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Federal government buys $287m worth of Detroit iron

06/24/2009, 12:03 PM

By Drew Johnson

The federal government has completed the vehicle purchasing section of the American Recovery and Reinvestment Act, spending $287 million on vehicles made by the Detroit Three. In all, the U.S. General Services Administration ordered more than 17,000 vehicles from the Detroit automakers.

Fittingly, Ford – the only automaker not to have received a government bailout – received the most government orders. The federal government racked up a $129 million bill with Ford, ordering 7,942 new vehicles. GM came in second with 6,348 vehicle orders for $105 million, with Chrysler tallying 2,993 orders for $53 million, according to Automotive News.

The government used part of its spending spree to help GM clear out its unwanted inventory. The government ordered 1,250 Chevrolet Malibu Hybrid sedan, 50 Saturn Vue Hybrid SUVs and 917 Pontiac G6 sedans – all vehicles that will be discontinued for the 2010 model year.

The government purchases included mostly fuel efficient vehicles – such as the Ford Escape Hybrid and Ford Focus – but also included some much thirstier vehicles such as the Ford F-150 and Chevrolet Silverado. However, per the terms of the program, the new purchases must improve the government’s fleet fuel economy average by at least 10 percent.

Fleet vehicles being replaced will be sold at auction with the proceeds set to be funneled back to ARRA.

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06/24, 12:16 PM

posted by:

CADDY-V

I wonder what they paid for the Silverado’s?

06/24, 12:29 PM

posted by:

tob

fixed it for ya-

I wonder what we paid for the Silverado’s?

06/24, 12:33 PM

posted by:

johnnycanuck

Most of the Chrysler products are leftover Sebrings to be used to hold Guantanamo detainees while they await trial.

06/24, 12:39 PM

posted by:

SHOspeed

Im just waiting for the import fanboys to start bitching about this……………

Its great the government is investing in the big 3 though. Every bit helps! Especially big bits like that was just spent.

06/24, 12:44 PM

posted by:

carstuff

I do not understand. I thought because the government owned part of GM and Chrysler they were supposed to buy only GM and Chrysler? Yet they gave a bigger chunk to Ford? Wouldn’t it make more sense to buy what you have invested in? I know the experts here said that is what would have happened.

06/24, 12:48 PM

posted by:

mayer_ray_nagin

The 1,500/car rebate checks are being cut to ACORN no doubt

06/24, 1:53 PM

posted by:

KarLoveBoy88

Well they figure that if they invest in their own vehicles that it would help boost sales and keep them ahead of the Japanese and German competition. But I presume they invest in Ford because the Escape Hybrid is one super sweet hybrid SUV. Plus its what Obama and many other government officials drive. Now the Focus, I’m not so sure about.

06/24, 2:23 PM

posted by:

RaineMan

In terms of overall quality as a vehicle… Escape Hybrid tops any other hybrid out there.

06/24, 2:30 PM

posted by:

SomeJerk

carstuff. Your mistake is in thinking that the government does anything that makes sense.

06/24, 2:34 PM

posted by:

carstuff

Raine, not to step on Ford but how do you know that? The Prius does show up in the JD power as a #1 in dependability in its segment but the ford escape is nowhere to be found.

06/24, 3:13 PM

posted by:

Payton Byrd

@carstuff

It’s easy to be #1 in a segment of 1.

Once the Insight makes it into the JD Powers reports it’ll be a segment of 2. Once the Volt then it will be a segment of three. See where this is going?

Just because the Escape Hybrid isn’t the top of the Small SUV class doesn’t mean it’s not top among hybrids. The Escape Hybrid doesn’t play in a Hybrid-only segment.

06/24, 4:28 PM

posted by:

2WheeledSpeed

I’m a Ford fan but I see carstuffs point about not buying more from GM/Chrysler. As long as you’re going to buy billions of dollars worth of cars why not buy more from the companies that you’ve invested billions of tax-payers dollars in? At least they didn’t go buy billions of dollars worth of Hondas and Toyotas and tell GM/Chrysler to suck it up.

06/24, 6:14 PM

posted by:

global_lightning

Not sure what the impact is. I’ve never seen a government vehicle that wasn’t build by the Big 3, and the proceeds from used govt vehicle auctions goes back to the Treasury anyway. Maybe it’s a good time to pick up a used Ford Police Interceptor?

06/25, 3:09 AM

posted by:

KIB2

Great I hope the D3 federal over sight committee will get one. I didn’t know the Pontiac G6 made a Hybrid.
http://www.youtube.com/watch?v=NW9BOVL6bQM

 
 
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