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Chrysler shutdown

Nickodell

Donation Time
Just read that Chrysler is shutting all its plants for at least a month. That may make the unions sit up and take notice. Is this the start of the end?
 

66Tiger

Donation Time
The end started years ago. Ford is idling also, Nissan is cutting production...I imagine others are doing the same.

You like to bash unions, but there is tons of blame everywhere.

The person who needs to take notice is GWB...good luck with that.

Paul
 

Jim E

Donation Time
Did not hear about Chrysler but it makes sense, why build cars when you cannot sell the ones already built.

The end for me was over a year ago when my company got bought and I did not take the low ball offer to move to Atlanta. For the last year I have thought that I made a huge mistake not taking the job. Then just a week or so ago got a call from a buddy who was still working for the new combined company.... they just laid off 170, one of the now lost jobs is the one they had offered me in Atlanta...I feel somewhat better.

This whole thing just keeps getting uglier and uglier.
 

66Tiger

Donation Time
I have read anywhere from 3 to 6 million foreign and domestic cars are just hanging around. A friend at a dealer here in the Detroit area said he hasn't sold a car in 4 months...his dealership sold 4 total in November.

I feel for you Jim. Normally I would be demanding a review at my company this time of year...now I am hiding under my desk. My boss okayed a project for me starting in January so I know I have some future.

I am not involved at all with the auto industry but live in the Detroit area, and I wouldn't be surprised if my company puts me on part time or just plain old freelance.

We deal with tons of small businesses and they are going bankrupt left and right...I have never seen it this bad in this area...I can't see it recovering.

Paul
 

Bill Blue

Platinum Level Sponsor
Add to the shut down list:

Toyota, increasing the length of the Holiday shutdown at most if not all plants. Also stopping construction on the Mississippi plant that was going to produce the Prius in 2010.:confused:

Honda also increasing the length of shutdown and decreasing the output of Civics at the Greensburg plant 30% at the time they were supposed to be ramping up plant output.

I would love to hear the Washington bozo's blame all this on Detroit's lack of planning. Let's face it, without the slowdown, Detroit would not be asking for a dime. For the most part, they have been struggling to become profitable and just when they had turned the last corner, they got hit by a Mack truck.

Bill
 

MikeH

Diamond Level Sponsor
Just read that Chrysler is shutting all its plants for at least a month. That may make the unions sit up and take notice. Is this the start of the end?

Doesn't hurt the union. The employees, by contract still get pay (80% I think) and benefits during the shutdown.
 

MikeH

Diamond Level Sponsor
I have read anywhere from 3 to 6 million foreign and domestic cars are just hanging around.
Paul

Saw in the local paper last week where west coast importers' lots at the terminals are full and they are using empty construction sites to store the cars. This was Euopean as well as Asian.
 

Alpine 1789

SAOCA President
Diamond Level Sponsor
Add to the shut down list:

Toyota, increasing the length of the Holiday shutdown at most if not all plants. Also stopping construction on the Mississippi plant that was going to produce the Prius in 2010.:confused:

The other thing about this plant that absolutely amazes me is the fact that it was originally intended to be a Highlander factory. Then gas prices spiked and Highlanders stopped selling. So they reconfigured it as a Prius factory. It is now 90% finished and being mothballed. So much for Toyota's legendary long term planning ability.
 

Nickodell

Donation Time
Doesn't hurt the union. The employees, by contract still get pay (80% I think) and benefits during the shutdown.

I'm aware of that. I meant that maybe the unions will realise, at long last, that the car companies are not crying wolf, or playing chicken.
 

66Tiger

Donation Time
During down times UAW workers collect unemployment from the government and "sub" pay from the company, that's where you get the percent from.

Car companies don't foot all the bill.

Paul
 

V6 JOSE

Donation Time
Hi Bill,

I don't think they had turned the corner, because we have been hearing about GM's possible demist for more than five years now. They were in bad shape to begin with, just that the new circumstances just pushed them over the edge. Toyota and other foreign mfgrs. may be tight right now, but they are no where near to collapse, like Chrysler and GM are. Our companies just went on making BIG vehicles because they generated more money, but the people were wanting smaller, more fuel efficient cars. They thought they knew it all. SURPRIZE!!

Our companies also weren't producing the kind of quality that the imports have, which caused many people to start buying foreign. I can't understand why, when we have the best and brightest engineers in this country, we put out inferior quality.

Jose :)
 

Bill Blue

Platinum Level Sponsor
Yes, structurally, GM was not quite where they needed to be but very close. They would have been okay if the bottom had not fallen out. Chrysler has been problematic for some time and may have to go, thanks to the genius's at MB. But for the rest, you've been out of the country for a while and been listening too much to the tube.

Quality has increased dramatically. Our Focus wagon has about 140K on it now.
Problems have been a slight buzz in the dash, starting at 125K and the electric release on the hatch quit working at about 100K. That's it as far as repairs. Well, they have not been repaired. Had the first brake job at 125K as well as a new timing belt and serpentine. Our oldest son commented last week that for all intents and purposes, it was like a new car. A dirty new car. Mileage varies from 30-36 mpg. His Mazda hatchback has 75K on it, is having real problems and has never gotten over 26 mpg.

Americans have not been wanting smaller fuel efficient cars. Big gas guzzlers were the best sellers until gas prices spiked, then it was Detroit's fault they were not producing 50 mpg mini cars. One of the talking idiots on the tube recently said that as part of the bailout, we should require Detroit to make small fuel efficient cars. He failed to mention how we could require people to buy them.

