It’s all about survival
There's always a theme to the Detroit Show, which opened its doors today to thousands of journalists from around the world at the weekend. One year it might be high performance. Another year it could be fuel efficiency. This year it's survival. Just a month ago, it was unclear whether the troubled Detroit three automakers would even make it to this year's show without filing for bankruptcy.
Thanks to $17.4 billion in emergency federal loans for GM and Chrysler approved in late December, they are displaying a glittering array of vehicles at the show. But it won't be business as usual. Several foreign automakers, most notably Nissan have pulled out of this year's show to save money as the global automotive industry has weakened. "It's kind of a hold-your-breath show to see what's going to happen in the industry," said Aaron Bragman, an auto industry analyst at IHS Global Insight in Troy.
Automakers' displays will be more subdued this year. Many receptions have been cancelled. And the free flow of food and booze during the media receptions will slow to a trickle. "The cars will be the stars of the show this year, without all the glitz and glamour," said Joe Serra, a Grand Blanc auto dealer who is co-chairman of this year's show. "That's the way it should be. The times demand it."
Despite their financial woes, however, domestic automakers say they're working to attract consumers with appealing, more fuel-efficient products than the big SUVs they touted a few years ago. GM and Ford have introduced several new car models at the show. Ford is expected to unveil a redesigned Taurus, which was the best-selling car in America in the early 1990s.
GM is planning six new-model introductions, including the Cadillac SRX. Among non US carmakers, Toyota unveiled a redesigned Toyota Prius hybrid. Honda showed off its new Insight hybrid, the first head-to-head competitor of the Prius. The departure of several Asian and European automakers will for the first time free up space on the show's main flow for two Chinese automakers, Brilliance and BYD.
While this year's show will be more subdued than in the past, it could be more important than ever for Detroit's automakers in a year when sales are expected to the worst since the early 1990s
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