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Yesterday, GM agreed to sell Opal and Vauxhall to the PSA group for 2.3 Billion. Hard to believe no more GM there, but they have struggled for nearly two decades. I read elsewhere that Opal hasn't made a yearly profit for GM since 1999!

I don't know why they couldn't turn that business around but clearly they can't and so, absolutely they need to cut the dead weight loose. The good news is, fans of the Opal Ampera e will still be able to get their cars... for a time. Eventually it will all be PSA.

http://www.hybridcars.com/psa-buys-opelvauxhall-from-gm-in-2-3b-deal/
 

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It's not surprising, but it leaves some wondering... There's a lot of Opel DNA in many GM products sold in the US today, including the D2XX platform of the Volt.
 

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It's not surprising, but it leaves some wondering... There's a lot of Opel DNA in many GM products sold in the US today, including the D2XX platform of the Volt.
I think they'll be fine. It seems that the Daewoo division does most of the small car design and engineering these days.
 

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No profit from them since 99'?! My question is why wouldn't they cut this a long time ago? Or was the expense margin not large enough to really pay too much attention to it and try and salvage it
 

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Maybe GM was still trying to make Opel and Vauxhall profitable as teh two brands were still selling vehicles, around 1.2 million units last year. Guess that wasn't enough to cover development costs and such.

This seems to be the latest news in the auto industry.
 

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No profit from them since 99'?! My question is why wouldn't they cut this a long time ago? Or was the expense margin not large enough to really pay too much attention to it and try and salvage it
I think since GM took over Opel in 1931, they have looked to have a piece of the significant European car and truck market. Prior to WWII, Opel was the largest car maker in Europe. After WWII, GM made the decision to continue with Opel and Vauxhall and they did well. Opel since WWII had been a popular brand in the mid price range between VW and Mercedes. However, for whatever reasons, Opel has failed to build inspiring product in the last few decades.

I can only speculate as to why GM has failed to turn Opel around, I suspect it is a clash of culture. GM has been on a plan to unify it's products across the globe with common platforms, engines and drive trains. Opel has resisted this trend as did Holden in Australia. I suspect that Opel didn't get the love it needed to build a new generation of European cars from Michigan and Russelsheim (Opel headquarters) resisted "Americanization" and globalization. The result is compromise. We all know that GM has really spent most of their investments in China. Maybe Opel will fair better under French control because at least they are European, but PSA has never been a stellar group.

The rumor now is that GM might try to merge with Chrysler/Fiat and regain entry into Europe. That would be wild! I think sparks would fly in that organization! I think at this point, GM should leave well enough alone and just try to make great American cars and great Chinese cars.
 

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According to another article I read, GM will continue to offer the Ampera-e as an Opel vehicle, and in the near future will decide a new agreement with the PSA group for the next Ampera-e generation. So the present Opel Ampera-e will be sold in Europe as planned for this and maybe the following years until GM and PSA reaches their new agreement.

I have a hunch that the PSA group wants the Opel Ampera-e as a competition to the Renault EVs (and its partnership to Nissan). My next worry is if the new Buicks will be from the Opel designs, or will GM Shangai become the owner of the Buick designs, since the largest Buick market is for China. Read how well the new Buick Envision CUV is selling as an import from China to the U.S.
 

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The rumor now is that GM might try to merge with Chrysler/Fiat and regain entry into Europe. That would be wild! I think sparks would fly in that organization! I think at this point, GM should leave well enough alone and just try to make great American cars and great Chinese cars.
Car makers love sharing platforms and that will be one major benefit to making this move. Cutting overhead costs is big and it means billions for them. The only question at that point is who will benefit who? So far it seems like GM might have a lot to offer FCA.
 

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According to another article I read, GM will continue to offer the Ampera-e as an Opel vehicle, and in the near future will decide a new agreement with the PSA group for the next Ampera-e generation. So the present Opel Ampera-e will be sold in Europe as planned for this and maybe the following years until GM and PSA reaches their new agreement.

I have a hunch that the PSA group wants the Opel Ampera-e as a competition to the Renault EVs (and its partnership to Nissan). My next worry is if the new Buicks will be from the Opel designs, or will GM Shangai become the owner of the Buick designs, since the largest Buick market is for China. Read how well the new Buick Envision CUV is selling as an import from China to the U.S.
Buicks have come from both Opel and the US. The design side of Buick will likely be a joint Shanghai/Detroit deal. On the engineering for platforms, engines and drive trains, I think it will fall to just US and Korea now. Perhaps China in the future. GM has been trying to move towards global platforms, engines and drivetrains to keep engineering and parts costs down. Each market hopefully get to do unique things with those platforms and parts to some degree.
 

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I was wondering what GM would do with the Opel Ampera-e after selling the company. Would they pull it off the lineup and such since they sank so much money into its development. But it's good to know that those in Europe will still be able to get one.
 

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Thought it was the other way around. FCA wants to merge with GM but they're not having it. They said they'll keep knocking on the door though. GM says they're weren't interested before and they're less interested now lol.
 

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Thought it was the other way around. FCA wants to merge with GM but they're not having it. They said they'll keep knocking on the door though. GM says they're weren't interested before and they're less interested now lol.
Could be. It's just a automotive rumor, not really news.
 
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