Gas Prices Are On The Rise, But Is Detroit Ready This Time Around?

NO they are not ready, but this time we hope there isn't another financial meltdown also.

I think they've put in a decent hedge considering they aren't a go-to company for efficient cars.

I'm confused...009 Didnt you just say that Toyota had and was investing way to much into Hybrid technology and that soon, beacuse everyone else had a much smaller hybrid focus, that Toyota would begin to see that HUGH mistake once gas prices fell back down??? But now you are saying, asking rather, is GM ready for the increase in fuel costs??? GTFOH U suck!

Mason3Robert, Your statement is confusing. Key words are "once gas prices fell back down". At the time of 009s statement gas prices were going down. Now that gas prices are going up, 009 is asking " Are the Detriot 3 ready with fuel efficent vehicles". As you know the Detroit 3 were hit hard with sales of large SUVs and pick-up trucks. Alot has changed with the Detroit 3s line-up since then. Again 009 is just asking a question " Is Detroit Ready This Time Around"? Personally I think there in better shape this time around.

No no..I dont buy that! He, 009, was referring to just plain ole bad business...Toyota has created a "Hybrid" image...and to me that spells success today in the midst of higher fuel costs aka inflation. Whether they knew what was going to happen in the middle east and Africa or not, someone was prepared!!!!! Toyota! Whats your neighborhood gas prices these days??

009, you are the biggest HATER I know...and none of that should sound cliche, but if it does, its cool because you are very CLICHE and so is your pet — bfghemicuda, if that isnt you 009! HI HATER...

200 BILLION (LIQUID)
300+ BILLION TOTALS ASSETS...009, MAYBE NEXT TIME YOU TRY, THE RESULTS WILL BE IN YOUR FAVOR...

Mason3Robert, I am surely Not 009s pet and I take offence with your comment. And I'm definately Not a hater. It's obvious I just viewed 009s comment differently. Let me try this one more time so even you can understand. My view on the comment is [read very carefully]. When the cas prices spiked the first time Toyota and others that had hybrid vehicles were ok with sales and did quite well called success, with the detriot 3 not so much due to them relying on trucks suv's and the like. This time around are the Detroit 3 better off than the first. Again, very simple. Seems to me you are so much on the defensive that you jump to conclusions.

I think that Ford and GM are ready for this. The Cruze just came out and its already a top-ten seller; Chevy sold nearly as many Cruzes last month as Honda sold Civics. A recently released and already popular small car puts GM in good position for rising gas prices. GM also has very popular and well-executed CUVs (Equinox, Terrain) in position. The Buick Regal seems to have come along at the right time, it should do well too. Also, there is the Volt.
Ford holds the claim to 'most fuel efficient sedan' with the Fusion hybrid; the Ford Focus and Fiesta are also new and well-executed small cars that are already popular. Perhaps just as important, Ford recently replaced the body-on-frame Explorer SUV with a (slightly) lighter car-based crossover model AND replaced the base V8 in their pickup trucks with an ecoboost V6... The fuel efficiency advantage of a large crossover vs. a mid-sized truck-based SUV is more perception than reality, but the new Explorer is still a much better product for these times... replacing the F150 V8 with a V6 was a radical move and shows commitment to fuel efficiency.

It seems to me that Ford and GM have both done a great job of fielding a collection of competitive vehicles that are smaller and more fuel efficient than their traditional staples, despite the fact that suv/truck sales have led the way in recent sales rebounds for GM and Ford. Since 2008, both GM and Ford have brought some compelling smaller cars to market, they are ready for this...

Chrysler, notsomuch. They chose to commit their resources to replacing their full-size rwd sedans and their premium SUVs. Chrysler's mid-size and small cars remain uncompetitive. The new 200 is better looking than the Sebring, but that's about all it has going for it. Can't blame Chrysler though, they had to replace those large cars for the sake of reclaiming the reputation of an organization that anyone would buy a car from. The old Charger/300, Durango, and Grand Cherokee were embarrassing. I would still stand by the decision to go all-in with the new Grand Cherokee though. The new JGC has gone a long way to restore Chrysler's showing of basic car-building competence and consumer desirability. They already sold a pretty good sh*tload of them, so they've generated revenue. The Grand Cherokee could remain a hit if marketed properly: even when the gas is high, there are still people who require/desire SUVs and have the money to put fuel in them. I think with gas prices escalating, the smaller and cheaper Grand Cherokee would be really attractive to people who would otherwise purchase a Tahoe/Suburban/Expedition/Range Rover/Benz GL.

pushrod27 you missed it on Chrysler. The new pen V6 is so efficent, the charger and 300 will get 29 mpg and Challenger 28mpg. The new Durango V6 is better than the Equinox in all areas. The 200 and Avenger are right there in the fight and in a few months will be adopting the C-Evo platform which will be even better. The small car platform from Fiat is very competitive with the 500 at 42mpg this all with Multiair tech.. The Ram Pickup gets 20 mpg with almost 400 hp, that right there with Fords eco-bost. Pickup trucks sell well no matter what. The old Charger/300, Durango and GC were definately NOT embarrassing. They all sold well. So much so that GM and Ford had nothing to compete with. With the new drive trains they still don't. The T&C / Caravan are just as efficent on fuel as the other brands and out selling them all.

