Cadillac is arguably best known for its luxury sedans, but the company is planning a shift away from that traditional vehicle style in favour of crossovers and electrified vehicles to help prop up falling North American sales.
It’s a decision with ironic timing, as Cadillac’s global sales are up 27 percent so far in 2017. Sounds good, but that’s not enough to make up for a 16.3-percent drop in North American sales of the brand’s four sedan models during the same period.
That means Cadillac must “rebalance” its sedan offerings, brand boss Johan de Nysschen told Reuters news agency: Come 2019, Cadillac will replace its ATS, CTS, and XTS sedans with a single new model called the CT5, which will be priced to appeal to buyers at the entry-level end of the luxury sedan market. Meanwhile, the CT6 will remain to satisfy demand for a larger, more upscale sedan.
The CT5 will be built in Lansing, Michigan at a factory that will also host production of a smaller sedan built to go up against the Audi A3, which is outselling all three Cadillac sedans combined through the first half of 2017.
On the crossover side of the ledger, Cadillac hopes a new compact XT4 will steal buyers away from the Lexus NX and Audi Q3, and by 2019 promises a three-row crossover along the lines of the Infiniti QX60 and Mercedes-Benz GLS-Class.
Cadillac says it also has a plan “not dissimilar” to the one Volvo announced in early July that will see the Swedish brand put an electric motor in every one of its models, starting in 2019.
Watch for Cadillac’s transition to begin later this year, when it launches its Super Cruise self-driving system.