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GM To Idle ATS & CTS Plant For 3 Weeks; CTS Has 215 Day Supply

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Old 08-09-14, 07:25 AM   #1
TangoRed
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Default GM To Idle ATS & CTS Plant For 3 Weeks; CTS Has 215 Day Supply

From AutoNews:



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DETROIT -- General Motors will idle the Michigan plant that produces the Cadillac ATS and CTS for three weeks amid a glut of inventory.

The company's Grand River Assembly plant in Lansing, Mich., will stop production beginning the week of Aug. 18, and resume output on Sept. 8, according to two people familiar with the plant's schedule.

GM spokeswoman Erin Davis said the company "does not comment on production schedules" and that it is "matching supply to demand."

The move comes as U.S. sales of the ATS and CTS sag, pushing inventories to unusually high levels.

On Aug. 1, there were 15,100 ATS sedans on dealer lots or in transit, or a 152-day supply based on the recent selling rate, according to the Automotive News Data Center. CTS inventory stood at 16,900 units, or a 215-day supply.

Dealership lots also are swollen with excess supply of Cadillac's two other passenger cars: The XTS sedan, assembled in Canada, had a 152-day supply on Aug. 1; and the ELR plug-in hybrid's inventory stood at 1,400 units, a 194-day supply at the coupe's glacial selling pace.

GM dealers have sold just 578 of the $75,995 ELR (including destination fees) since its January launch. It's built at GM's Detroit-Hamtramck assembly plant in Michigan.

Overall, Cadillac's car inventory stood at 44,700 units on Aug. 1. Thatís equal to a 172-day supply -- about triple the level that is considered healthy. By comparison, Lincoln's car inventory was 87 days on Aug. 1. Audi's was 45 and BMW's was 42.

Overall, Cadillacís U.S. sales have slipped 2 percent to 97,358 this year through July, in a luxury market that has expanded 6 percent.

http://www.autonews.com/article/2014...s-cts-supplies
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Old 08-09-14, 07:46 AM   #2
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that sounds horrible
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Old 08-09-14, 07:50 AM   #3
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A short time ago, cars.com listed the cars with the highest and lowest Days Of Supply, and at that time the XTS had the highest DOS of all of the cars listed.
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Old 08-09-14, 08:13 AM   #4
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Great news for anybody looking to buy one. Should be able to cut a good deal.

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Old 08-09-14, 08:59 AM   #5
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Wow. Thats a shame, the ATS and CTS are great cars. I can understand the XTS, and the ELR (which is way too expensive), but the ATS and CTS are worth buying.
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Old 08-09-14, 09:13 AM   #6
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Why do they make so many? These aren't family cars, they will have lower volume by nature.

Change the production structure for Cadillac such that it focuses less on output and more on quality.
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Old 08-09-14, 09:14 AM   #7
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Cadillac got a bit ahead of themselves gotta start slower. Some of the latest offerings like the Escalade, 3CTS, Vsport, V, ATS are the best from Cadillac to date but there is still more to be done. Flagship sedans and coupes are on the horizon and the SRX looks and feels dated in a segment of revamped luxury CUVs, including the upcoming 4RX which will should prove to be more dynamic and luxurious than ever.

Last edited by Hoovey2411; 08-09-14 at 09:19 AM.
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Old 08-09-14, 09:16 AM   #8
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This is a shame given how good some of their products have gotten. I can respect them but I don't really like the interior styling or CUE. I'm more concerned by the lack of CUV products. I mean honestly why hasn't the SRX received a smaller counterpart yet?
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Old 08-09-14, 09:21 AM   #9
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Quote:
Originally Posted by SW13GS View Post
Wow. Thats a shame, the ATS and CTS are great cars. I can understand the XTS, and the ELR (which is way too expensive), but the ATS and CTS are worth buying.
Its a shame I know. I said a while ago that the Cadillacs are not selling well.

The problem is that ATS and CTS are tier 1 products with a tier 2 badge that has not caught up to the other tier 1 brands.

This is a case where the cars are better than the brand image.
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Old 08-09-14, 09:52 AM   #10
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"if you build it they will come... except if they don't"

i'm sure gm thought their new models would 'catch on', but clearly they haven't as much as they hoped. probably part is image, part is criticism of the cue system, and i've seen ZERO advertising but maybe i just don't see what they're actually doing.
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Old 08-09-14, 09:53 AM   #11
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this is really bad for GM since these are suppose to be their bread and butter models for cadillac.

but at the same time this is no surprise and VERY VERY obvious. There are WAY TOO MANY CHOICES for a lot cheaper. Although cadillac has tried to stay true to it's styling cues, it just doesn't cut it to appeal to the mass market.

bmw and mercedes and lexus is where it's at. Even hyundai is more desirable than cadillac. IMO the new genesis 2015 sedan is the most desirable of the bunch but the market thinks otherwise.

It's all about bmw, benz and lexus.
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Old 08-09-14, 10:18 AM   #12
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Originally Posted by BrettJacks View Post
Great news for anybody looking to buy one. Should be able to cut a good deal.
Yup, my thoughts exactly.
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Old 08-09-14, 10:21 AM   #13
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Originally Posted by bitkahuna View Post
"if you build it they will come... except if they don't"

i'm sure gm thought their new models would 'catch on', but clearly they haven't as much as they hoped. probably part is image, part is criticism of the cue system, and i've seen ZERO advertising but maybe i just don't see what they're actually doing.
Its the image of the brand that is the problem . Cadiilac is charging a lot of money for these cars.
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Old 08-09-14, 10:55 AM   #14
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Originally Posted by LexsCTJill View Post
Cadiilac is charging a lot of money for these cars.
this.

these cars are overpriced. you put any options on the ATS and it is quickly north of $50K. that's a lot of coin for a vehicle with mediocre looks and from what i hear a subpar transmission. i will wait for the buick version for $15K less.
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Old 08-09-14, 11:03 AM   #15
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Quote:
Originally Posted by BoDarville View Post
this.

these cars are overpriced. you put any options on the ATS and it is quickly north of $50K. that's a lot of coin for a vehicle with mediocre looks and from what i hear a subpar transmission. i will wait for the buick version for $15K less.
There is no Buick version of the Cadillac cars.

Quote:
Originally Posted by BrettJacks View Post
Great news for anybody looking to buy one. Should be able to cut a good deal.
You'll definitely see an increase in incentives on the Cadillacs to speed up the reduction in inventory.

Quote:
Originally Posted by Mr. Burns View Post
Why do they make so many? These aren't family cars, they will have lower volume by nature.

Change the production structure for Cadillac such that it focuses less on output and more on quality.
They understand that it won't sell like a Ford Fusion or Honda Accord. They expected a higher level of demand based on the pretty solid chassis/fundamentals. Sometimes those get locked into certain supplier and union build agreements.

Last edited by pbm317; 08-09-14 at 11:06 AM.
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