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Mooney: G8 deal to last 6 years.

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Old Feb 8, 2007 | 09:47 PM
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Mooney: G8 deal to last 6 years.

http://www.carpoint.com.au/car-review/2352089.aspx

Glenn Butler
February 8, 2007

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Holden this morning confirmed North America as the VE Commodore's first port of call on an export world tour that will include the Middle East, South Africa and China, first revealed by drive.com.au yesterday.

Holden boss Denny Mooney announced North American export plans for the Australian-made VE Commodore as part of a deal General Motors' Pontiac brand that is said to be worth as much as $1 billion annually to Australia's largest automotive manufacturer.

The export vehicle will be built in left-hand drive at Holden's Elizabeth manufacturing facility in South Australia and sold in the United States as a Pontiac G8. Two versions will be exported, one with a 3.6-litre V6 engine and a second, more powerful model with a 6.0-litre V8. (more information here)

"This export program confirms VE Commodore is a vehicle designed and engineered to appeal to both local and overseas markets," Denny Mooney, the chairman and managing director of GM Holden said. "It highlights [that] a car developed in Australia can be introduced in the United States, the Middle East and South Africa."

Mooney believes the Commodore is a "perfect fit" for the Pontiac brand, which is rebuilding its reputation for rear-wheel drive performance cars.

"Attributes of the VE Commodore SS are a perfect fit for the Pontiac brand. [Both are] known for performance and driving excitement. For me it's a further confirmation of how world class and globally competitive [Australian] cars really are."

Mooney said the deal will last "for the life cycle of the car," rumoured to be around 6 years, but he would not be drawn on volume or the value to the company of this export program.

"I'm not going to give a forecast because I will be wrong. Let me just say we think it has potential to be our largest export market. It could be upwards of 20-plus per cent of our local production volume."

Bob Lutz, the GM vice chairman for product told drive.com.au at the Detroit show earlier this year that annual volumes of 30,000 to 50,000 were possible. (see related story).

Mooney wouldn't comment on rumours that this was a stopgap measure until the Pontiac G8 could be assembled at the Oshawa plant in Canada. "I can't comment on that. I'm an official Aussie on this one."

He said it was inevitable that vehicles based on the rear-wheel drive architecture "will be built in other parts of the world, definitely", but that this announcement "has no relationship to what may or may not be built in the USA".

Mooney said further export announcements are sure to follow, the next one may be the Commodore Ute, due to be launched in Australia later this year.

"I expect to have a long-term relationship with Pontiac ... We actually have a previous model (VZ) ute in left hand drive in Detroit. Had it there for years, and there has been interest.

"There are always opportunities for us to take advantage of the GM network around the world. There's a high likelihood that will happen."

Mooney said the export announcement had been well received by Holden's employees and its parts suppliers.

"We told our employees this morning and they were proud of this achievement ... It highlights GM Holden's expertise in designing, engineering and manufacturing rear-wheel drive products. It's a reputation in the GM world that is well deserved."

Mooney said export programs must play a growing role in Holden if it is to secure a viable future.

"We used to be able to dominate the market with one car line, but even though Commodore is the best selling car in Australia, it is very difficult to dominate. We have to rely more on overseas markets if we are to achieve our long term success, and a strategic initiative to keep our capacity utilised.

"We will continue to take advantage of our export capability. We have Australia's longest running and largest continually running export program and this is the latest announcement in a 50 year export history that has seen more than 772,000 Holden vehicles sent to every continent on earth, except Antarctica

Mooney was joined by federal MP for Industry Ian MacFarlane, Victoria's state minister for Industry and State development Theo Theophanous, the deputy premier of South Australia Kevin Foley, and the US consul General Earl Irving.

Minister MacFarlane applauded the announcement, saying " It's confirmation that the Australian-built product is world class. It will allow Holden to cement its position as the custodian of the rear wheel drive platform within GM.

"I have every confidence that the export Pontiacs will enjoy similar acclaim

Mooney said further export announcements are sure to follow, the next one may be the Commodore Ute, due to be launched in Australia later this year.

"I expect to have a long-term relationship with Pontiac ... We actually have a previous model (VZ) ute in left hand drive in Detroit. Had it there for years, and there has been interest.

"There are always opportunities for us to take advantage of the GM network around the world. There's a high likelihood that will happen."

Mooney said the export announcement had been well received by Holden's employees and its parts suppliers.

"We told our employees this morning and they were proud of this achievement ... It highlights GM Holden's expertise in designing, engineering and manufacturing rear-wheel drive products. It's a reputation in the GM world that is well deserved."

Mooney said export programs must play a growing role in Holden if it is to secure a viable future.

"We used to be able to dominate the market with one car line, but even though Commodore is the best selling car in Australia, it is very difficult to dominate. We have to rely more on overseas markets if we are to achieve our long term success, and a strategic initiative to keep our capacity utilised.

"We will continue to take advantage of our export capability. We have Australia's longest running and largest continually running export program and this is the latest announcement in a 50 year export history that has seen more than 772,000 Holden vehicles sent to every continent on earth, except Antarctica

Mooney was joined by federal MP for Industry Ian MacFarlane, Victoria's state minister for Industry and State development Theo Theophanous, the deputy premier of South Australia Kevin Foley, and the US consul General Earl Irving.

Minister MacFarlane applauded the announcement, saying " It's confirmation that the Australian-built product is world class. It will allow Holden to cement its position as the custodian of the rear wheel drive platform within GM.

