warren, michigan€¦ · material: the hardware that comeswiththenorthamerican truckoftheyearaward....

By Jeff Karoub and Tom KrisherAP Business Writers

DETROIT (AP) – Ford’s bigmove to aluminum for the bodyof its flagship F-150 truck hashelped it garner some additionalmaterial: The hardware thatcomes with the North AmericanTruck of the Year Award.Ford took the top truck honor

last week alongside the Volkswa-gen Golf, which was named car ofthe year. The winners, voted onby about 60 automotive journal-ists, were unveiled at the start ofpress previews for the NorthAmerican International AutoShow in Detroit.“Clearly, the materials have a

lot to do with the story of the

truck,” Ford President of theAmericas Joe Hinrichs said,though he added he’s “mostproud” of what the material doesfor the vehicle’s capabilities.The aluminum body allowed

Ford to reduce the truck’s weightby 700 pounds compared withlast year’s model. That gave itgreater hauling and towing ca-pacity and better fuel economy.The lighter weight also makesthe truck accelerate faster, stopquicker and handle better, hesaid.Ford’s truck sales, which

amount to 20 percent of its NorthAmerican sales, slowed last yearas the company retooled facto-ries to make the new one. Hin-richs said initial sales have been

strong with trucks sitting ondealer lots for an average of onlyfive days. Only one factory, inDearborn, is currently makingthe F-150, but a second factory inKansas City will be ready by theend of March, he said.Hinrichs predicted sales would

pick up as both plants start sup-plying dealers.The F-150 beat out Ford’s Lin-

coln MKC and the Chevrolet Col-orado for truck honors.Volkswagen officials were

pleasantly surprised by the VWGolf win.“We didn’t expect this award,”

said Michael Horn, VW’s CEO inAmerica, while praising competi-tors and fondly recalling drivinga 1967 Mustang.

“It’s confirmation of the waywe’ve chosen to go forth. It’s astarting point to get back ontrack here in U.S.”Horn said the German auto-

maker’s U.S. sales were down lastyear but started to climb in the

final months of the year with thearrival of new models. He addedthe Golf, VW’s top-selling model,also represents “the DNA of thebrand” as well as its strategy fordesign, technology and market-ing.

™TechCenterNews™

VOL. 39 NO. 20 JANUARY 19, 2015Covers the Tech Center and the Immediate Area

WARREN, MICHIGAN

go to TechCenterNews.com for Scrollable Version of this week’s edition

[email protected]

by Jim Stickford

Electric and hybrid vehiclesaren’t special cars that peoplewill buy to save the environment– they will only work in the mar-ketplace when the value proposi-tion for the customer adds up tosavings.That’s how GM’s Mark Reuss

explained Volt marketing plans atthe media preview of the 2015North American InternationalAuto Show (NAIAS).It was at that show that GM

introduced the 2016 Volt to theworld.Reuss, executive vice presi-

dent of GM’s Global Product De-velopment, Purchasing and Sup-ply Chain, said the new versionof GM’s extended-range electricvehicle (EREV) gives customersthat proposition value, throughcost.With tax incentives, buyers

can get a new Volt for about$30,000 – a drop of about $10,000from the previous model.And the 2016 features a new,

192-cell/18.4-kWh lithium-ion bat-tery pack and new, 111-kW two-motor drive unit. The Voltec sys-tem is up to 12 percent more effi-cient and approximately 100pounds (45 kg) lighter than theprevious system, Reuss said,adding that the Volt also goesfrom 0-60 in 8.4 seconds.What that means, Reuss said,

is that the drivetrain is lighterand the battery system is moreefficient, effectively giving thenew Volt a range that will allowowners to drive more than 1,000miles on average between gaso-line fill-ups with a total estimateddriving range of more than 400miles – 50 of those in all-electricmode.“The improvements in the effi-

ciency and performance of the2016 Volt are driven by whatowners said they wanted in thenext-generation model: morerange, better fuel economy andstronger acceleration,” saidAndrew Farah, vehicle chiefengineer.“Building on General Motors’

Bolt EV Concept is ‘Game-Changer’ – Barra

2016 Buick Cascada convertible

Mary Barra and Chevrolet’s Alan Batey with concept Bolt at NAIAS

by Jim Stickford

Buick has let its hair down byputting the top down.Buick introduced the 2016 Cas-

cada – a convertible that uses in-novative powertrain and chassistechnologies – at the 2015 NorthAmerican International AutoShow in Detroit.The Cascada will be the first

