#1 in US sales, hybrid Camry to be introduced this week
US automakers at the Detroit Auto Show this week used pageantry and bold styling to try to make American brands popular again, as Asian rivals continue to gain market share.
At the North American International Auto Show, Big Three carmakers Ford, General Motors and DaimlerChrysler introduced a number of concept and production vehicles that heralded a return to the muscle car, while also making strong moves into the popular crossover [SUV] vehicle segment.
The auto show, one of the most important of the year, opened for press previews just days after annual sales figures showed that Asian automakers now command 36.5 percent of the massive US market.
One reason for their recent success has been a sharp drop in demand for gas-guzzling sports utility vehicles, a mainstay of now-struggling Detroit-based automakers Ford Motor Company and General Motors.
Notice any contradictions?
I’ve said it before. The US automotive industry is reactionary. They are still reacting to the outdated demand for bigger and more power. It’ll be a few years before they react to the demand for smaller and fuel efficiency. But by then, it’ll probably be too late.
My conspiracy theory is that GM and Ford WANT to fail in the US. They simply cannot survive with both the high wages AND the outrageous insurance costs. They’ll move to Europe and Asia where there is socialized medicine or no expectation of insurance.
My next theory is that the Right will actually start demanding socialized medicine for the US. They won’t call it socialized medicine. And as many well-to-do people in the US love their insurance, i.e., the ability to see doctors of their choice immediately, it’ll be a hybrid system. The rich will keep their insurance and the poor will get government subsidized crap.
Maybe one can call them reactionary, but by now I’d expect reaction or their reflexes are dead… I’d say that the problem is common delusion in the management and car review/ad industry. Unfortunately these are capable people and they have had success inducing the same delusion in many customers. Many of these people are “car enthusiasts” for whom more power (and size) means everything. Also, they are industry in trouble, so they are trying to do everything on the cheap. Result is their killing of innovation and building/advertisizing cars suited for “car enthusiasts”, cheaply. What suffers: no new technology, poor quality. Majority of the customers are not “car enthusiasts” though, but sane people who want quality and reliability first, economy second, power – enough for the purpose.
Good example: last summer I was elated to hear that Jeep have decided to offer their Diesel version of Liberty in US. Before it was available only in Europe. Its advantage: citing Euro’ car reviews it did 35 mpg with the real capabilities (but not 0-60…) equal or better to US gasoline model which does 17 mpg. But, then I stumbled on the small print… Such engine would place this Jeep dead last in the category of “How much horsepower?”. So, for US, Jeep “needed” to increase power or be laughed at by almighty Car Reviewers. They did. How? They simply increased volume of the engine…. What an innovation! This dropped mpg down to the pathetic 24 mpg. And they lost me as potential customer. Counterexamples: I own Subaru now. What did Subaru do to increase power in their new engine last year? High tech engine control. They got more power , but better MPG number as well. Similarly on European side, I see daily BMW ads with similar claims as Subaru: new, better engine, new technology, more power and better MPG… And these are not even hybrids…
Hence I think US auto industry problems are not intentional “conspiracy”. Those people are simply out of touch with the reality.
These American Auto companies is all about sizes with no function.
Asian auto companies are all about functionality and maneuverability.
Paraphasing Emerson on “the importance of having something that is functional and beautiful is essential.” American cars are neither in most cases.