As suspected, the KTM X-Bow is just the beginning of the bike-cum-automaker's assault on the four-wheeled world. According to CAR, KTM is in the process of creating a "slew" budget oriented vehicles, including a city car and "the world's first frugal and eco-friendly off-roader."
The SUV, codenamed the New Haflinger, will split the difference between KTM's world-renowned bikes and a traditional utility vehicle, with a small footprint, an open- or closed-top body and the ability to handle the rigors of the Paris-Dakar rally (which it plans to compete in with four wheels) while still holding its own on the road.
Three separate city vehicles are also part of the product onslaught, which is being co-developed with Bajaj Auto, India's third largest automaker. One will be a four-seat, four-wheel runabout, while a scooter and three-wheeled modern take on the tuk-tuk is under development. KTM's aim is to produce a wide variety of bodystyles and drivetrains, and its plans to include gasoline- and diesel-powered models, along with an EV in the future.
It's no secret that GM is looking to sell or kill its once valuable HUMMER brand, but the big question now is whether the General will do the same with other brands. Unfortunately for GM, there isn't much to be gained from either killing or selling most brands. Saturn, GMC, and Pontiac are all US-only brands that don't exist without Chevrolet, and the bow-tie is GM, so it's safe as can be. Buick is a Chinese gold mine, so it's off the market. Selling Saab, Vauxhall or Opel likely wouldn't result in the kind of cash the General is going to need going forward, but at the expense of losing its European market share. Killing any brand, as GM already knows from its experience with Oldsmobile, would result in lawsuits from dealers and a dip in sales, which the General can hardly afford.
What is likely to happen is that GM will take the same road Chrysler is already traveling by cutting overlapping models. Do we need a G5 and a Cobalt? Not likely. How about four Lambda crossovers? Two or three would likely be sufficient. How many different flavors of GMT 900-based SUVs is needed? There are currently several different flavors of Tahoe, Silverado, and Yukon, and some are superfluous, not mention stagnating on dealer lots. In the place of those vehicles will go more efficient models ranging from the sub-sub compact Chevy Beat (supposedly) to more Cobalt-sized products. The trick will be keeping the ship afloat until those models, along with the Chevy Volt, become reality. GM is likely to unveil more details during its next board meeting in early August.
As the self-appointed family car reviewer for Autoblog, I have some opinions on the topic. If money were no object, my nomination for the ultimate family car would be split between the Mercedes-Benz R-Class and the BMW 5 Series wagon. But the R-Class entry price is $42k, and the Bimmer's is close to $50k -- not exactly family-friendly.
Forbes Magazine, however, is a bit more realistic in its quest for the perfect family car, and considers price a deciding factor, like the majority of families. I agree with its Compact Car pick. The 2009 Volkswagen Rabbit is a good deal for your $16k entry price (though Forbes says $19k). On paper, its 15 cu. ft. of cargo space doesn't sound like much, but in reality, it's bigger than it sounds. The Rabbit also averages about 25 mpg, and these days, that's a big deal.
Still, there are some Forbes picks I just don't agree with. For example, the mag selects the Saab 9-3 Sport Combi as best wagon. Really? I admit I've never driven one, but I'm just wondering where the new Jetta Sportwagen placed. (I just stepped out of reviewing one for a week.) Forbes cites the Saab's maximum 72.3 cu. ft of cargo space as a big factor. But it only bests the VeeDub's by 5.4 cu. ft. And while the VW gives up 110 horses to the Saab's 280, but the VW gets, on average, 24 mpg to the Saab's 18. Oh, and the Saab requires premium fuel. I guess the question is this: Do you want to drag race your wagon or save money? My family will take the cash, please.
click above image for a high-res gallery of the Chevy Tahoe 2-mode Hybrid
We've been waiting for General Motors to step up to the plate with its own incentives now that Ford has offered employee pricing on its F-Series trucks and Dodge has offered $2.99 fuel to go along with its various incentives for the Ram. It seems that GM has finally anted up and increased the incentives for the Silverado, Avalanche and Sierra trucks, along with the Tahoe, Yukon, Escalade and Suburban. The pickups all get $2,000 in customer cash to go along with an extra $3,000 if you already own a GM product for a total of $5,000 total off the sticker price. Those shopping for an SUV will even get an extra grand. In what may be an even larger sign of the times, for the first time ever GM's hybrid Tahoe and Yukon get $4,000 off, but only if you already own a product from the General.
If you want to get in on the savings and don't mind guzzling some gas, you have until June 7 to make it to your nearest Chevrolet or GMC dealer. No rush, we doubt there'll be a line.
On one end, General Motors is announcing its intention to wind down SUV and truck production, while at the other, Ford is just gearing up production of a vehicle that's plenty large in its own right. Ford Flexes are now beginning to roll off the line in Oakville, Ontario, and the plant even has plans to bring on new hires in order to meet production demands. Considering the current rise of gas prices, one might think Ford's boxy people carrier will quickly meet its demise. However, despite its full size stature, room for seven humans and a few cold drinks, the Flex doesn't attack your gas budget like Cookie Monster on a binge. Its 3.5L V6 engine gets a respectable 24 mph on the highway, assisted by a high-tech six-speed automatic transmission. Down the road, when the Flex is available with a turbocharged direct injection Ecoboost option, its fuel economy should raise a bit more.
Click either image for a high-res gallery of the Subaru Exiga.