Buick convertible offered in theUnited States in 25 years and thelatest globally developed vehicleto join the brand’s growing port-folio.The Cascada goes on sale in

early 2016, said Buick spokes-woman Lauren Indiveri.“The new 2016 Buick Cascada

is a beautiful, engaging convert-ible that represents the very bestof the brand’s global develop-ment practices,” said Duncan Al-

dred, vice president of Buick.“It’s a car that will delight cus-

tomers with its fun spirit andhelp drive the momentum that’sfueling Buick’s success.”The Cascada’s 2+2 configura-

tion offers comfortable room forfour adults, said Indiveri, addingthat its “expressive” driving ex-perience is rooted in a rigid bodystructure, Buick’s sophisticatedHiPer Strut front suspension andresponsive Watts Z-link suspen-sion in the rear – along with a200-horsepower turbochargedengine.And when it comes to drop-

ping the top on a whim, Indiverisaid, it lowers in only 17 secondsat speeds up to 31 mph.“Cascada’s driving enjoyment

is rooted in technologies that

Buick’s Cascada ConvertibleTo Go On Sale in Early 2016

CONTINUED ON PAGE 3 CONTINUED ON PAGE 6

2015 F-150

F-150 Named North American Truck of Year

by Jim Stickford

To expand the Cadillac brand,GM has to compete with the bestin the world, and that’s exactlywhat the 2016 CTS-V is designedto do, said Cadillac brand presi-dent Johan de Nysschen at the2015 North American Interna-tional Auto Show.De Nysschen said the CTS-V

will be launched in the late sum-mer of 2015. It will come with 640horsepower, 630 lb.-ft. of torqueand a top speed of 200 mph.“The new CTS-V reaches high-

er than its predecessors, leadingCadillac’s product-driven expan-sion and elevation,” de Nysschensaid.“It is the third generation of

the acclaimed luxury sportssedan that launched the elite V-

Series a decade ago – and rede-fined Cadillac for a new genera-tion of enthusiasts.“V-Series represents the very

best of the Cadillac brand – thepinnacle of our design and tech-nical capabilities.“The new CTS-V is the most

compelling example of Cadillac’sproduct substance and brandtrajectory. The new CTS-V soarsinto the stratosphere of the mostexhilarating luxury cars.”Comprehensive updates make

the new CTS-V essentially twocars in one, de Nysschen said.One is a luxury sedan with so-phisticated road manners, hesaid, and the other is a track-ca-pable sports car straight fromthe factory.It also introduces a new super-

charged 6.2L V8 engine backed

by Cadillac’s paddle-shift eight-speed automatic transmissionand featuring launch control andPerformance Algorithm Shifting.“The philosophy is that one

can’t have too much horsepowerprovided you have a chassis thatcan handle it,” de Nysschen said.“This is the most powerful carCadillac has built in its 112-yearhistory.“It’s a bold challenge to be

sure, but only those who darerisk much will take the future.And Cadillac has dared much –but that’s the Cadillac way.”With more horsepower and

torque than the Mercedes-Benz5.5L biturbo V8 and the BMWM-series 4.4L TwinPower (twin-turbo) V8, the new CTS-V is capa-

GM’s Reuss: Goal of New CTS-V is ‘Not toCompete with BMW, Mercedes – It’s to Win’

De Nysschen with 2016 Cadillac CTS-V at the 2015 auto show CONTINUED ON PAGE 8

mailto:[email protected]

by Jim Stickford

Fiat Chrysler CEO Sergio Mar-chionne spoke to the media atthe 2015 NAIAS car show in De-troit about the company and itsfuture.On the subject of a possible

merger with other automakers,Marchionne said the companywas not in any talks “at themoment” to consolidate withother automakers.“Even if we were, I doubt this

would be the forum in whichwe’d announce it,” Marchionnesaid. “I will reconfirm that thereare discussions with othersabout specific projects in whichFCA and others would collabo-rate.“The longer I stay in this busi-

ness, the more I realize thatthere’s a large amount of capitalbeing used by automakers for de-velopment that could be betterused to develop businesses if wejoined forces.“The cost of development is

well in excess of what I thinka mature industry can well af-ford.”Marchionne went on to say

that development costs force ex-ecutives to take huge gambleswith capital. If one of the gam-bles doesn’t pay off, it can sinkan automaker.He added that right now the

markets reflect the attitude thatthe auto industry doesn’t usecapital well even in this low-inter-est environment.“I find it incredible that it took

us this long to realize this,” Mar-chionne said.But, he added, getting auto-

makers to collaborate is a diffi-cult proposition for a variety ofreasons, not the least of which isthe ego of auto executives.“To use an American expres-

sion, I’ve never heard of a turkeythat invited himself to Thanksgiv-ing dinner.“Just look at the happy-go-

lucky 1990s when we had merg-ers that didn’t make sense.“But the industry needs to

bring down the cost of develop-ment. What I learned when I was

younger is that the biggest re-dundancies in the car businessexist at the executive level.”Marchionne also talked about

the company’s facilities in Mexi-co and Canada.He said he had no specifics to

say about the Mexican plantsother than in about 12 months,an announcement would bemade what investments the com-pany was making at those facili-ties.He also said that Windsor

Assembly has received about $2billion in investments for thenext FCA minivan, which hehopes to see at the 2016 Detroitauto show. And if they decide tobuild a large SUV, that facilitywould be the logical place to doit.Marchionne also talked a little

about the Jeep plant in Toledo,saying the workers there havedone a great job for the companyand that effort should be ac-knowledged.“Regardless of what happens

with Jeep, that plant will be keptbusy,” Marchionne said.“The issue is financial. It

comes down to how much wouldit cost to build the Wranglerthere. It isn’t a normal produc-tion vehicle.“The way the plant is set up

imposes production limitations.We’re still working through thedetails.The problem is the size of the

investment. Some people willhave to step up to the bar.We’re talking about a lot ofmoney.”When asked about the recent