With all due respect hemi, you are obviously a Chrysler sympathizer... Who would cross-shop an Equinox with a Durango? The Durango is a 3-row vehicle that would perhaps be a more economical alternative to a Suburban.
And while the new Pentastar v6 is a welcome, long overdue, and much improved motor, it won't help them in this situation. When gas approaches $4 per gallon, people are looking for smaller, lighter vehicles with 4 cylinder motors and reduced fuel consumption. Chrysler is only using the new V6 in its heavy SUVs and full-size sedans. Not only are people looking for smaller cars, but applied in heavy vehicles, the new V6 offers no real significant economy advantage.
Chrysler does not have competitive compact sedan and they don't have a competitive 4-cylinder powertrain; they are totally unprepared for this.
It's fine to root for Chrysler, but please be for real.

I just read the rest of your comment... GET REAL dude. the old 300/Charger WERE completely embarrassing, unforgivable, intolerable pieces of shit. The V6 motors had unimpressive power, lackluster fuel economy, and they sounded like blenders. The interiors on these cars were indeed embarrassing, the worst in the industry. The old Grand Cherokee shared the same shitty V6 motor and had the worst interior (truly awful) of any SUV sold in America, this to complement its pinched rear seating. They sold them all to rental car companies, the lots are crawling with them, I know because I travel and rent a lot for work. The pre-update Chryslers are a truly terrible experience for any driver; don't even get me started on the Journey - so awful that I refused to take it... and how could you possibly point to sales as the strength of a company that went bankrupt and is still (even though sales are way up) not selling enough cars to turn a profit?
In 2008, Chrysler had a single desirable product: the Hemi V8.
In 2011, the Grand Cherokee is a great product and the large sedans are much improved with the new V6 and interiors, but Chrysler has no competitive or even mildly desirable 4 cylinder products.

But of those Cruze sales numbers, how many went to consumers and how many ended up in Enterprise, Budget & Avis' rental fleet?

The US domestic three are about as ready as they ever will be for $5/gallon gas. The question is whether the American driving public is ready.

I see a lot more people riding public transportation and riding motorcycles & scooters in the warmer climates.

I did see a Chevy Volt being hauled away today on a flatbed. There was no collision damage nor investigative authorities on seen, so maybe there are production gremlins with the car.

Sorry for not responding quickly pushrod but I was away for the day. I understand your comment with the 4cyl issue and I agree. I do NOT agree with your comment about the LX cars. Chrysler has come along way and they are in mush better position this time around. I have very strong ties with Chrysler and have always cheered for them. Between the Diamler pillaging and the Cerebus dissmantling, non of us were happy. The atmosphere at Chrysler these days is very positive. A welcomed turn around.

Wow Chrysler does not make a single car that can compete with GM.

Pushrod got it right - Ford and GM are in decent shape to get through a big upturm in gas prices but Chrysler hasn't a chance.

Couldn't dissagree with you more!

if you would get real, you would agree. Chrysler has no competitive 4 cylinder cars on the market. none whatsoever... and I must reiterate that the pre-update 300/Charger and Grand Cherokee were indeed embarrassments to Chrysler and the entire American auto industry. Worst interiors - by far - on the market... and the old 3.5 SOHC V6 couldn't even match GM's ancient 3800 with regard to refinement and fuel economy. I am a frequent traveler/renter, and I chose the Lucerne over the 300 every time. Sometimes I would even downgrade to a base Impala to avoid the Chryslers... A bad trip for me begins with arriving at the rental lot to find only Chryslers available; but not so much now that they have the new Grand Cherokees and updated Chargers on the lot.

"Gas Prices Are On The Rise, But Is Detroit Ready This Time Around?"

- Not if all they have are SUVs. CTS is nice. All they need is just a decent lineup of CARS.

Chevy Volt, Chevy Cruze, Buick Regal, Ford Fusion, Ford Focus, Ford Fiesta... All very competitive small cars.

Pushrod.... We Are all aware of this and obvious oo9 is two if he has any auto journalistic abilty. This Title is obviously made to start a flame war.

Fuel-Spike preparedness:
GM: Equinox/Terrain; Buick Regal; Cruze; Volt; 4 cylinder Malibu & Hybrid
Ford: 4 cylinder Fusion & Hybrid; Escape; Focus; Fiesta; EcoBoost F150
Chrysler: ???

Chrysler did a great job with the new Grand Cherokee, Durango, 300, and Charger, but these are large vehicles, and they have nothing else that is competitive or desirable.

