Did you recently take on (or consider) a loan of 84 months or longer on a car purchase?
A reporter would like to speak with you about your experience; please reach out to PR@Edmunds.com by 7/25 for details.
A reporter would like to speak with you about your experience; please reach out to PR@Edmunds.com by 7/25 for details.
Options
General Motors discussions
This discussion has been closed.
Comments
A few others I can think of, off the top of my head, are Nissan's 2.5 4-cyl and 3.5/4.0 V-6 engines. My Intrepid, a 2.7 DOHC, uses chains. Ford's 4.6 OHC V-8 also uses chains.
Timing belts used to have an advantage over chains because the longer a chain is, the more likely it is to stretch. With OHV engines there's only like 8 inches or whatever between the crankshaft and the camshaft, but OHC engines are much more of a stretch. However, to help minimize the stretching they use guides to keep the chains from getting slack in them.
I think Nissan has been using timing chains for awhile. My Mom & stepdad's old 1991 Stanza 2.4 had a chain.
Why does 99% of the media disagree, it actually quite the opposite.
Rocky
I've only ever read good things about the vette engine and ecotec 4-banger. Most other praising comments I've read usually occur when the vehicle is looked at by itself rather than compared. When its put up against the competition, it is exposed for what it is.
Sure, I was exagerating with "99%", but lets not get caught up in silly semantics.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
I thought the reason the manufacturer's used belts is because they were quieter and in the never-ending search to reduce NVH, they would go the belt route?
Well let's face it, knowing the auto industry, the main reason they probably started using belts was because it was a cost cutting measure! :P
Agreed.
One very important marque that I forgot to list using timing chains was Porsche of course. I don't know how I managed to forget that one! BTW . . . The first production engine to use a toothed belt cam drive was the 1961 Glas (Hans Glas, formerly of Googlemobile and BMW?). I think Fiat (and others) adopted them within a couple of years. The first US production engine to use a toothed belt cam drive was the 1966 Pontiac Tempest SOHC inline six.
Actually, timing belts, or more properly Gilmer belts, are not all that bad. Since they're outside the engine, they are easier to change than timing chains in OHC designs, and they also are durable - as long as one adheres to the maintenance skeds. Belts are also quiet, as compared to some chains. Belts have gotten their bad reputation for primarily two reasons: 1). Owners not following the replacement schedule, and 2). Use of belts with interference engine designs. If one breaks a belt, or a timing chain for that matter, in an interference engine design, holed pistons and bent valves will result. However, many new engines that use belts today are non-interference engines, and breaking a belt does not result in any engine damage.
Timing chains can also break, or stretch and jump tooth or two, especially if the chain tensioner has a problem. There are distinct advantages to both, but chains are less maintenance-intensive, but when you do have a problem with a timing chain in an OHC design, it can cost you big time!
Rocky
Sure, I was exagerating with "99%", but lets not get caught up in silly semantics.
Okay, but it was kinda ridiculous, even though most of the car mag media would agree with you.
Rocky
Sure, but then they get to use a cheaper part, and it needs to be replaced sooner generating more revenue. What's not for a MFR to like?
When I last shopped, one of my criteria was to get a car with a chain but when I asked the salesman about that, they looked at me like I had two heads. They put the belt in assuming that no one will think about it when they're shopping and then the service department cashes in changing them
The high value V6 is a great engine. Competitive with Toyota and Honda. GM just chooses to offer an economical cam in block V6 also which they sell tons of. this is the engine the media has a problem with but the customer keeps buying them.
GM also now offers a 6 speed trans. so Nissan would not have helped there. They also offer the Hybrid trans which Nissan would probably love to have.
The Zeta platform is enough for Cadillac and Whatever usage. No need for an S80 platform.
How about the GM cars in Aussie? Whoops those are Zeta and they are using that architecture here!
Again why would GM use the Land Rover platform when they have one of the best truck platforms already?
I just do not see a reason for Ford and GM to merge due to platforms. GM has enough already.
The bottom line is the bottom line. GM is still in the red by a WIDE margin. So whatever it is you think they are doing correctly is obviously not enough.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
And you will not see any more Buicks or Cadillacs that have Monsoons either. Pontiacs yes.
Its easy to stand out when you are standing alone. Its standing out in a crowd that GM has a tough time doing.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
how about them? We don't live in australia. When they finally start using that platform to deliver mid-level rear drive cars that "wow" the public and the media here in the US (like DC has done), then we've got something to talk about.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
however, I can also see a point to arguing a Ford/GM alliance. Regardless of who has what, cutting back costs while producing a quality product is what needs to be done. Sharing costs across companies could be greatly beneficial in that respect (which is what alliances are all about).
