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Writer's pictureCallum Alexander

Callum on the American car industry

The American Dream was a marketing slogan that helped fuel the growth of the American car industry, but, bar a modicum number, the mediocre cars of this day struggle to convince.

 
American Car Industry - General Motors and Ford

The American car industry built itself through the rose-tinted lenses of The American Dream - the two are interlinked. Through the virtues extolled in this doctrine, America has become one of the biggest car-making countries on the globe. As a car enthusiast, I feel the influence and sense the impact that this creed has on the American car industry, it infects it like a virus, latching onto its host. In many ways - from my perspective - it blurs the reality of American carmakers.


The vast internal, self-sustaining motoring consumer market in the US accounts for GM’s second biggest portion of sales, with nearly 2.9 million cars sold. The Detroit-based marques biggest market is China, despite sales dropping 15.1% to 3.1 million cars in 2019. Beyond these markets, the majority of the product range under General Motors - Buick, Cadillac, Chevrolet and GMC - struggle to extend their appeal. Europe is an untouchable market, there's no demand here.


It’s a similar story with the Ford Motor Company, who sold just over 2.3 million cars in the US during 2019, but their products for the American market don’t make an impression on the European car market. This speaks volumes. It says more about the standard of American cars, than motoring consumers in Europe. They are designed for a consumer in a different culture, with a different lifestyle. It’s why these two car companies have been discounted, and aren’t being considered in my search for the strongest car industry in the world.


"Europe is an untouchable market, there's no demand here. This speaks volumes. It says more about American cars, than motoring consumers in Europe"


In order to access the lucrative potential in the European car market, Ford created a subsidiary section in 1967 to branch out their brand further, called Ford of Europe. Research and Development is done at the Aachen Centre, in Germany. The Technical and Design Centre is in Cologne, in Germany. Engine plants are located in Bridgend and Dagenham in Britain. Yes, your reading that all correctly. It's all true. None of it is a mistake, inaccuracy or omission.


This Ford of Europe network enables Ford to compete with European carmakers in comparable and convincing ways; it allows the marque to capture a consistent customer base. But it does beg the important and difficult question. If Ford were one of the strongest and best brands at making cars for motoring consumers across the globe, why did they setup a subsidary section - called Ford of Europe - with its headquarters located in Cologne, in Germany? Why?


As America’s mass market carmaker, Ford of Europe has a broad car spectrum to select from, with the Fiesta and Focus best representing the multifaceted appeal to people. Both have practicality in abundance, have fresh interiors and look good on the outside too. Plus, they are engaging to drive when you want to have fun, but will temper down when you just want to get home. These characteristics are heightened in the Fiesta and Focus ST variants, which offer a mixed blend of everything you want in a fast hatchback: pace, balance, poise, practicality and an effortless street-cred cool vibe. I like both, they challenge the best benchmark in their segments, and make you pause for thought, forcing you to think twice.



The rest of the Ford range is like a bowl of fruit: all different shapes and sizes with a good level of engineering quality. The C-Max and S-Max provide creditable interpretations of family motoring; both don’t possess the dynamic drive of the Fiesta or Focus but serve their purpose in the respective segments. The same can be said for the Ranger Raptor - Ford’s off-roading pickup truck - which appears well equipped for tackling rough and rugged terrain, and offering a comfort level that doesn’t shatter your spine at the same time. They aren’t bad cars by any stretch, they are good cars. They won’t fill you with dread and regret if you bought one.


At the other end of the spectrum, the GT is Ford’s Le Mans race-car converted to road-car, although looking at its pulverising performance, it doesn’t seem to have dialled things down too drastically - they must have missed the memo, or misplaced it. With a twin-turbocharged intercooled 647bhp V6 fitting into an optimally shaped "teardrop" carbon fibre chassis, drag is minimised, and downforce is maximised. That chassis name might inadvertently refer to the eyewatering pace as weighing just 1385kg, the GT has a 0-60mph time of 3.0 seconds and a 216mph top speed.


"With Ford of Europes capability and potential, the omens look promising for the brand to reinvent itself through electrification"


So, Ford of Europe, when all things are considered, deserve credit - they have a respectable portfolio. By the end of 2019, Ford sold just over 965,000 cars, a 1.5% contraction on 2018. Considering the current condition of the car industry, Ford continue to cling on. Add into the mix that Ford of Europe has initiated the transition phase to credible, electric alternatives with the introduction of 14 new electric models in 2020; it promises to be an interesting and seismic period in the marques history. Taking into consideration the escalating climate change crisis, with Ford of Europes capability and potential, the omens look promising for the brand to reinvent itself through electrification.

 

This, of course, has never been such a problem for Tesla though. Founded in 2003, it's taken them time to find their feet. But the foundation work, building the brand from scratch, has enabled Tesla to become a key player in electric motoring. Tesla's mindset has always been firmly on the future of the car industry, from the outset. Such has been the progression and evolution of Tesla, each model in the current range could conceivably replace an internal combustion fuelled car.  


For a start, in a Tesla, fears about range and charging can be calmed. The Model 3 has a 348 mile range, it will recharge that in 30 minutes. With the brands 14,000 Supercharger locations located around the world, there's a sufficient network to sustain driving a Tesla. And this will only improve with continuous infrastructure expansion. It puts Tesla in a strong position compared to other carmakers. The Model 3 car offers comparable qualities to fossil fuelled rivals, while doing so with incredible pace, interior space and a futuristic feel. It’s not hard to understand why Tesla has legions of loyal fans and customers.


The slight issue that blights the Model 3 is that despite the lightning quick performance, the handling isn’t as supple or dynamic compared to petrol-powered competition. Much of this is down to the heavy battery, which helps the Model 3 tip the scales at 1847kg. That's a lot of weight to haul around for dynamic driving. Plus, it does come with an eye-popping price: the Long Range model starts at £47,500, with the Performance model costing £56,050. It’s a similar story with the Model S and Model X - copy and paste.


