mkaresh
01-07-08, 08:10 AM
Jamie LaReau (jlareau@crain.com)
and Richard Truett (rtruett@crain.com)
Automotive News
January 7, 2008 - 12:01 am ET
DETROIT — The big, powerful V-8 engines that have been a mainstay of Cadillac's big sedans since the late 1930s are fading away, victims of the move to fuel efficiency.
Cadillac's trademark V-8 engine will give way to smaller high-tech V-6s — and possibly some diesel engines — in Cadillac's cars.
In an interview with Automotive News, Cadillac General Manager Jim Taylor said last week that Cadillac is considering a 2.9-liter turbocharged V-6 diesel for its mainstream U.S. sedans.
Taylor's revelation came in the wake of General Motors' announcement last week that it has dropped plans to replace the Northstar V-8, which goes out of production in 2010. The Northstar has powered Cadillacs since 1993.
"On Dec. 19, the world changed," Taylor said. That's when President Bush signed a law mandating a 40 percent fuel-economy improvement by 2020.
In the future, Cadillac's mainstream sedans probably won't offer V-8 engines, Taylor said. Instead, the CTS and the successor to the STS and DTS will be powered by the 3.6-liter direct-injected V-6 that went on sale in 2007.
In 2009, the new 2.9-liter diesel goes into production for Cadillac's CTS to be sold in Europe. Cadillac also could use that engine in U.S. models, Taylor said.
After 2010, Cadillac could use a pushrod V-8 in its Escalade SUV and also in niche vehicles like the CTS-V and XLR roadster.
Marketers once considered a V-8 engine an essential selling tool for the luxury market. But in a world of $100-per-barrel oil, those days may be gone. Lincoln, for example, does not offer a V-8 in its MKS sedan.
And the percentage of Cadillac buyers who want a V-8 is declining. Only 10 to 15 percent of Cadillac buyers insist on a V-8, while the others choose the V-6 powertrain.
"You have such a narrow gap now in terms of performance ... that smart consumers are saying, 'I don't need it,' " Taylor says.
While Cadillac could accommodate a diesel in its U.S. fleet, Taylor says it probably would remain a niche product. "As long as BMW and Mercedes are going to have (diesel engines) and market them, those guys will lead the charge," Taylor notes.
In the future, hybrid powertrains may replace V-8 engines as a mark of prestige, Taylor says. This summer, Cadillac dealers get the Escalade hybrid. GM has not announced pricing, but a fully loaded Escalade now sells at about $67,000.
Asked whether customers would pay $70,000 for a hybrid Escalade, Taylor says yes. Someday, hybrid powertrains might become the new V-8, he says.
Full article (sub reqd): http://www.autonews.com/apps/pbcs.dll/article?AID=/20080107/ANA03/801070342/1182
and Richard Truett (rtruett@crain.com)
Automotive News
January 7, 2008 - 12:01 am ET
DETROIT — The big, powerful V-8 engines that have been a mainstay of Cadillac's big sedans since the late 1930s are fading away, victims of the move to fuel efficiency.
Cadillac's trademark V-8 engine will give way to smaller high-tech V-6s — and possibly some diesel engines — in Cadillac's cars.
In an interview with Automotive News, Cadillac General Manager Jim Taylor said last week that Cadillac is considering a 2.9-liter turbocharged V-6 diesel for its mainstream U.S. sedans.
Taylor's revelation came in the wake of General Motors' announcement last week that it has dropped plans to replace the Northstar V-8, which goes out of production in 2010. The Northstar has powered Cadillacs since 1993.
"On Dec. 19, the world changed," Taylor said. That's when President Bush signed a law mandating a 40 percent fuel-economy improvement by 2020.
In the future, Cadillac's mainstream sedans probably won't offer V-8 engines, Taylor said. Instead, the CTS and the successor to the STS and DTS will be powered by the 3.6-liter direct-injected V-6 that went on sale in 2007.
In 2009, the new 2.9-liter diesel goes into production for Cadillac's CTS to be sold in Europe. Cadillac also could use that engine in U.S. models, Taylor said.
After 2010, Cadillac could use a pushrod V-8 in its Escalade SUV and also in niche vehicles like the CTS-V and XLR roadster.
Marketers once considered a V-8 engine an essential selling tool for the luxury market. But in a world of $100-per-barrel oil, those days may be gone. Lincoln, for example, does not offer a V-8 in its MKS sedan.
And the percentage of Cadillac buyers who want a V-8 is declining. Only 10 to 15 percent of Cadillac buyers insist on a V-8, while the others choose the V-6 powertrain.
"You have such a narrow gap now in terms of performance ... that smart consumers are saying, 'I don't need it,' " Taylor says.
While Cadillac could accommodate a diesel in its U.S. fleet, Taylor says it probably would remain a niche product. "As long as BMW and Mercedes are going to have (diesel engines) and market them, those guys will lead the charge," Taylor notes.
In the future, hybrid powertrains may replace V-8 engines as a mark of prestige, Taylor says. This summer, Cadillac dealers get the Escalade hybrid. GM has not announced pricing, but a fully loaded Escalade now sells at about $67,000.
Asked whether customers would pay $70,000 for a hybrid Escalade, Taylor says yes. Someday, hybrid powertrains might become the new V-8, he says.
Full article (sub reqd): http://www.autonews.com/apps/pbcs.dll/article?AID=/20080107/ANA03/801070342/1182