I have to wonder how GM will continue to afford developing new products while losing billions of dollars.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
That’s why GM created an all-new “high-feature” VVT V-6. This engine is all-aluminum and incorporates variable valve timing (VVT) for both exhaust and intake, a first for any GM engine. The system gives the V6 a broad flexible torque curve with 90% of the torque available between 1,600-5,800rpm. Another advantage of VVT is reduced emissions and improved fuel mileage, where you can expect about 19-mpg/city and 28-mpg highway. from autochannel
Fortunately they are no longer losing billions of dollars. The past 2 qtrs have been profitable, but not by much. This is w/o the overhead cut yet. Plants still need to be closed and people gone. They have only booked the money for that, I believe.
but GM does have an issue with development cost and hopefully GMAC will be half sold and some money will come in.
Look at the new GMT900 trucks, there's what, six engines including the 400 hp motor for the Escalade? Some with DOD, some without. This is the "high feature/low feature" GM philosophy at work. Give them all high feature and charge accordingly! Low feature is just code for cheap and outdated, and who wants to feel they bought "cheap and outdated", even if it did have a lower price relative to other GM models?
The Ecotec has received accolades, and I am not sure why. It is not a remarkable engine for power output, NVH reduction, or anything else is it? However, it is adequate for what it is, the low-priced alternative to a V-6, which is obviously GM's forte where small cars and 4-cylinder engines are not. These are areas where GM could benefit from partnering with a Japanese company. Partnering with Ford, not so much.
Chrysler minivans (and the Hemi, insert manly belch here) and half the GM line are pretty much all that is left in the American market using OHV engines. GM could cut all these out and stick to higher-profit engines, leveraging them to the max among many different models. This is another area where consultation with one of the import brands (and perhaps shared development of future products) could help a lot.
edit...I could see continuing the OHV engine series in the Corvette. This is an engine so ridiculously overpowered for the car it is hauling around that the engine will never rev over 2000 rpm for most buyers' daily needs. With that low a design spec, why not leave it OHV. The same may or may not be true for Chrysler's applications of the Hemi, although the OHV engines in its minivans definitely need to go.
2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
Give them all high feature and charge accordingly!
Love it!! Just charge people and they will buy!
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
HUH??? This is the first I'm hearing of this. Please tell me where you read such a thing.
GM restates 2nd quarter loss
GM posts 6th consecutive quarterly loss
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
LOL! Okay.....
Am I the only one who finds it strange that the whole 'tariff' issue gets thrown around like it's COMMON KNOWLEDGE that foreign governments have tariffs specifically against the Big 3......yet no one can provide any evidence about what these 'tariffs' are?
I'm not saying they don't exist - I just want to know WHAT they are and which countries have them?
BTW - did you call GM or a UAW steward?
Thailand is at 80%. I believe Malaysia is as well.
Most countries with VATs charge an equialization tax on imports which is not entirely fair, as the US and Canada do not similarly tax their products.
The problem in Japan is not tax but delivery. The rules for getting cars to consumers are so restrictive that only a few - all Japanese - companies - manage to get it right. The big Japanese companies own significant pieces of the existing distributors, and effectively shut off competition. This is not a problem for big dollar luxe brands (even Cadillac and Harley Davidson), which can afford to set up their own expensive channels.
But it is a problem for appliance cars.
Really?
So, the Japanese are a nationalistic bunch and if one intends to compete in their market, one would need a (duh) COMPETITIVE product?
Seems kinda like us here in the good 'ol USA......
I guess we just need to convince the Japanese that they really REALLY need full size trucks and SUVs....
I'm not sure I follow your logic, logic (I've wanted to post that for a loooooooong time...
If (for instance) Germany has a VAT that they apply to THEIR domestic vehicles (Audis, BMWs, MBs) then, to be fair to their OWN domestics, wouldn't they also need to charge an equalization tax on imports? Otherwise, the imports (in this case, the Big 3) would have the 'advantage'?
And the US and Canada doesn't similarly tax their products anymore (or any less) than similar products produced domestically.
I've just often wondered WHAT vehicles we would be exporting to Japan or the EU that they would buy?
Maybe they could find some old Astro van dies and remake them for Japan?
GM is slashing $9.5Bn in costs, plus introducing new models. Combined, the two moves will put GM back on track towards profitability in North America by Q2 of 2007. Wagoner has spent his whole career at GM, and despite entreaties otherwise, he should not be pushed out by Kerkorian, who has only recently come to the table at GM. Kerkorian does not have the interests of GM in mind, he is persuing only his own agenda---even if he increases his shareholdings to 12% becoming the second largest shareholder behind State Street Global Holdings at 15%. What GM needs is not another partner, but better CARS and trucks.
DouglasR
That out of the way, I disagree with your example. Europe taxes corporate production mainly with the VAT. The US (and Canada) taxes corporations with income tax.
Assuming a US company were to export a car to Europe, they would have to pay the income tax and the equalization tax, meaning the car would have to be more expensive than its counterpart selling in the US.
