Detroit has run out of road. The car's future lies in Europe (Hurl-o-matic)

The London Guardian ^ | December 7, 2008 | Will Hutton

[2ndDivisionVet]

The car was the symbol of the prewar 20th century. Henry Ford's Model T, Volkswagen's people's car and even Britain's Morris Oxford were more than just industrial products. Suddenly, industrialisation was able to offer the mass of consumers cheap, convenient and individual mobility. The car changed industrial civilisations and their cultures.

Detroit was the undisputed centre of the industry. It manufactured more cars than anywhere else - four out of five across the globe as late as the mid 1950s. Its cars shaped American society. Americans yearned to climb into its Buicks, Cadillacs and Mustangs. The cars denoted your identity and your ambitions. The mobility spawned America's vast, sprawling suburbs. 'What is good for General Motors is good for America,' said its then chairman and chief executive Charlie Wilson. He captured an important truth.

Now, America's big three car companies - General Motors, Ford and Chrysler - are fighting for their lives. Last week, they presented last-ditch restructuring plans to Congress, promising a massive increase in fuel-efficient cars and a cessation of corporate excess as the quid pro quo for more than $30bn of soft loans and stand-by credits. Without them, General Motors and Chrysler will be forced into administration; Ford, in a stronger position, could be brought down too.

The US, already reeling from the loss of half-a-million jobs last month, would face the loss of millions more and the collapse of a key part of its manufacturing base. This is more than an appeal for a bail-out: it is American capitalism and society at a crossroads.

Many different crises coincide here. There is a crisis of lack of demand created by the credit crunch, with November sales down 40 per cent. There is a crisis of production.

[2ndDivisionVet]

I knew he'd find a way to blame President Bush for Detroit's problems.

[sionnsar]

Allow me to be the first to say it: Obama’s Fault!

[max americana]

>> it is American capitalism and society at a crossroads.

Well, it’s the anti-American Guardian’ with it’s stupidity working again.

[LiberConservative]

My great-grandfather walked away from candles when he realized he would be better off with light bulbs.

[Secret Agent Man]

Baloney.

[Azzurri]

Now, America's big three car companies - General Motors, Ford and Chrysler - are fighting for their lives.

Does this guy know that the Car of the Year in Europe is from GM? The runner-up? A Ford. GM & Ford do extremely well overseas because they are not burdened by the retirees' health care and pensions as they are in the USA. I'd love to see them get the same level playing field in the USA, which can only happen thru the demise of the UAW.

[Cowboy Bob]

The car was the symbol of the prewar 20th century.

I always thought it was a symbol of post-war 20th century. (primarily the '50s and '60s)

[kempo]

I have a feeling that when Detroit starts making nothing but small fuel efficient cars my Z-71 four wheel drive pick-up will go up in value when gas drops down to $1.25 a gallon.

[joesbucks]

Does this guy know that the Car of the Year in Europe is from GM? The runner-up? A Ford. GM & Ford do extremely well overseas because they are not burdened by the retirees' health care and pensions as they are in the USA. I'd love to see them get the same level playing field in the USA, which can only happen thru the demise of the UAW.

I'm not sure about retirement, but one reason health care isn't an issue is........the governments in Europe provide it.

[Azzurri]

It was telling that as Detroit's CEOs were suffering humiliation in Washington, Germany's BMW was unveiling a battery-powered Mini E two years before GM's Volt hits the streets - and with treble the range. If anything, the German love affair with the car trumps America's and its car companies try to resist regulation no less aggressively. But European political systems are less open to being completely bent by corporate lobbying and regulation is seen as more legitimate.

Boy, the guy who wrote this article is completely clueless. Looks like he thought up a topic called "American-bashing" and then just threw in the auto industry as a means to make his point (which fell flat). For his information:

BMW eyes German rescue scheme
By Daniel Schäfer in Berlin

Published: November 4 2008

BMW became the first European carmaker publicly to consider tapping Germany’s government- backed banking rescue scheme on Tuesday and said it might also seek US assistance.

[CE2949BB]

How about American motorcycles (besides HD) and scooters?

Japanese and European companies actually produce 'em.

