Word: subcompacts
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...subcompact-size auto, which would be patterned after the popular Toyota Corolla, is to be assembled at a now closed GM plant in Fremont, Calif. About half the parts, including the all-important engine and drive train, would be made by Toyota in Japan. A second factory would be built next door to produce metal body parts. Production of the car, which would probably be marketed by Chevrolet dealers, is scheduled to begin in late...
...which are actually artfully stretched versions of the Plymouth Reliant and Dodge Aries K-cars that were first introduced in 1980. By and large, the automakers will barrage the public with advertising messages that emphasize value more than innovation. Ford has already cut the sticker price on its subcompact models...
Detroit suffers especially from its difficulty in turning a profit on fuel-efficient small cars, the market sector in which foreign competitors are strongest. In the last two years, Ford has sold 600,000 subcompact Escorts, partly by holding prices so low that sales have barely covered costs. To stay competitive, General Motors is trying to reach an agreement with Toyota Motor Co. of Japan, in which the companies will jointly build small cars at an assembly plant in Fremont, Calif., that GM closed down early this year...
...financial moves and wage concessions should enable AMC to stay on track with plans to introduce this fall a make-or-break American version of the highly successful Renault 9. That subcompact made its debut last year in Europe under the direction of Dedeurwaerder...
...Ford suffered a setback last week when talks broke off with Toyota over plans for the two companies to build cars jointly in the U.S. Such a venture would have helped Ford fill out its sparse line of small cars. Even GM is now running into problems with the subcompact J-cars that it introduced in May. Production has been slower than expected, and consumers have been very reluctant to buy the new small cars at prices that...