On the other hand, the German companies set up North American subsidiaries. These subsidiries buy vehicles from the German parent and resell them to dealers in the US and Canada. Most of the profits they make is eaten up by marketing and warranty costs, etc., meaning they pay less tax and can sell their products fairly close to what they sell them for in the EU.
This is even more distorted when you consider Korean and other developing and third world manufacturers, to which the Equalization tax is most squarely aimed. I believe the Equalization tax is the only reason companies like Fiat, Citroen and Renault still manufacture entry level sub-compacts. The better made sub-compacts such as the Mini, Smart, Corsa, etc. will still be made profitably in Europe as people are willing to pay more for them. But come on. The Punto?
i'm pretty sure that's what most folks here have been saying, for the most part.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
Hey, hey...the B-Boys of Chi-town aren't doing too bad. And how the heck did Indy come back and win that game? Is Manning doing a Favre impersonation this season of what?
Back on topic, I think that judge is going to extend the "talks" indefinitely. I just wish he'd give some real time, like 3 months or something, instead of these 3 ~ 4 week extensions. Again, there's been more extensions than in a beauty shop on a Saturday afternoon!! :P
GM lost $3.2 billion in the 2nd qtr. However there was a one time charge of $3.7 billion charge to pay off the union to leave their jobs. In the 3rd qtr this charge will not be there and some of these high paid folks will be gone. The job banks should also be emptying out. There was another $.6 billion in other one time charges. Like I said there was not much profit ($1.1 billion)
hey, I guess it is in semantics. when they sell GMAC I will not consider that a profit
GM reported a net loss of $3.2 billion, or $5.62 per share, for the second quarter of 2006, compared with a reported loss of $987 million, or $1.75 per share, for the year-ago quarter. The net loss for the quarter included a total of $4.3 billion, or $7.66 per share, in special items that reflected a previously announced $3.7 billion after-tax charge related to the successful accelerated attrition program, in which 34,400 hourly employees participated. Other special items included a loss related to the pending sale of 51 percent of GMAC, a gain on the disposition of Isuzu stock, and restructuring charges.
i'm pretty sure that's what most folks here have been saying, for the most part.
And to convince people they are better!!
hey there is a Forum that discusses "what will save GM" here.
http://townhall-talk.edmunds.com/WebX/.efdc04a/11210
So, is the 'solution' additional taxes/tariffs on cars JUST from those countries? Or perhaps the vagarities of our own income tax system is the problem?
The initial insinuation in this whole 'tariff' issue was that foreign goverments were enacting protectionists measures to protect THEIR domestic product, therefore we should do the same. And if NOT for these 'tariffs' (or other barriers to trade), the Big 3 could compete just fine with American built autos in these markets. I know you weren't making that insinuation, but that is the one I was attempting to address.
From your example above, it seems as though it's a problem with the US tax code enacting additional costs (through corporate taxes) even though the income was earned overseas. Is this 'unfair' to the American based business. Quite possibly. But I don't see it as the 'fault' of a foreign government and I don't see the 'solution' as being a tariff. Because by instituting a REAL straight-forward tariff, then you just invite a response in kind.
no, i wouldn't consider that sale a profit, either.
when and if they actually post a true profit from car sales, I'll consider that a win and regain a bit of hope that MAYBE they can survive. But not before then. I'm just not a fan of fuzzy math.
I find it interesting that, looking at the financial report I found on yahoo, they seem to bounce between a huge loss one quarter into a small profit the next and then back to a huge loss. Seems like the ONLY way to look at it is as a yearly total since there's apparently some bookkeeping issues there (as your example shows) that most of us probably don't know about or fully understand. I have also noticed that few sources seem to give the same numbers. Check this out:
http://finance.yahoo.com/q/is?s=GM
According to that chart, they made $445m in the first quarter. Every news story I have found says the opposite. Something like a $330m LOSS.
This is why I'm not an accountant.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
Yes, BMW and MB dominate the luxury market there, but of course they dominate everywhere else. Lexus has just been introduced, Infiniti not yet, so the picture may change in a few years. The Japanese also love very expensive and fast Italian sports cars, and upper end Japanese marques, which are now all German owned of course.
No sign of life from Caddy and Lincoln. But they import quite a few 300C, the only American to have any success there. This I pick up from a luxury car Japanese magazine I regularly browse.
I don't think the Big 2 at least ever really tried to export to Europe. No reason. They are two of the biggest players in Europe already.
On the other hand, I think that Europe has used the Equalization tax to more effectively keep the Asian (and other low wage/low tax nation) makes at bay than the US or Canada.
Finally, I do believe that the Japanese companies used their internal logistical barriers not so much to keep existing US and Canadian product out - the truth is the Big 3 never made product that 95% of the Kei car buying market there wanted - but rather to discourage them from even trying. Which in turn did afford them breathing room in the 1970s and 1980s when they had significantly less resources to compete with.