Later this year, the redesigned and re-engineered heavy-duty pickups from General Motors, Ford, and Chrysler will be arriving. Due to the more stringent fuel-economy rules, the Detroit 3 have designed these upcoming pickups to have more power, increased towing capacity and improved fuel economy. The timing isn't exactly perfect since the recession continues to affect commercial real estate.
The housing industry remains in a slump and orders from building contractors have yet to gain momentum.
Nevertheless, the Detroit 3 believe that buyers who plan to use the pickup for personal use would pick up the slack and would account for a larger share of the sales.
To appeal to these buyers, which include boat owners, the carmakers have designed the new pickups to have more amenities.
The models that are bound to compete against each other are the following: the Ford Super Duty 250, 350 and 450; Ram 2500 and 3500; and Chevrolet Silverado and GMC Sierra 2500 and 3500 models.
All these models combined result to an estimated 300,000 annual sales, comprising about 29% of the Detroit 3's total full-sized pickup sales. Notably, Toyota and Nissan do not carry heavy-duty pickups in its lineup.
John Wolkonowicz, an analyst at IHS Global Insight, said that heavy-duty pickups "are among the crown jewels" in the domestic auto industry. In his estimation, heavy-duty pickup sales deliver 20 to 25% of annual profits at Chrysler, Ford and GM. [via autonews]