drop in oil prices, Marchionne

said that shouldn’t really havemuch effect on FCA’s plans or itsportfolio. The decisions that real-ly affect what will be made arebased on things like CO2 emis-sions, which he said that, givenupcoming federal regulations, isthe thing that wags the dog.Marchionne added that it’s not

the price of oil that will affect theU.S. market, it’s the value of thedollar. Because of its relativestrength, European and Asianautomakers will be “looking atthe U.S. market with more affec-tion.”In discussing automotive re-

calls, Marchionne said there’sbeen a change in the paradigm ofhow vehicles are recalled andwhy.“We need to see this process

develop as we go forward,” Mar-chionne said. “That’s as far as I’llgo on this.”Marchionne concluded by say-

ing that 2015 looks to be a goodyear for the car business.“There is no doubt that the in-

dustry sees 2015 in an optimisticfashion,” Marchionne said.“The worst case scenario is we

see a stable market this year.We’re all in good shape and notcomplacent, which is unusual.But for now, I’m saying I’m opti-mistic for 2015.”

TechCenterNews31201 Chicago Road SouthWarren, Michigan 48093

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Deadline: Thursday 5:00 p.m.for the next edition of Monday

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PAGE 2 JANUARY 19, 2015TECH CENTER NEWS - WARREN

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DETROIT (AP) – General Mo-tors says it expects pretax earn-ings and profit margins to in-crease this year over last, afteradjusting last year for recallcosts.The company also predicts

improved automotive results inall of its regions. It gave no spe-cific numbers. GM is scheduledto release its fourth-quarter and2014 earnings on Feb. 4.GM also reiterated 2016 finan-

cial targets of 10 percent pretaxprofit margins in North Americaand a return to profitability inEurope. It also expects to main-tain strong profit margins in Chi-na. Profit margin is the percent-age of revenue that a companygets to keep.The company expects 9 per-

cent to 10 percent profit mar-gins overall by early nextdecade.GM made the predictions at a

Deutsche Bank conference foranalysts in Detroit last week.GM issued 84 recalls last year

covering more than 30 millionvehicles in North America, cost-ing the company more than $2.8billion. The spate of recalls be-gan with faulty small-car igni-tion switches that are responsi-ble for at least 45 deaths and 68injuries. GM acknowledgedknowing about the bad switchesfor more than a decade, yet itdidn’t start recalling the carsuntil early 2014.CEO Mary Barra told the con-

ference that the company didn’tdo everything perfectly on therecalls, but said it now has per-manent systems, processes andbehavior changes in place tomake sure it doesn’t happenagain.GM plans to reach its goals by

leading in product and technolo-gy, expanding the Chevrolet andCadillac brands globally andcontinuing to grow in China.Company President Dan Am-

mann told the conference thecompany plans numerous newproducts during the next coupleof years, including top-sellingmodels such as the ChevroletCruze compact car, Chevy Mal-ibu midsize car and ChevroletEquinox small crossover SUV.The company has 27 new

models coming globally thisyear, and 38 in each of 2016 and2017, he said.“All major-volume entries get

all-new models the next coupleof years,” Ammann said.

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make it more comfortable and re-fined,” said Aldred. “Its featureswork harmoniously to provide asafe, connected and confidence-inspiring driving experience.”

Technology and safety high-lights include:

• Buick IntelliLink with a sev-en-inch diagonal color touchscreen featuring Text MessageAlerts, Siri Eyes Free for Applephones with an iOS 6 or neweroperating system and navigation.

• OnStar 4G LTE with built-inWi-Fi hotspot.

• Electronic rear-seat entrysystem that automatically pow-ers the front seats forward bysimply pressing the seatbackforward. It moves the seats backwhen the seatback is returned tothe upright position.

• Electric safety belt presen-ters that use telescopic arms toslide the upper front safety beltassemblies from behind the frontseat into closer reach for easierbuckling.

• Rollover protection barsthat deploy behind the rear seatswhen the possibility of a rolloveris detected.

• Lane departure warning,rear park assist, rearview cameraand Rainsense windshieldwipers.

Designed from the outset as aconvertible, Indiveri said theCascada has a flowing, sculpted

profile, with fast-raked A-pillarsthat convey a wind-in-the-hairflair. When lowered, the top foldscompletely beneath a hardtonneau behind the rear seats.

“The Cascada’s design blendsthe suggestion of speed with so-phisticated and uncompromisingdetails,” said Holt Ware, Buick ex-terior design director.

“Most convertibles are de-signed from existing coupes orsedans, meaning stowage of thetop is an afterthought, but notthis Buick. It looks handsomeand has a premium appearancewhen the top is lowered – and aperfect, seamless profile whenit’s up.”

The Cascada also has plenty ofstorage space for the trappingsof a weekend getaway, Indiverisaid, including 13.4 cubic feet ofcargo room with the top up and9.8 cubic feet with the top down.The rear seatbacks fold downelectronically to expand cargocapability for longer items.

The Cascada is driven by a1.6L turbocharged engine ratedat 200 horsepower. With morethan 100 horsepower per liter,it’s one of the most power-denseengines in the segment, Indiverisaid, adding that it deliversstrong torque, estimated at 206lb.-ft., with an overboost featurethat briefly pushes torque to anestimated 221 lb.-ft.

