Isuzu Won’t Play Role in GM’s Next-Gen U.S. Pickups
Even with tougher fuel-economy rules coming into play, officials apparently don’t believe future U.S. demand could be served with a pickup designed primarily for emerging markets.
JOLIET, IL – General Motors says its plans to collaborate with Isuzu on a next-generation midsize pickup for Asia will have no effect on next-generation Chevrolet Colorado/GMC Canyon models for the U.S.
“That truck will be different than ours,” confirms Stu Pierce, marketing manager-GMC Sierra, on hand here to represent his truck, as well as the Canyon and fullsize GMC Yukon SUV at the Midwest Automotive Media Assn. ’15-model rally. “It's not going to be a replacement for our truck down the road.”
GM announced late last month it would link up with Isuzu on a small pickup for markets around the world. Although North America was excluded as a potential market at the time of the announcement, that would appear to run counter to efforts to streamline engineering and platform proliferation, suggesting even with tougher fuel-economy rules coming into play, GM doesn’t believes future U.S. demand could be served with a pickup designed primarily for emerging markets.
The new GM-Isuzu models could debut in countries such as Thailand and Indonesia as early as next year, Japan’s Nikkei business daily reports.
GM hasn't had a midsize pickup offering in the U.S. since 2012, but believes that market segment is alive and well and that it can get its share of buyers with the new Colorado/Canyon.
“The midsize truck segment is still here. And half of the midsize truck owners haven't bought a vehicle since we last offered one,” Pierce says, noting Ford and Dodge both have dropped out of the sector.
“What is going to set us apart from the others is that we are going to offer a refined model,” he adds.
Owners GMC’s previous midsize pickup, the Sonoma, “are loyal and have been waiting for a new truck. Some truck owners went fullsize when they couldn't get midsize and have found the big truck is more than they need. They will be back (to Canyon).”
There are three other reasons buyers will return to GM for a midsize pickup, he says.
“With a 4-cyl. engine, the trucks will be rated at 27 mpg (8.7 L/100 km). highway, with a V-6 it will be 26 mpg (9.0 L/100 km) highway,” Pierce says. “The trucks will be able to tow 7,000 lbs. (3,175 kg), which a few years ago is what fullsize trucks could do; and the midsize trucks will start about $10,000 lower than fullsize.
“We see fullsize as the choice in the suburbs, midsize the choice for those living in the city.”
Hugh Milne, Chevrolet Silverado marketing manager, says the midsize-pickup segment accounts for about 250,000 sales annually.
“If I were to guess, midsize trucks could grow by 75,000 to 100,000 units annually,” he says. “Our sales will grow, some coming from people trading in vehicles outside the segment, like crossovers.”
Already considered a draw for buyers, fuel economy will get a further boost from the 2.8L 4-cyl. turbodiesel planned for launch in 2016. It’s too early for an EPA rating, but it seems logical GM would be aiming for 30 mpg (7.8 L/100 km) highway, though the automaker says the diesel isn’t just targeting better fuel economy but an increase in overall range between fill-ups.
Pierce says studies show only 72% of current midsize pickup owners are satisfied with their vehicles, the second-lowest behind only satisfied small-car buyers (70%). In contrast, about 83% of fullsize pickup, SUV and car owners are satisfied with their purchases.
“This is why we think our trucks will do well and we'll have plenty of conquest sales,” Milne says, “because current midsize truck owners don't like their current mileage or features or rear-seat room. Toyota now has 80% of the midsize market. We know we'll take sales from them.”
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