We received word from a little birdie last week that Subaru was gearing up to release its brand-new Exiga into journalist's hands in Japan. Coincidentally (or not), a teaser shot of Subaru's new pseudo-CUV popped up on the NASIOC forum over the weekend and it's clear from the darkened profile that many of the elements from the show car have migrated over to the production model.
The Exiga, which appeared at last year's Tokyo Motor Show as a lightly veiled concept, will likely form the basis for the new Outback, slotting in between the Legacy and the Tribeca CUV. However, it's doubtful that when the Exiga (or Outback) makes the trek across the Pacific it will be sporting seven full seats. Its closest competitor here in the States is the forthcoming Toyota Venza, which aims to define a new segment between wagon and crossover, but in reality, both vehicles own their inspiration to the AMC Eagle, the original wagon on stilts.
When the current GMT900 SUVs hit the market in 2006, gas prices were already near $3.00 per gallon, but the super-sized transports sold in prodigious numbers anyway. The reasoning from the General and its customers was that there were still people with big boats or trailers to tow, and unibody CUVs just aren't up to the task. In the two years that followed, gas prices have gone from pesky to pandemic, and buyers are leaving their body-on-frame SUVs by the thousands.
The General isn't blind to the trend, and a report from Bloomberg says that GM may be ready to take the drastic step of separating the platforms of its trucks and full-size SUVs by 2012. The move is extreme because SUVs and trucks have saved development time and money by sharing a platform for many decades, but with such a dramatic shift away from the handy but fuel-thirsty rigs, GM has little choice but to think of alternatives. A unibody Tahoe or Escalade wouldn't be able to tow quite like its predecessor, but they would be lighter and have better fuel economy.
Our first thought was that GM already has eight-passenger unibody CUVs like the Enclave, Acadia, Outlook and upcoming Traverse, but without more utilitarian SUVs like the Tahoe, there should be room for a more purpose-built CUV in the lineup. While this news isn't exactly earth-shattering, we're thinking it very accurately illustrates just how fast these times they are-a-changing, and how far automakers will go to stay viable. Thanks for the tip, Fro!
General Motors has informed its dealers that production of some of its 2008 full-size trucks and SUVs has been halted due to the ongoing American Axle strike. The affected vehicles include the GMC Yukon, Denali, Sierra heavy-duty regular and extended cab, its commercial-duty pickup and variants of Chevrolet trucks and Tahoes. According to the General, a basic lack of parts is the reason for the stoppage and dealer orders for the week of May 8th and May 15th have been cancelled. While a lack of production is bad news for any automaker, we can't help but think that it couldn't have come at a better time for the General as SUV and truck sales are down overall.
Thinking of trading your gas-guzzling SUV in for something smaller, a bit more fuel efficient? You are not alone. The rocketing cost of gasoline, and diesel fuel, is having a ripple effect on the SUV market. With consumers trading in their behemoths by the thousands in exchange for more frugal transportation, dealers are stuck with a surplus of unwanted sport-utes sitting on their lots with values dissolving.
Diesel-burning trucks aren't immune either. As diesel fuel costs hovering about fifty cents per-gallon above gasoline, some of the bigger oil-burning SUVs and trucks are losing measurable resale by the day. Overall, according to CNW Marketing Research, used SUV sales were down 14% in March alone. With any surplus, come big discounts. It may be a ghastly time to fill a 30-gallon tank on an SUV, but it is the perfect time to negotiate with a dealer for that seven-passenger family truckster you've been fancying. No need to hurry -- there will be an even better selection tomorrow.
Word just came in from General Motors that the automaker will be reducing shifts at four different plants that produce its full-size trucks and SUVs in an effort to bring production "in line with market demand". The output slowdown will begin on July 14th at GM's Flint, Janesville and Pontiac assembly plants, which produce the Chevy Heavy-Duty Silverado, Tahoe, Suburban, Silverado and GMC Yukon, Yukon XL and Sierra. The Oshawa truck plant will also be affected starting Sept. 8th. All told, the shift reductions will nix 80,000 full-size pickups and 50,000 full-size SUVs from GM's North American production capacity.
According to GM, both vehicles have lost ground in the market across the industry, with sales of full-size pickups dropping 15-percent and SUVs down 26-percent for the first quarter of 2008. This isn't surprising considering the cost of fuel right now and the subsequent reduced demand for larger vehicles. GM didn't provide specifics about how this would affect workers, only saying that it will "result in lower staffing requirements at all four plants," and that the details "would be worked out over the next several weeks with the UAW and CAW."
Naturally, GM felt the need to brighten up the lackluster announcement by highlighting that car and CUV sales are up. However, it hasn't made a decision to boost output of either type of vehicle in lieu of said increased demand. Check out GM's full press release after the jump.
As suspected, the KTM X-Bow is just the beginning of the bike-cum-automaker's assault on the four-wheeled world. According to CAR, KTM is in the process of creating a "slew" budget oriented vehicles, including a city car and "the world's first frugal and eco-friendly off-roader."
It's no secret that GM is looking to sell or kill its once valuable 
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In the Autoblog Garage: 2009 Lincoln MKS
Track Test: 2008 Roush 427R Trak Pak Mustang
In the Autoblog Garage: 2008 Porsche Cayman S
First Drive: 2009 Chevrolet Traverse
In the Autoblog Garage: 2008 Mazda MX-5 Miata Retractable Hard Top