"I have every confidence that the export Pontiacs will enjoy similar acclaim
Old Feb 8, 2007 | 11:02 PM
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Well , scratch the G8 off the Oshwa list . I love the new Commodore/G8 , itll be nice to see it stick around in the US for awhile .
Old Feb 9, 2007 | 09:12 AM
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Originally Posted by 90 Z28SS
Well , scratch the G8 off the Oshwa list . I love the new Commodore/G8 , itll be nice to see it stick around in the US for awhile .
Yeah, I'd think so. Especially since Oshawa should be busy, probably until the end of '10, beginning of '11, with setting up Zeta products already in the pipeline.

Last edited by Z284ever; Feb 9, 2007 at 09:15 AM.
Old Feb 9, 2007 | 12:24 PM
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Oshawa's sedans will be a bit bigger than the G8.
Old Feb 9, 2007 | 12:32 PM
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Originally Posted by guionM
Oshawa's sedans will be a bit bigger than the G8.
why? The commodore is already a little bigger than the 5 series and holden hinted that the car might get smaller to the size of the previous Commodre size. Are you saying the impalla will be bigger than the G8, or both the Impalla and the G8 will be bigger once oshawa is up and running? Or will the impala be made here and the G8 continue to be imported from Holden?
Old Feb 9, 2007 | 12:46 PM
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Well, it says the G8 will be sold in the US.

I guess no GM vehicle for me
Old Feb 9, 2007 | 01:09 PM
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Originally Posted by 5thgen69camaro
why? The commodore is already a little bigger than the 5 series and holden hinted that the car might get smaller to the size of the previous Commodre size. Are you saying the impalla will be bigger than the G8, or both the Impalla and the G8 will be bigger once oshawa is up and running? Or will the impala be made here and the G8 continue to be imported from Holden?
Impala will be the same size as it is today (hardly a huge car). GM is all but on record in saying that the next Lucerne will be based on Zeta. Both cars will share inner structure.

Compare the length of the Commodore-G8 to the current Impala..... or even the Buick Lucerne.

Quiz for you:

Put 3 of your fingers together. Is he difference in the G6 and G8's length about the same as or much greater than the width of your 3 fingers?

I think the answer will greatly surprise you.

Last edited by guionM; Feb 9, 2007 at 01:17 PM.
Old Feb 9, 2007 | 02:07 PM
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It must be the same or otherwise your question would be pointless.
Old Feb 9, 2007 | 02:17 PM
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So does that mean that all options will be basically what Holden has for the Commodore? I was hoping that if/when the G8 moved production to Oshowa, that we'd possibly see HUD as an option. Could this still be possible coming from Holden?
Old Feb 9, 2007 | 04:35 PM
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The Oshawa built Buick and Caddy Zetas will be bigger than the Commodore. I'm thinking the size of the Statesman/Caprice.

The Commodore has roughly the same interior room as the current W-car Impala.
Old Feb 9, 2007 | 05:53 PM
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Originally Posted by muckz
Well, it says the G8 will be sold in the US.

I guess no GM vehicle for me
Don't despair too much. I think it's just an oversight. There's G8 info posted on the GM Canada site. if they have no intentions of selling here (Canada) car here why mention it at all on their Canadian site?
Old Feb 11, 2007 | 01:59 PM
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Originally Posted by Z284ever
The Oshawa built Buick and Caddy Zetas will be bigger than the Commodore. I'm thinking the size of the Statesman/Caprice.

The Commodore has roughly the same interior room as the current W-car Impala.
Same room. Little more interior width.

Impala is also likely to be as big as the Statesman. Key words: Police & Taxi.

Statesman: 201.3" long, 118.5 Wheelbase, weight is 3979 (V6) to 4169 (Cadillic level, loaded Holden Caprice V8).
Old Feb 11, 2007 | 02:35 PM
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Originally Posted by Z284ever
The Oshawa built Buick and Caddy Zetas will be bigger than the Commodore. I'm thinking the size of the Statesman/Caprice.

The Commodore has roughly the same interior room as the current W-car Impala.
Im assuming by that zeta will replace sigma STS then. Do you think Caddy will get an alpha car?

I really think Pontiac is headed to be BMW lite. The G8 and Solstice being the start. The Alpha cars you mentioned before sound like they are going to be 3 series in size coupes and sedans and BMW minded with performance with emphasis on handleing, Ecotec powered, but without the extra luxury and gadgets. I really get the feeling G6 will go away leaving Malibu to FWD market.

Dont quote me, Im telling you now Im guessing. I know alot of guys here understand it alot better than I.

Last edited by 5thgen69camaro; Feb 11, 2007 at 02:38 PM.
Old Feb 11, 2007 | 03:03 PM
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Originally Posted by 5thgen69camaro
Im assuming by that zeta will replace sigma STS then. Do you think Caddy will get an alpha car?

I really think Pontiac is headed to be BMW lite. The G8 and Solstice being the start. The Alpha cars you mentioned before sound like they are going to be 3 series in size coupes and sedans and BMW minded with performance with emphasis on handleing, Ecotec powered, but without the extra luxury and gadgets. I really get the feeling G6 will go away leaving Malibu to FWD market.

Dont quote me, Im telling you now Im guessing. I know alot of guys here understand it alot better than I.
I think you're pretty close on everything, actually.

The only thing I'd question is I don't see STS leaving Sigma under the current GM leadership since the Sigma uses more sophisticated pieces than Zeta and the current leadership is taking Cadillac global as a luxury brand. I can see some future GM leadership deciding to use the cheaper Zeta instead of Sigma, but the current crop at GM is serious about exporting Cadillac and putting it against BMW, Mercedes, and even higher brands.

The big Caddy is destined for just the Americas, so I don't think Zeta is an issue on that one.
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