Direct injection and variablevalve timing complement the

turbo engine’s performance withefficiency. It’s backed by a six-speed automatic transmission.

Power from the turbochargedengine is translated into drivingenjoyment via the innovativesuspension system, which em-ploys the sophisticated HiPerStrut front suspension pioneeredon the LaCrosse and Regal.

HiPer Strut is based on theMacPherson strut design and fea-tures dual-path top mountingsthat separate the transfer ofspring and damper loads to thebody structure.

Indiveri said it enhances rideand handling – by reducingtorque steer – more linear andcommunicative steering throughimproved camber control, andimproved impact isolation on

bumps and rough surfaces.Built on the Delta II platform, a

rigid body structure featureshigh-strength steel in strategicareas, reinforced side sills andpress-hardened steel in theA-pillars. It is the foundation forthe Cascada’s driving experi-ence, contributing, said Indiveri,to steering precision, ride qualityand quietness – as well as safety.A 106.1-inch wheelbase, she said,enhances ride smoothness whileenabling greater rear-seat legroom.

“This convertible has the samename of its Opel counterpart,” In-diveri said. “It will be made inPoland and we like to think of itas a ‘halo’ vehicle.

“A ‘halo’ vehicle is one that isan aspirational vehicle that is

elevated above the rest just as ahalo is above your head. TheCorvette Stingray is Chevy’s halovehicle. The idea is to build agood perception of the Buickbrand.”

Buick also showed off the con-cept car Avenir, which, looselytranslated, is French for future.

“The Avenir was designed withthe inspiration of the class Riv-iera in mind,” Indiveri said. “It’smeant to evoke Buick’s classicpast while showing the publicwhere the brand can go.

“We have no plans to producean Avenir right now, but Buickand GM will look at the businesscase for one and if it makessense, sure.”

Indiveri said the response tothe Avenir has been positive.

™TechCenterNews™

JANUARY 19, 2015 PAGE 3COVERS THE TECH CENTER AND THE IMMEDIATE AREA

CONTINUED FROM PAGE 1

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Ed Welburn, vice president of GM Design North America, with Buick Avenir concept car at NAIAS

Buick’s Cascada ConvertibleTo Go On Sale in Early 2016

All work and no play can makefor a dull automaker, but thatwasn’t Ford’s problem at the2015 NAIAS in Detroit last week.

Bill Ford Jr. addressed theworld media at the car show onJan. 12, saying that Ford MotorCompany is a vibrant and rele-vant automaker today because itinnovates.

“Ford has always been drivento improve the lives of driversthrough innovation,” Ford said.“We want Ford to be green, glob-al and high tech. And now, greenhas become a core value of Ford.

“Ford has become a high-techcompany. It is leading the indus-try in the use of advanced light-weight materials. We justannounced a joint project be-tween Dow Chemical and the fed-eral government to develop light-weight carbon fiber materials.”

Ford CEO Mark Fields addedthat the auto industry is abouttaking advantage of the high-techrevolution that’s going on.

“In this brave new world, thewinners will be the innovators,the disrupters,” Fields said. “AtFord, the spirit of innovation isaccelerating. Ford Smart Mobilityis taking Ford to the next level.We’ve just opened up an expand-ed tech lab in Palo Alto, Califor-nia. Our innovations have putFord on the fast track.”

But, Fields said, Ford is aboutmore than innovation. The com-pany is also about performance.

Ford vice president of GlobalProduct Development Raj Nairagreed, and told the media about

the new Ford Shelby GT350R.The new vehicle, Nair said, is a

true performance vehicle.“The Shelby GT350R Mustang

is a no-compromise car in thepursuit of maximum track capa-bility,” said Nair. “It is a thorough-bred street car making use oftechnology and ingenuity to de-liver performance few enthusi-asts have ever experienced.”

The car features the first-everproduction V8 from Ford with aflat-plane crankshaft – the mostpowerful naturally aspirated en-gine Ford has ever produced –plus a specially tuned suspen-sion, Nair said.

The vehicle is fitted with re-vised spring rates and antirollbars, lower ride height, uniquetrack-tuned alignment settings,revised bushings and jouncebumpers, cross-axis ball joints inthe front suspension, and revisedcalibration controlling the Mag-neRide dampers.

“The Shelby GT350R Mustangis a car with the nimbleness andpower delivery you want on aroad course,” said Nair.

“This isn’t just about horse-power. This is an all-around bal-anced athlete – one that is ex-traordinarily precise and agile.”

But, Fields said, Ford is onlygetting started with the ShelbyGT350R. The company, he said, isalso bringing back the Ford GTsupercar.

Beginning production late nextyear, Fields said, the GT hits theroad in select global markets tocelebrate the 50th anniversary ofFord GT race cars placing 1-2-3 atthe 1966 24 Hours of Le Mans.

“As we at Ford drive innova-tion into every part of our busi-ness, it’s worth rememberingthat our first innovation as acompany was not in a laboratory,but on the racetrack,” saidFields, referring to Henry Ford’swin of a 1901 car race that in-spired financial backers to investin his company.

“We are passionate about inno-vation through performance andcreating vehicles that makepeople’s hearts pound.”

