Cadillac CTS Update: Pipeline Filled, RHD Begins Production; Build Target Reached

[Perian]

Link: http://wardsauto.com/ar/rhd_cts_production/


By Herb Shuldiner - WardsAuto.com

NEW YORK – RHD versions of the new CTS, revamped for ’08, were to begin rolling down the line at GM’s Lansing, MI, assembly plant this week. Among markets slated to get the RHD models are Australia and South Africa, both set to offer the CTS for the first time.

CTS Vehicle Line Executive Randy Schwarz said last week prior to the walkout that the domestic pipeline for the car now had been adequately filled, because the plant had reached its 400-unit per day target.

He said GM expects to sell 60,000 CTS sedans in the revamped car’s first full year on the market, but the Lansing plant has capacity to build more – without necessitating a third shift – if demand warrants.

The average transaction price for the ’08 CTS is in the $37,000-$38,000 range.

The new direct-injection V-6 now accounts for about 35% of the CTS sales mix, but Schwarz said that should drop to 30% after the initial new-model purchasing rush.

Schwarz forecasts 30%-40% of the cars will be purchased with optional all-wheel drive.

[Perian]

Congratulations to GM and the people at Lansing for such a smooth production ramp-up.

Let's hope Malibu production does even better.

[darknight9]

Originally Posted by Perian

Congratulations to GM and the people at Lansing for such a smooth production ramp-up.

Let's hope Malibu production does even better.

I sat in a new CTS and was left feeling like GM built, finally, a truly world class vehicle befitting of the Cadillac name.

It's hard to belive that they could sell the car for 40k and still make money, it's that nice!

[KingElvis]

But why would Australians want the Cadillac over their own Holden? Does Cadillac even have name recognition down under?

[Dorsai]

Originally Posted by darknight9

It's hard to belive that they could sell the car for 40k and still make money, it's that nice!

If they'll sell me one with the DI engine for that $37K - $38K price, then I hope they're making money as well. I've been thinking of getting a Pontiac G8, but the rave reviews for the CTS have me thinking of getting one of them, instead.

Question: given that the CTS is rear-wheel drive, the engine *is* longitudinally mounted...right?

[Commodore]

Originally Posted by KingElvis

But why would Australians want the Cadillac over their own Holden? Does Cadillac even have name recognition down under?

There is lots of Aussie GM fans on here. I am sure they love the CTS plus the CTS is much more stylish than any VE Commodores in Australia.

[Bornfromparents]

Well I think GM is very conservative on the numbers sold for one year,
if the old one could sell around those figures then surely the new one could
get a boost. I would set a target for around 100,000 units anually. Drop the STS production slightly and your running efficiently

[gerardo_zg]

Originally Posted by Dorsai

Question: given that the CTS is rear-wheel drive, the engine *is* longitudinally mounted...right?

That's correct.

[mgescuro]

Originally Posted by darknight9

I sat in a new CTS and was left feeling like GM built, finally, a truly world class vehicle befitting of the Cadillac name.

It's hard to belive that they could sell the car for 40k and still make money, it's that nice!

Driving the base CTS... and experiencing it for myself, I think Cadillac has a car that won't be laughed off the global stage. In fact, it will probably turn more than a few heads.

The world will see the CTS's size and slot it directly against the 5 and the E.
CTS does more than enough to hold its ground. I don't think CTS is necessarily world class yet, but in turn, it won't be begging for an accelerated MCE next year.

I too wonder how GM was able to sell this car for "below $40K," considering the quality that is found in this car. It's the first car GM has sold in which you cannot readily pick out where GM cut corners. And that's a very very good thing. And it bodes well for BLS.

[HoosierRon]

CTS Vehicle Line Executive Randy Schwarz said last week prior to the walkout that the domestic pipeline for the car now had been adequately filled, because the plant had reached its 400-unit per day target.

If the plant operates 5 days a week and shuts down for 2 weeks of maintenance per year, and then shuts down for another 10 days per year for various holidays, it will produce 96,000 cars per year. They know they are selling more than 60,000 per year.

Originally Posted by mgescuro

I too wonder how GM was able to sell this car for "below $40K," considering the quality that is found in this car.

Given the current exchange rate, GM will practically be giving these away in Europe. At $1.41 to the euro, a $38,000 CTS will cost 26,950 euros.

Hey, Bravada, what does a 5 series start at in Europe?

[Greg Burr]

[quote=mgescuro]CTS does more than enough to hold its ground. I don't think CTS is necessarily world class yet, but in turn, it won't be begging for an accelerated MCE next year.

You had some concerns about the inside door handle and the placement of some buttons (maybe the windows and something on the center stack). What do you think now?

Also, in your opinion, are the gaps between the dask and the door somewhat large (not that I'm holding myself out to be an expert)?

[tgagneguam]

...He said GM expects to sell 60,000 CTS sedans in the revamped car’s first full year on the market, but the Lansing plant has capacity to build more – without necessitating a third shift – if demand warrants.

I betcha GM would be finding 60,000 units per annum quite conservative if it did things like chopping two doors off the sedan and adding to that the option of a convertible (ahem).

[Pucks]

Originally Posted by Perian

Link: http://wardsauto.com/ar/rhd_cts_production/


By Herb Shuldiner - WardsAuto.com

NEW YORK – RHD versions of the new CTS, revamped for ’08, were to begin rolling down the line at GM’s Lansing, MI, assembly plant this week. Among markets slated to get the RHD models are Australia and South Africa, both set to offer the CTS for the first time.

CTS Vehicle Line Executive Randy Schwarz said last week prior to the walkout that the domestic pipeline for the car now had been adequately filled, because the plant had reached its 400-unit per day target.

He said GM expects to sell 60,000 CTS sedans in the revamped car’s first full year on the market, but the Lansing plant has capacity to build more – without necessitating a third shift – if demand warrants.

The average transaction price for the ’08 CTS is in the $37,000-$38,000 range.

The new direct-injection V-6 now accounts for about 35% of the CTS sales mix, but Schwarz said that should drop to 30% after the initial new-model purchasing rush.

Schwarz forecasts 30%-40% of the cars will be purchased with optional all-wheel drive.

I wonder if they are building any RWD yet?

I would think 60K is conservative too. The first gen did 60K in 05 and this car should do better. Although you'll need to wait till October or November to get an accurate first year starting point. August and September will not have enough built.

I also expect AWD to be 50%+ on this car, not the 30-40%.

[ColinOpseth]

Originally Posted by Dorsai

If they'll sell me one with the DI engine for that $37K - $38K price, then I hope they're making money as well. I've been thinking of getting a Pontiac G8, but the rave reviews for the CTS have me thinking of getting one of them, instead.

Question: given that the CTS is rear-wheel drive, the engine *is* longitudinally mounted...right?

Yep, same as the first generation. Even that car was a great vehicle. It is one of the few cars that actually sold 'more' each year, not less.

[ChrisNJ]

Originally Posted by KingElvis

But why would Australians want the Cadillac over their own Holden? Does Cadillac even have name recognition down under?

I'd wager that Cadillac has name recognition around the whole world.