I can't think of a single motorcycle (besides HD) or scooter that's made by an American company.

I can get a new Ninja 250 for (apx) $2,750 - $3,500. Where's the American competition?

[Gone_Postal]

http://www.polarisindustries.com/en-us/victory/Pages/Home.aspx
http://www.americanironhorse.com/
http://www.americansworking.com/motorcyclesl.html

[truthguy]

I think most of the commentators here have caught on to what this article is all about. Just like we have a sick chattering class here in the US, they have the same in the UK. The UK types are even worse than those in the US. This article is typical of the type of garbage that comes out of the UK press.

The UK is an emasculated country. They have lost their empire. They have lost their industrial capacity. They are losing their once great Navy. They have lost their traditions and now they are losing their country to Islam. Oh did I mention they have lost their religion. Islam is stepping in the fill the vacuum.

Heck they don't even produce good rock and roll any longer. They had a run of great bands from the mid-sixities to the mid-eighties.

About the only thing left for them to do is bash the US. Misery loves company as they say. Well the problems we have in US are minor to what's going on in UK. The British Tabloids (now Internet) are all sex scandal sheets. There press makes ours look good. The worst is the BBC but Guardian ,The Sun,and a number of others are nearly as bad.

[familyop]

"...they presented last-ditch restructuring plans to Congress, promising a massive increase in fuel-efficient cars and a cessation of corporate excess as the quid pro quo for more than $30bn of soft loans and stand-by credits."

The merchants told me that all American manufacturing is only "buggy whip" production anyway. If they fall, the NEA and rest of the unions preferred and preserved by the corporates will fall, too. So will many anti-family government offices for lack of revenues. So will the anti-American merchants.

Let 'em fall! We'll see who survives best--libertine "fiscal conservatives" or moral conservatives.

[muleskinner]

"I have a feeling that when Detroit starts making nothing but small fuel efficient cars my Z-71 four wheel drive pick-up will go up in value when gas drops down to $1.25 a gallon."

That feeling you have is the result of your downing a pint of Jack Daniels.

[Captain Rhino]

My understanding is that the Japanese and South Korean governments are also offering their form of “bail-out” plans to their domestic automakers.

When you cannot get a loan, it doesn’t matter whose car you want to buy.

As for the article, typical Guardian leftist swill.

One other thing. A former GM aautomotive engineer who works at my office says the hybrid technology in the Toyota Prius is really a GM-developed design. GM choose not to manufacture it because the design didn’t fit their business model (too many expensive things would break before the end of the warranty period). So they sold it to the Japanese and make a royalty on each Prius produced.

[2ndDivisionVet]

American Iron Horse
http://www.americanironhorse.com/

ATK Motorcycles
http://www.atkusa.com/Products.aspx

Big Dog Motorcycles
http://www.bigdogmotorcycles.com/index.php

Bourgets Custom Motorcycles
http://www.bourgets.com/2009.htm

Buell Motorcycles
http://www.buell.com/en_us/

Confederate Motorcycle Company
http://www.confederate.com/confederate3/index.php

Electric Moto
http://www.electricmoto.com/index.php/products/index

Exile Cycles
http://www.exilecycles.com/

Norton Motorcycles
http://www.nortonmotorcycles.com/bike/default.asp

Victory Motorcycles
http://www.polarisindustries.com/en-us/Victory/Pages/Home.aspx

[Napoleon Solo]

Sorry to say it but you better sell it fast since gas at $1.25/gal will not last too long. Eventually there will be too much competition for the all needed gasoline. It may not go up to the mid 4’s but it will not stay long at the low 1’s either.

[CE2949BB]

Choppers, cruisers, ATVs, dirtbikes, and even a trike.

Buell - which I thought was Italian - is the only company on that list that makes sportbikes.

Cheapest one is $10k.

I appreciate the effort, but I stand by my earlier question. :)

[ColdWater]

I can't think of a single motorcycle (besides HD) or scooter that's made by an American company.

Harley only survives because the government gave them protection and preferences when they were about to go under. That and all the bikers that can't get the Japanese bikes to backfire when they detune them.