The new GT supercar featuresrear-wheel drive, a mid-mountedengine, and a sleek, aerodynam-ic, two-door coupe body shell. Itis propelled, said Fields, by themost powerful EcoBoost produc-tion engine ever – a next-genera-

tion twin-turbocharged EcoBoostV6 producing more than 600horsepower.

The GT makes extensive use oflightweight materials, includingcarbon fiber and aluminum – en-abling outstanding accelerationand handling with improved effi-ciency, said Fields.

Ford’s commitment to – andcapability in delivering – tech-nologies typically offered only inelite vehicles is evident in the GT,Fields said, including advancedactive aerodynamics, such as adeployable rear spoiler, and ahost of material and technologyinnovations to help better servethe driver, such as SYNC 3 – thelatest version of Ford’s advancedconnectivity system.

“The GT is the ultimate execu-tion of an enthusiast supercar,”said Nair. “GT includes innova-tions and technologies that canbe applied broadly across Ford’sfuture product portfolio – anoth-er proof point that Ford contin-ues raising the performance barwhile ultimately improving vehi-cles for all of our customers.”

The GT, Fields said, is one ofmore than 12 new Ford Perform-ance vehicles coming by 2020.

It will join Focus RS, F-150 Rap-tor, Shelby GT350 and ShelbyGT350R in the growing Ford Per-formance lineup.


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The Ford GT supercar, coming back in 2016, said Ford CEO Mark Fields.

Ford is About More Than Innovation, It’sAlso About Performance – CEO Mark Fields

The Warren Public Library ishosting Elaine C. Pereira, a certi-fied dementia practitioner/care-giver, who will speak about hermemoir, “I Will Never Forget,” onThursday, Feb. 26, at 6 p.m. atthe Warren Civic Center branchof the library.

“It is painfully difficult towatch a loved one decline asdementia ravages their mind,destroying memories, rationalthinking and judgment,” saidWarren librarian Kathleen Faba.“In her memoir, ‘I Will Never For-get: A Daughter’s Story of HerMother’s Arduous and Humor-ous Journey through Dementia,’Elaine Pereira shares the heart-breaking and humorous story ofher mother’s experience. I urgepeople to attend.”

Space is limited. Call 586-751-0770 to reserve a spot.

Library SponsorsDementia Author

By DEE-ANN DURBIN and TOMKRISHERAP Auto Writers

DETROIT (AP) – The head ofelectric car maker Tesla Motorssays the company should turn aprofit in five years after it bringsa lower-cost car to market.CEO Elon Musk, speaking Jan.

13 at an automotive conference,said Tesla needs to show a profit,and will when it’s selling 500,000cars per year. He predicted thatsales milestone will be reached in2020, when its lower-cost car –the Model 3 – is in full production.Tesla, which was founded in

2003, has never made a full-yearprofit. The company based inPalo Alto, Calif., expects to sellaround 33,000 Model S sedansthis year.Speaking at the Automotive

News World Congress, Musk saidTesla could make money underU.S. accounting standards “if weweren’t growing and investinggreat amounts of money.”In addition to developing the

Model 3 and a crossover, Teslarecently reengineered its Model Ssedan to offer all-wheel drive. It’salso building a $5 billion batteryfactory in Nevada that is set tobegin production in 2017.Musk wouldn’t say how many

Model S sedans Tesla sold lastyear, citing its upcoming earn-ings report.He did say fourth-quarter sales

fell in China because of cus-tomers’ concerns about plugging

in their vehicles if they live inapartment buildings.Musk said that issue is being

resolved as Tesla expands its net-work of supercharging stations inChina.He added that North America

and Europe saw a “significant in-crease” in sales.In addition to the Model 3 –

which, at $35,000, would costhalf the price of a Model S –Tesla is developing the ModelX SUV, which is set to go onsale this summer after severaldelays.Musk said technical difficulties

with the crossover’s unique reardoors, which open up instead ofout, were the reason.“I do have an issue with punc-

tuality,” Musk joked. “This car isreally good. And I do not saythese things lightly.”He said he wasn’t concerned

about competitors, including theChevrolet Bolt, a $37,500 electriccar with a 200-mile range thatwas introduced this week at theDetroit auto show.General Motors says the Bolt

could be on sale by 2017.“I don’t see it as a competitive

threat because I think all carswill go electric,” he said. “It’s notgoing to affect us, really.”Musk said he wishes more

automakers would take a risk onelectric cars.Low gas prices, he said,

shouldn’t hinder their adoptionbecause electric cars are cheap-er to run than gas-powered cars

even if oil is $40 to $50 perbarrel.“I think there’s going to be

huge societal pressure towardselectric cars,” he said. “They’rejust fundamentally better.”Musk said he plans to lead

Tesla at least through high-vol-ume production of the Model 3.He may not always be CEO,

he said, but he will play a role inthe company “as long as I’malive.”