There is one other significant snag tripping Tesla up as well. It's linked with the human capacity to feel emotions. Despite Tesla’s relatively rapid development curve as a brand, they have thus far failed to fix the emotionlessness of their cars. The human need for connection is partly neglected when driving a Tesla, it's partially severed, as if it's been overlooked. For motoring consumers factoring in the fulfillment of sensory elements, a Tesla can leave occupants feeling isolated and ostracised.


"Despite Tesla’s relatively rapid development curve as a brand, they have thus far failed to fix the emotionlessness of their cars"


And this is where things for the American car industry starts to unravel in an increasingly indefensible way. Another known name that spreads its wings across the globe is Jeep, which occupies the narrow off-roader market. But even here, in their heralded discipline, they don’t hit the ball out of the park. Frankly, there are stronger and better examples that do the wading through the muck, crud and ascending unassailable objects task far better.


Beyond off-roading, the model trio - Renegade, Compass and Wrangler - don’t light up sparklers either. The performance is average, bordering on underwhelmingly boring, whatever Jeep model you choose. And whilst it will do the driving A to B part on the road, there is little to compel you to choose a Jeep over another carmaker. Compared to stronger and better examples, Jeep just pale into insignificance, really.



So how does the American car industry stack up against the criteria outlined in my strongest car-making country checklist? Consider this like an end of term school report. In terms of breadth and depth on the car spectrum, American carmakers just scrape a pass mark, by the skin of their teeth, there is a variety of options to select from, but not an abundance. This is matched by a decent standard of engineering quality across each carmaker - again, a pass mark - but not exceptional quality. America carmakers are slowly aligning to the electric era, but given the scale of the climate crisis, the rate of change is barely enough to warrent a pass mark.


If there is ever a scintilla of suspicion about where the incentive of the American car industry resides, it’s in the lack of innovation. This is accentuated by the slow introduction of electric cars. Tesla are the exception. Because of the guaranteed car market in the US, there is little incentive to innovate, change or adapt to compel consumers across the globe to purchase their products. Add into the mix the free market economy in the US - an economic model built on supply and demand - profit is prioritised above investment to innovate. You sense and feel this in American cars, that profit takes precedence at the expense and detriment of products. It speaks of a disposable car culture; nothing is made to last.


"Profit is prioritised above investment to innovate. You sense and feel this in American cars, that profit takes precedence, to the detriment of products"


My scepticism of the American car industry is reflected in the global car market share: sitting fourth in the overall list was General Motors, America’s best-selling carmaker in 2019. They shifted about 7.7 million cars globally, down 10.7% contrasted to 2018, when they sold around 8.6 million cars. It doesn’t make for good reading. It’s a similar story with the Ford Group: sitting sixth in the overall market share, about 4.9 million cars were made globally, down 7.7% compared to 2018, when they sold around 5.3 million cars. It tells of trend that should sound alarm bells.


Like The American Dream, the American car industry is selling a commodity based on false promise, that will leave you feeling conned. Based on clever marketing, you’re duped into buying an American car based on a propagandised perspective of America - a romanticised notion detached from the fact that there are better, stronger carmakers from other countries. In the subsidiary section of American carmakers, there’s a good group of cars to seriously consider, notably in the Ford of Europe and Tesla ranges. But beyond these two carmakers, there's nothing else to seriously consider.



The facts from focus2move.com illustrates a contracting US car market. This is reflected in every car industry, but American carmakers were hit hardest of them all. These stats should force American carmakers to think differently about how they make cars, otherwise motoring consumers could cotton on, the penny could drop, the pendulum could swing, and increase contraction even further.


My perspective is exemplified by the Chevrolet Corvette Stingray and, come to think of it, the Ford Mustang. Both unquestionably look cool, drive fast and handle well. But, even here, there’s a problem. There is something that repels my inclination to want either one of them, and it’s to do with the overall quality and reputation of American cars. They both have lower standards compared to competitors: the refinement, material quality, engineering, innovation, performance and handling - all these aspects pale into insignificance in stark contrast to rivals, from other car-making countries. I know in my heart, that these rival cars are stronger, and better.


"Driving an American car in Britain - particularly a Chevy or Stang - is a bit like bringing a steak or ribs takeaway to eat in a vegan restaurant"


There is also something of a culture clash about driving an American car in Britain. It just looks out of place and out of sorts, it looks like a bit of a misfit, which tries to fit in, but doesn’t. Let me put it this way: driving an American car in Britain - particularly a Chevy or Stang - is a bit like bringing a steak or ribs takeaway to eat in a vegan restaurant. It stands out, and not in a good way, and deep down, you know a vegan diet is healthier for you, and better for the planet. When you look at the details, there isn’t really any aspect to either car that’s better or stronger compared to a rival, just marketing bluster.


For these reasons, I wouldn’t be standing in either dealership poised to put down an order for a Mustang or a Corvette Stingray, I find it hard to consider contemplating the prospect. Deep down, I know I'd regret buying either one of them. But I’m certain I wouldn’t regret buying a better, stronger rival. It’s why out of the six car-making countries being considered, the American car industry is in sixth place, or last, because, there is nothing particularly to be proud or patriotic about.


As it turns out, one of the strongest, and best carmakers - from my perspective - that America produces, is Ford of Europe, who more often than not, make good cars. Cars that are researched, developed and designed in Cologne, in Germany, by German people. You know how that sounds, right? Funny, really.


American Car Industry: Sixth Place - Last


 

Photos: Ford, Tesla, Cnet, Pinterest, Jeep, Cargurus.com, Car and Driver


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