Our middle son purchased a Honda Civic Hybrid. Got fantastic mileage, but the maintenance was killer. He felt compelled to take it to the dealer in order to keep the warranty intact, they were nicking him $150-$175 every 5000 miles. He wrecked it, decided he needed cheaper wheels (college student). Bought an Escort ZX2 with 100K on it. The repairs have been less than he was paying for Honda maintenance. But the Honda retained it value. He had a 5 year loan, wrecked it in the second year and pocketed about $3,000 of the insurance buyout. But mileage is down. The Ford gets about 36 mpg, vs. 45 for the Honda.

Bill
 

Jim E

Donation Time
Bill I have owned a couple Focus and agrre with you they are good cars. The SVT was a blast and the wagon was just a good car nice to drive and no real issues, well the alternator went out and was interesting to change.

Does the EPA still require car makers to have a certain average MPG for thier fleet? Pretty sure it was a requirment at one time. Would think they would all have a high MPG car just to keep that number up. Would also think no matter gas prices there are folks who want a cheap high MPG car and yet the US makers do not seem to care. Also I have always wondered why you can no longer get a base car, I mean really base, rubber floor mats no radio, wind up windows, no nothing, no AC.
 

MikeH

Diamond Level Sponsor
Jim,

I believe the numbers you are referring to is the CAFE number.
http://en.wikipedia.org/wiki/Corporate_Average_Fuel_Economy
One of the ways the auto companies increased there numbers was by going to 5W20 oil in there vehicles. I was told by the local dealer that they got an advisory to run 5W20 in vehicle that originally called for 5w30 in the owners manual, in my case a 1998 F150. And most cars come with AC because you get better milage with the windows up.
 

puff4

Platinum Level Sponsor
... And most cars come with AC because you get better milage with the windows up.

I always wondered about that one, too... until saved by Mythbusters:

Myth statement:
Running a car with air conditioning on is more fuel efficient than running with the windows down.

Status:

Partly Re-Busted/Partly Confirmed

Data:
The fundamental flaw in the MythBusters' original test was that the point where the drag becomes powerful enough to inhibit a car's performance with windows down was inside their 45–55mph margin at 50mph. Going less than 50mph it is more efficient to leave your windows down, but going greater than 50mph it is more efficient to use your A/C.
 

V6 JOSE

Donation Time
Hi Bill,

I go home every year, and I don't get my information from the tube, unlike a lot of folks I know. I believe that the focus is built over seas, not in the states, so your premise would be flawed. Ford is in better shape financially, because it's foreign markets are going strong. I know that we Americans love big vehicles, but anyone could see that the trend was going small. The American companies have just thought that it would go on forever. Guess what; nothing is forever and you need to keep your eyes open. Don't get me wrong; I buy American whenever I can. I have only bought three new foreign cars, and that is because they were made by Ford. I bought new 1972/73/74 Capris. That is where I found the wonderful 2.8 V6 for my Alpine; much to the chagrin of some folks.

Hi Jim,

The reason your friend's Honda kept it's value so well, is because it has a very good reputation for reliability. Toyotas also have a good resale value, for the same reasons. When will we get back to doing what we used to, putting quality first?


Jose
 

Bill Blue

Platinum Level Sponsor
Jose, the jamb sticker says our wagon was made in the USA, but not where. What does piss me off is that Ford dropped the wagon a couple of years ago and if we buy a new car, I'd like to get another Focus wagon.

When we bought ours, the dealers complained they could not get enough of them, one dealer said they remained on the lot as little as two hours before being sold and we were lucky they had one we could test drive. The other dealer had none. Everyone that has one likes it, so Ford did the only reasonable thing, dropped the model.

Brilliant.
Bill
 

66Tiger

Donation Time
The reason your friend's Honda kept it's value so well, is because it has a very good reputation for reliability. Toyotas also have a good resale value, for the same reasons. When will we get back to doing what we used to, putting quality first?

Go to Google and search for "Ford J.D. Power"...see what you get. It's been that way for Ford for about 10 years now.

Reminds me of Rolling Stone magazine long-running "Perception/Reality" campaign...it's no longer 1974, and the Big 3 need to become twice as good to have half a shot.

Paul
 

66Tiger

Donation Time
When we bought ours, the dealers complained they could not get enough of them, one dealer said they remained on the lot as little as two hours before being sold and we were lucky they had one we could test drive. The other dealer had none. Everyone that has one likes it, so Ford did the only reasonable thing, dropped the model.

We are a two Focus wagon family. We had the same problem when buying my wife's Focus wagon, which is newer than mine.

If I am working next year plan on replacing it with a Ford Fiesta...supposed to be a really good car.

Paul
 

64beam

Donation Time
Hi,

Two of our major manufacturers Ford and Holden (GM Australia) have been shutting down for week blocks here and there as well. Not to mention the month long shutdown over Christmas, which may even be longer. The company I work for has a few industrial customers who make parts for both Ford and Holden. The employees at one site have had to use up all their annual leave due to shutdowns by the Holden leaving them with only the main paid public holidays (merry christmas). To try and keep the sales going Ford and Holden are selling their family car base models at basically small car prices.
There is not alot anyone can really do and the government and unions can only do so much. Lots of talk, but we just need to wait and see what happens.

Hopefully there is some light at the end of the tunnel.

Regards, Robin.
 
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