Tesla CEO Predicts Profit with New Model

JANUARY 19, 2015 PAGE 5TECH CENTER NEWS - WARREN

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Chevrolet is using advancedconnected vehicle technology togive customers a sense of assur-ance in their vehicles.This new tech will debut later

this year, said GM spokesmanStuart Fowle.This “industry-leading” prog-

nostic technology can predictand notify drivers when certaincomponents need attention – inmany cases before vehicle per-formance is affected, Fowle said.The predictive technology is

initially focused on the battery,starter motor and fuel pump,all critical to starting andkeeping a vehicle running, Fowlesaid.Additional vehicle parts and

components are expected to beadded in future model years.“This is a new chapter in our

pursuit to provide customerswith convenience and the bestoverall service in the industry,”said Alicia Boler-Davis, GeneralMotors senior vice president,Global Connected Customer Ex-perience.“Using our innovative OnStar

4G LTE connectivity platform, wecan actively monitor vehiclecomponent health and notify our

customers if covered vehiclecomponents need attention.“Nobody else in the industry is

offering this.”Building on the 15-year history

of connected vehicle technologythrough OnStar, the prognosticservice relies on OnStar 4G LTEto provide data streams fromsensors within the vehicle, Boler-Davis said.When customers have enrolled

their properly equipped vehiclein this service, the data is sent toOnStar’s secure servers and pro-prietary algorithms are appliedto assess whether certain condi-tions could impact vehicle per-formance.When indicated, notifications

are sent to the customer viaemail, text message, in-vehiclealerts or through the OnStar Re-moteLink smartphone app.This service is expected to be

available on select 2016 Chevro-let Equinox, Tahoe, Suburban,Corvette, Silverado and Silvera-do HD models equipped with cer-tain powertrains.More Chevrolet vehicles will

follow with this service through-out the 2016 model year, Fowlesaid.

Prognostic capability is the lat-est advancement in a suite ofservices that will keep Chevroletcustomers informed from thefirst day of ownership throughmany years into the future, saidFowle.Chevrolet customers with an

active OnStar connection alreadycan monitor tire pressure, oil lifeand other key data points via theOnStar RemoteLink smartphoneapp or through a monthly diag-nostic email sent from the vehi-cle.In 2016, Chevrolet is adding a

new capability, which allows cus-tomers to check these key datapoints continuously, withouthaving to wait for their monthlyemail, Fowle said.Keeping a vehicle’s tires filled

to the recommended pressureand keeping vital systems well-maintained can lower fuel costsand extend a vehicle’s life, hesaid.Together, said Boler-Davis,

Chevrolet’s advanced diagnosticand prognostic capabilities willkeep owners more informed andempowered to make every tripconfidently through years ofownership.

Chevrolet to Debut Prognostic TechnologyThat Informs Drivers of Potential Issues

Chris Urmson, director of self-driving cars at Google, said Jan.14 at the Automotive News WorldCongress that the technologygiant has started talks with mostof the world’s top automakersand assembled a team of globalsuppliers to speed its push tobring self-driving cars to market.The suppliers named by

Google included Bosch, whichsupplies power electronics andlong-range radar to Google; ZFLenksysteme, which supplies anew steering gear; LG Electron-ics, which supplies the batteries;plus Continental and Roush.Urmson confirmed that Roush,

the Michigan-based engineeringand specialty manufacturingcompany, built the podlike two-seater that Google plans to starttesting on public roads this year.Crain’s Detroit Business, an affili-

ate of Automotive News, reportedthat relationship last May.Google didn’t ask a large auto-

maker to build this car, Urmsonsaid during a discussion withAutomotive News publisher andEditor Jason Stein, but intends todo so in the future when it seeksto commercialize its technology.“At some point, we’re going to

be looking to find partners tobuild complete vehicles, andbring the technology to market,”he said.Asked when that might be, he

said, “When it’s safe and ready.”Urmson was among more than

20 industry leaders to addressthe sold-out group of more than1,200 attendees. Other speakersincluded Mary Barra; Elon Musk,CEO of Tesla Motors; Sergio Mar-chionne; and Joe Hinrichs, presi-dent – The Americas, Ford.

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industry-leading battery anddrive-unit technologies, we’vedelivered all of that, while alsomaking the Volt more refined andfun to drive.”Practically every element and

component of the Voltec system– which includes the battery,drive unit, range-extending en-gine and power electronics – isnew or improved, said Farah.The Volt’s greater EV range andnew range-extender result in aquieter driving experience.“Volt remains the only electri-

cally driven vehicle with rangecapability similar to traditionalengine- or hybrid-driven cars ofits size,” said Farah.“In all climates, it can be driv-

en across town strictly on elec-tricity or across the country withthe assist of its range extender –

a claim that can be made of noother electric vehicle withoutcondition.”GM also showed off a concept

car – the Bolt – at the auto show.This vehicle, which Reuss saidwas well on its way to produc-tion, is a fully electric vehiclethat goes a long way towardfulfilling GM’s vision for anaffordable, long-range all-electricvehicle designed to offer morethan 200 miles of range startingaround $30,000.“The Bolt EV concept is a

game-changing electric vehicledesigned for attainability, not ex-clusivity,” said General MotorsCEO Mary Barra. “Chevrolet be-lieves electrification is a pillar offuture transportation and needsto be affordable for a wider seg-ment of customers.”Leveraging the electrification

prowess established by Volt and

Spark EV, the Bolt EV concept isdesigned to offer long-range per-formance in all 50 states andmany global markets, Barra said.Drivers will be able to select

operating modes designedaround preferred driving stylessuch as daily commuting andspirited weekend cruising, foruncompromising electric driving.The modes adjust acceleratorpedal mapping, vehicle rideheight and suspension tuning.The Bolt EV concept is also de-signed to support DC fast charg-ing.“We have made tremendous

