General Motors has purchased 50 percent of VM Motori from Penske Corp., who will continue to own the other half of the Italian diesel manufacturer. According to Bob Lutz, GM is planning to use VM Motori’s all-new 2.9 liter V6 diesel engine in European versions of the Cadillac CTS in 2009 with North American sales shortly thereafter.
The move provides GM with a firm grip on the world diesel market. Previously, GM had used VM Motori for diesel engines in the European Opel/Vauxhall Frontera SUV, which was essentially a re-badged Isuzu Rodeo.
Until recently, DaimlerChrysler had a 49 percent share of VM Motori; Penske bought that back earlier this year and sold it, as well as an additional 1 percent, to GM. DaimlerChrysler’s interest in VM Motori had been in diesel engines for the Jeep Liberty/Cherokee SUV.
GM is expecting a significant world-wide growth in emissions-friendly diesel engines. In the early part of the decade, GM partnered with Fiat Auto to create diesel engines. Despite the demise of various GM-Fiat alliances, GM was able to retain half-intellectual property of 1.3 and 1.9-liter engines and half of a Polish plant, which produces the 1.3-liter diesels.
GM’s share in VM Motori will provide access to – and development of – larger diesels aimed at the North American, Chinese, Indian and Russian markets.
VM Motori is based in Cento, Italy, in the Reggio Emilia region – also home to Ferrari and Maserati, among others. Among other diesels, VM produces the engines for London-style taxicabs.
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07/17, 8:06 AM
posted by:
Culley
Hmmmmmmm… The story previous to this one talks about JD Power’s finding that Hybrid demand is on the wane and that the interest in diesel power has doubled…and now GM owns 50% of one of the preeminent diesel makers in the world, (along with Roger Penske who does everything well) plus the intellectual property of two brand new diesel engines in Europe as well as half of the manufacturing facility in Poland that builds those engines…from the failed Fiat JV. Sounds like GM is out in front on an emerging trend. I am curious to see how the GM Bashers deal with this info.
07/17, 8:13 AM
posted by:
Culley
And I almost forgot… The Chevrolet VOLT, series hybrid, the only type of hybrid that actually has a viable future, is scheduled for a 2010-2011 launch.
07/17, 8:23 AM
posted by:
Piablo
Culley – Curious indeed! Maybe GM used some of the money that “Big OIL” paid them for destroying the electric car to buy into VM Motori… I love conspiracy theories. This is actually really good news. I for one really don’t care for battery powered hybrids. I wouldn’t buy a diesel hyrbid either. It’s the 1/2Ton of batteries I don’t like. But a straight up diesel stuffed into a homegrown GM product? They just might win me back as a customer. If these new diesels run anything like their 4.3L V6, I’ll buy one in a heart beat.
07/17, 8:29 AM
posted by:
Syrax
why is the volt the only hybrid with a viable future?
07/17, 8:36 AM
posted by:
Z06ified
Probably a good idea, but I’m perplexed as to why GM doesn’t leverage off of their existing relationship with Isuzu with the Duramax program, or use their own diesel engineers like they are with their 4.5L V-8 diesel.
I just haven’t heard wonderful things about VM Motori engines so far. Like the one put in the Jeep Liberty CRD was relatively noisy for a modern diesel and didn’t meet 50-state emissions standards – nothing special about it.
07/17, 8:39 AM
posted by:
Z06ified
Technically, the Volt isn’t considered a hybrid. GM is calling it a plug-in electric with a range enhancing internal combustion engine. Since the internal combustion engine never drives the wheels directly through a transmission (it will only generate electricity for the electric motors), it isn’t a hybrid powertrain.
07/17, 8:47 AM
posted by:
Culley
Syrax…
The VOLT isn’t the only hybrid with a viable future, but the technology behind it is. Current hybrid’s don’t provide the type of fuel economy savings that are being advertised…Honda is getting ready to deal with a class action suit over that very issue with the Accord Hybrid. Series Hybrid is truly electric and depending on how far you drive, etc., you could conceivably never even use any fuel if you plug it in at home every night, (although unlikely) the little engine on board is strictly to charge the batteries. In a few years, that engine could be bio-diesel or eventually hydrogen fuel cell and the need for petroleum is potentially reduced to ZERO.
07/17, 8:47 AM
posted by:
TURKISH
because its a series hybrid
07/17, 10:56 AM
posted by:
jJayC08
I will wait to see it happen, though I may be waiting for a while.
Why don’t they use Isuzu, or DMAX which they own a majority of now (they make the Duramax engines in the Ohio plant)? I would love to see them put a 6 cylinder diesel engine into the Colorado (no matter how much I hate that vehicle it would be a nice venture for GM) or GMC Acadia.
07/17, 11:25 AM
posted by:
Bryce
GMICT engines are focused on the commercial market. Those powerplants are too large and too powerful for car use. I don’t know Isuzu’s capacity for producing light diesel engines, but I have no doubt that GM beancounters considered it before buying half of a company. GM trucks are profitable. Building a plant in Ohio to produce engines for those trucks probably made a lot of sense. Doing the same for unprofitable vehicles probably doesn’t. Especially not if infrastructure is already available.
07/17, 2:03 PM
posted by:
AMGoff
This is very good news indeed. I wonder how the domestophobes will try to spin this against the General?
07/17, 2:43 PM
posted by:
rey323
I like GMs positioning for the future: serial hybrids and diesel power.
07/17, 4:32 PM
posted by:
Jazz
About time the General made a move that I could get totally behind. Way to go GM!
07/17, 6:55 PM
posted by:
1c3d0g
Great news! Diesel engines are going to be powering many more vehicles in the future, it’s inevitable. Hybrids suck.
07/17, 7:36 PM
posted by:
Hidden_Hunter
Hopefully we see the motor in the commodore (g8)
07/17, 8:01 PM
posted by:
youngm7
i’m lovin the hybrid hating
07/18, 3:58 AM
posted by:
spud
Lets hope they get it right this time. The major weak point in my Saab 95 Diesel is it’s damn GM sourced engine. Slow, unreliable, noisy pos…
07/19, 11:40 PM
posted by:
Burmanesski
spud, its not that its just your Saab is crap. GM motors have always been the winner in most races. If you have ever seen the NASCAR top ten final resualts it is usally Chevy, Chevy, Ford, Chevy, Toyota, Dodge, Chevy, Chevy, Chevy, Toyota. Also my Camaro make a lot of noise but lots of power to back that up.
07/21, 10:18 AM
posted by:
BLISS
THATS A GOOD MOVE