With the notion that last time around people flocked to Smart dealerships, if Chrysler can get the Fiat 500 rolling soon enough on US shores I could see more people buying those as they are more practical than the Smart was.

I'm already tightening my belt. Even though I drive a Toyota Matrix, I've taken to keeping the car at 65-70 MAX on highways. I typically am the one passing everybody, but at these times I stay in the middle or right lanes and only move to pass when safe to do so (i.e. not cutting off a faster moving vehicle behind). It really does make for a more relaxing ride when gas is nearing $4.

This coming from a person who hates seeing a fillup cost $40 ($42 today). I can average 30mpg plus without haste following my simple guidelines. Not shabby considering my 4banger with slushbox drags around the added AWD weight.

Chrysler is part way there.They have the 500 coming on line now and the rest of this yr.It should help them but they need more product for B and C segment cars.That is still a year away. Chyrsler's got a good fuel effficient V6 which should also help out. But lets face the facts. Both GM and Ford are still much better positioned to deal with the high gas prices at this time.Some things that Chrysler could do quickly is this.
1) The new Lancia Ypsilon has just come out. It is essentially a longer wheebase Fiat 500 with 4drs. There was talk of marking this as a Chrysler anyway. It probably needs to be here sooner then later. Also Fiat has the Lancia Delta. It is a kind of luxury crossover with a 4 cylinder engine. Again there was talk of marketing this as a Chrysler Cross Over. It would be similar rebadging in reverse of what Chrysler is doing with the 200 and 300 being rebadged as the Lancia Flavia and Lancia Thema.If those 2 cars get remarketed within the next 6 months and fuel prices continue to rise Chrysler will at least be on some parity with Ford and GM.Further in one year's time the C-Evo platform to replace the Dodge Caliber wil be coming on line. It will have the same multiair architecture as in the new 500.But I would say that it is critical to get those other vehiles marketed as Chrysler asap and then put on sale here in the US. Here is another point that no one has talked about. 3 years ago all 3 car makers not only had big V8 SUV's but also Suv's with inefficient V6 engines that had lousy horspower. These new SUV's CUV's have V6 engines that put out significantly more power and get better fuel economy. Even our 3 so called muscle cars are either getting close or breaching the 30 MPG mark on the highway. The point is that buyers have a lot of choices now with US car makers(even Chrysler).Also the buying public has been through the result of high gas prices before and may not go into the same panic that they did before. There just may be enough product out there for the US 3 to weather this.

Very true, but they are non hybrids and some buyers just have a stigmatization to hybrids and/or want the better performance found in a conventional car.

Hybrids are great for people that want to spend more money on a car then they would for the same nonhybrid model. Essentially they are making a social statement.For example a Ford Fusion Hybrid is approximately 8 grand more then the base 4 cylinder Fusion. For people on a budget hybrids are not yet the answer. Until car makers can bring the cost of a hybrid down closer to parity with non-hybrid they are still not economically feasable for many people. For people on a Budget cars between 10 and 20 grand are going to sell the most.99% happen to smaller 4 cylinder non hybrid cars. To buy a hybrid you are still spending over 20 grand. Further most hybrids handle like shit because of the tires used to get the best mileage.And when you get into the larger SUV's and crossovers what is the actual savings on gas versus the increased cost to buy a hybrid SUV. I'm going to take a wild guess here that the ratio gets far worse then a typical sedan. The Fiat 500 may not be the mileage champ on the highway but lets be realistic. Are most people going to really notice the difference between 40 MPG on the highway versus 38 MPG. Also what about peoples driving habits. You realize to get those figures you have to be a very focused hypermiler or an atomoton.The 500,from what I read offers refinement and driving fun for $17,500 in the sport and 15 grand for the el-cheapo version.If you look at it purely on a cost basis versus Cruz and Focus your spending less money up front and your gas mileage is 98% of what those vehicles claim.So with increased fuel prices we are talking about the cost to buy and the cost to operate a vehicle.

I don't really know how well optioned these hybrids are. A 500 Sport is pretty well optioned at $17,500. What options do you get with the CRZ or Insight at this price? But here is a question. Gas prices are rising(It seems by the day). Someone who is on a tight budget. The questions is would they finance a Hyundai Excel or Kia Rio for about 12 or 13 grand or would they be better off spending the extra 5 or 6 grand for better in city gas mileage with a CRZ or Insight?Further a base 500 is $15 grand putting it still 3 to four grand cheaper then the CRZ or Insight. The Fusion Hybrid may have more standard equipment then the base 4 cylinder. The question is how much of that extra price is for the hybrid technology. And what about the cost of the Lithium Ion batteries.I heard they still cost at least 5 grand to replace when they go wrong. If any body plans on keeping hybrid for any decent period of time having to replace the battery might negate all of the gas savings the hybrid was supposed to offer. Further the average person on a tight budget might have a 72 to 84 month loan.It used to be 60 months but that has changed.