strides in technologies that makeit easier and more affordable forChevrolet customers to integratean all-electric vehicle in theirdaily lives,” said Barra. “The BoltEV concept demonstrates Gener-al Motors’ commitment to elec-trification and the capabilities ofour advanced EV technology.”“We’re doing what our cus-

tomers are asking us to do,”Reuss said. “The Bolt has greaterrange for less money. I think itwill be a lot of fun for people whodrive it. And that’s important be-cause we’re a for-profit businessand we have to take a long-termview concerning mileage andCO2 standards for our fleet.”GM invited several Volt cus-

tomers to speak to the mediaabout the Volt ownership experi-ence.John Monsour of Clinton

Township, a husband and fatherof two children has owned a Voltsince June of 2014. Since then,he’s only had to fill up the car“exactly three times.”“People are always asking me

what kind of gas mileage I getwith my Volt,” Monsour said. “Itell them that, according to thecomputer, I’m getting about 165miles to the gallon.“They then ask me what I’m

spending on electricity to chargethe car. I am only spending about$30 a month to charge the vehi-cle. It even tells me what the besthours are to charge to save mon-ey. It’s between 1 and 4 a.m.“So, the charge automatically

charges, when plugged in, duringthose hours. It’s a really good carand I’m glad I bought it.”

CONTINUED FROM PAGE 1


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BEIJING (AP) – Growth in autosales in China, the biggest mar-ket by number of vehicles sold,slowed last year but reached19.7 million vehicles as domesticbrands lost more market shareto foreign competitors.Sales of passenger vehicles for

the full year rose 9.9 percent,down 5.8 percentage points from2013, an industry group, theChina Association of AutomobileManufacturers, reported Jan. 12.Global automakers are looking

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Chinese MarketSees Slowing ofAutomobile Sales

JANUARY 19, 2015 PAGE 7TECH CENTER NEWS - WARREN

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by DAVID RUNKAssociated Press

DETROIT (AP) – Another Chi-nese automaker is showing vehi-cles this year at the auto show inDetroit, raising the perennialquestion about when these com-panies might sell in the UnitedStates.The answer: Years from now,

according to carmakers and in-dustry observers alike.Chinese manufacturers have

announced plans over the pastdecade to export to the U.S. onlyto postpone them when facedwith passing U.S. safety andemissions tests and building adealer network. They also mustovercome big hurdles in convinc-ing U.S. car buyers that Chinesecars have the quality they de-mand. Still, Chinese companiesremain interested in eventuallyselling in the prestigious – andpotentially profitable – market.“The fact that they’re showing

in Detroit doesn’t really signifythat they’re coming soon,” saidMichael Robinet, managing direc-tor of IHS’s automotive group.“They’re showcasing that they’rein the game, looking to expandbeyond the home market.”Any Chinese-made cars sold in

the U.S. likely would come in atthe bottom segment of the mar-ket for different types of vehi-cles, Robinet said, where theywould compete in the alreadylively market for used cars. Buy-ers would need to decidewhether it’s better to buy a usedcar made by General Motors orToyota, for example, or a new carfrom a company that just arrivedon American shores.John Humphrey, senior vice

president of global automotiveoperations at J.D. Power and As-

sociates, said the quality of Chi-nese-built vehicles has im-proved, but they still generallylack the fit-and-finish that U.S.car buyers expect. And con-sumers’ experience with wavesof Chinese-made products thatthey encounter daily at storeswould color their expectationsabout new cars.“There’s a general perception

of goods coming out of China, be-ing fair or unfair, that they arerelatively sub-par,’’ Humphreysaid.The Chinese automakers basi-

cally compete on price, and inthe past several years have start-ed to upgrade their design,’’ saidYale Zhang, managing director ofAutomotive Foresight, a researchfirm in Shanghai.Quality has improved but “it’s

not there yet to enter maturemarkets like Western Europe andthe U.S.,’’ Zhang said. In the U.S.,challenges include setting up dis-tribution in an unfamiliar marketin which local laws prohibit di-rect sales to customers, Zhangsaid.Chinese companies are in their

first decade displaying vehiclesat the North American Interna-tional Auto Show. In 2006, a loneGeely Automobile sedan sittingoutside the main exhibit hallsmarked the first time a Chineseautomaker showed a car in De-troit. Last year, the Chinese com-panies skipped Detroit.This year, Guangzhou Automo-

bile is showing vehicles includ-ing a fuel-efficient small SUV thatwill be sold in China starting inApril and parts of the MiddleEast, Africa, South America andeastern Europe in late 2015.The company, GAC, said 2017

is a possible year it would like toenter the U.S. market.

