsize RWD in the same plant, no? Too bad they wouldn't send the RWD to another plant, to share the love! Moraine could use something!

I know the article seems confused.

One "anaylst" thinks the model will be the Aveo - which implies Gamma. Plus a RWD offering - which we can assume will either be 1). the Alpha product or 2). a Kappa product (assuming that the current Kappa plant is shut down for under utilization).

Then the next article says it's Delta derived and it wouldn't be the Cobalt, which means either 1). it's a misprint and it's Gamma based or 2). it IS Delta based and the Cobalt is just getting rebranded as something else.

Yeah, confusing.