Cadillac is a classic. But that doesn’t mean it’s not influenced by trends. With the boom in the SUV market, it will add an all-new crossover SUV for 2018.
The new SUV will slot below the XT5 in size and will likely go by the XT3. This is a great move in terms of pure logic. Right now the Cadillac lineup consists of only one SUV, one crossover, and four sedans. That’s a tough lineup in the current market with dropping sedan sales. By the numbers, total market sales are about 60 percent crossovers, SUVs, and trucks. Sedans and small cars make up the remaining 40 percent.
“It’s left us with the obvious difficulty. The core part of our volume lineup is in the market that’s contracting while we are unable, as good as XT5 and Escalade are, we are unable to fully exploit the updraft that’s taking place in the other half of the market,” says Johan de Nysschen, Cadillac President.
Cadillac’s current smallest SUV is the XT5. It arrived back in 2015. Cadillac began spreading word of expanding its crossover offerings that same year. It’s reworked lineup will include 3 new crossovers by 2020. Meaning the XT3 has at least two siblings in the works. The first will likely be a bigger model falling between the XT5 and Escalade.
2018 clearly is looking to be big for Cadillac. It will be launching a new vehicle every six months starting mid-2018 and running into early 2021. In January 2015, the company estimated investing $12 billion dollars into the brand to make it happen.
The sedans are also reaching the end of their generations. All are looking to get a redesigning or freshening by 2020 too. Cadillac hopes to further distinguish the models from one another to make the choices more clear. XTS sedan will go first with plans for a freshening later this year.
“That should put us in the strong position, whether the market continues to favor crossover, we have them. If it rebounds back into sedans, we have them. We’ll be in a far better balanced position,” says Nysschen.
In line with the Trump talks, the new model should be built in the Fairfax Assembly Plant in Kansas City, Kansas.
Nysschen says the company hopes to reach sales in the 200,000 in the U.S. once the new lineup gets going. Last year the company sold just over 170k units.
The new XT3 will make its debut this year and go on sale in 2018.
Photo Credit: CadillacTags: cadillac suv