Chinese Carmakers Want toEnter U.S., But Face Hurdles

JANUARY 19, 2015TECH CENTER NEWS - WARREN

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ble of 0-60 performance in 3.7seconds, de Nysschen said.Track-honed design, chassis

and suspension elements com-plement the superchargedpowertrain and elevate CTS-V’scapability, performance and driv-er control to new thresholds,while enabling track drivingwithout modifications or specialprocedures, de Nysschen said.According to a Cadillac press

release, key performance tech-nologies include:• Standard carbon fiber hood

and available carbon fiber vent,front splitter, rear spoiler andrear diffuser for greater aerody-namic performance.• Brembo high-performance

brake system developed to pro-vide durability, consistency andthe capability for track-dayperformance straight from thefactory.• Third-generation Magnetic

Ride Control delivering 40 per-cent faster damping response.• Integrated chassis controls

that provide balanced perform-ance for touring and the track, in-cluding competition-spec Per-formance Traction Management.• Structural stiffness in-

creased by 25 percent forimproved ride and superiorhandling.• Driver-selectable modes

that electronically calibrate per-formance variables for touring,sport and track driving condi-tions.• Michelin Pilot Super Sport

tires with tri-compound

technology offering excellentgrip with extended wear .• An interior with perform-

ance-oriented, sueded microfiberaccents and matte-finish carbonfiber trim and available RECAROhigh-performance seats for spir-ited driving.• Advanced safety and park-

ing technologies, including afront curb-view camera systemthat provides a visual cue ofcurbs to protect the front split-ter; automatic parking assist tofind and steer into parallel orperpendicular parking spots;side blind zone alert; forwardcollision alert; lane keep assist,and rear cross-traffic alert.Mark Reuss, GM vice president

for Global Development, said hegot to drive the CTS-V a fewtimes in the development stageand “it’s great to see it out in thereal world without any camou-flage.”“Driving any car at 200 mph is

incredible,” Reuss said. “It meansyou’re approaching the limits ofwhat a production car can do.Very few vehicles achieve thatkind of speed. And it’s hard todesign such a vehicle and stillhave it be comfortable to drivefor everyday use.”People, Reuss said, have been

asking him why GM designed theCTS-V with a V8 engine whenthey have a great V6 that couldgo in the CTS-V.“I tell them that we’re not leav-

ing anything on the table.Besides, Cadillac basically in-vented the V8. The goal of thiscar is not to compete with BMWand Mercedes – it’s to win.”

GM’s Reuss: CTS-V Goal is toNot Compete – ‘It’s to Win’CONTINUED FROM PAGE 1

by JEFF KAROUBAP Business Writer

DETROIT (AP) – Inside the au-to show here, automakers areshowing off electric and other ve-hicles designed to cut our de-pendence on fossil fuels. Out-side, car buyers are paying thelowest prices in years for car-bon-based fuels.That dichotomy has the indus-

try scrambling to sell alternativevehicles and buyers makingchoices that seemed impracticaljust a short time ago.Some of the cars that will tease

visitors to the North AmericanInternational Auto Show includea new all-electric Chevrolet Bolt,hybrid and plug-in versions ofthe Hyundai Sonata, and othervehicles aimed at easing pain atthe fuel pump.But cheap gas prices across

the country, driven by a surpris-ing plunge in oil prices, aretempting potential buyers awayfrom the small and economicaland toward comparatively moregas-guzzling trucks and SUVs.That’s leading automakers totake the long view, adjust pro-duction and hope big researchand development bets still payoff on better mileage to meetstricter government emissionsstandards. They also want to ap-peal to consumers, who oncewere anxious about high gasprices.The plummeting pump prices

– now pegged by AAA at $2.13per gallon on average as of Jan.12, compared with $3.31 a yearago – have had an “immediateimpact on consumer psyche,’’ ac-cording to Edmunds.com senioranalyst Jessica Caldwell. Accord-ing to the car-shopping site,SUVs and pickups outsold cars in2014 for the first time in adecade. It helps that SUVsare now built on car ratherthan truck platforms and havevastly improved fuel efficiency

compared with their forebears.“People want to buy these cars

and low gas prices give them thejustification they need to do so,’’Caldwell said.High gas prices and stricter

fuel-economy rules forced theindustry to improve existing gas-powered engines and to developnew vehicles that relied less – ornot at all – on carbon for power.Hybrids came to prominence atthe turn of the millennium withthe Toyota Prius. But last year,sales of Prius models dropped11.5 percent, compared with theprevious year.It’s tough to predict a turn-

around. The lower gas goes, thelonger it will take to make thepurchase pay off for a higher-priced, better-mileage Prius in-stead of, say, a Corolla.The Prius costs approximately

$4,300 more than a comparablegas-powered vehicle. Back inJuly, when gas was around $3.60a gallon, a Prius buyer could ex-pect it to take about 8 years torecoup the extra cost in the formof gasoline savings. At currentprices, the payback doesn’tcome for nearly 14 years.Still, not all small cars have

suffered. Caldwell says falling gasprices have given first-time buy-ers and others more comfort andconfidence to buy a new car.Sales of the redesigned Honda Fitsubcompact were up 40 percentin December, for example, whilesales of the Nissan Sentra smallcar rose about 43 percent.Alec Gutierrez, a senior market

analyst for Kelley Blue Book, saidtemporarily cheap gas isn’tenough to convince buyers tomake extreme moves, like trad-ing in a subcompact for a largeSUV. But low prices are prompt-ing buyers to kick the tires ofsomething a little larger. Peopleshopping for a small SUV like theToyota RAV4 are now also con-sidering the larger Toyota High-lander, for example.

Lower Gas Prices TemptingBuyers to Move Up to SUVs

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