Holden Ute Not Coming Due To High Tarrifs

[William Maley]

William Maley

Staff Writer - CheersandGears.com

August 22, 2012

The dream of the Holden Ute coming to the states has made a resurgence when General Motors announced the Holden Commodore would be coming as the Chevrolet SS. Well, I hate to be the bearer of bad news to the small group who cling onto this dream, but the Ute will not be coming.

A report from the Herald Sun states that if Holden was to export the Ute to the U.S., the vehicle would fall under a light commercial tariff rate of 35%, three times higher than the tariff for passenger vehicles.

"We were hopeful at one stage, we thought we might be able to duck in under it, but it was ruled out. With the dollar where it is, exports can only be pursued that are niche ... and profitable in this environment," said Richard Phillips, Holden's executive director of manufacturing.

Source: Herald Sun

William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster.

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[riviera74]

That is disappointing. The only silver lining is that the Chevy SS and El Camino replacement are (or will be) built here in North America. Australia is great and all, but we need the jobs and work here.

[Drew Dowdell]

Not surprising for this generation.

[Robert Hall]

Funny that it would get a light truck tarrif...it's really a 2dr sedan w/ a large open trunk..

[z28luvr01]

I would have expected that the US-AU free trade agreement eliminated the tariff for Australian light trucks.

With the VF Commodore intro just a few months away, it's probably not worth the trouble of bringing it here now. I'd rather them spend the tooling up Oshawa to handle VF Ute production.

[Camino LS6]

Same old, same old.

I care less and less about new GM products every day, and the one that might change my mind never comes.

Edited August 22, 2012 by Camino LS6

[Blake Noble]

I don't think it's quite that one-sided, that cut and dry.

Personally, I'd keep an eye on Oshawa.

[Camino LS6]

It's that cut and dried for me.

If it ever does come to Oshawa, likely it will only be offered in a v6 automatic - they can keep it if that's the case.

[Drew Dowdell]

It's that cut and dried for me.

If it ever does come to Oshawa, likely it will only be offered in a v6 automatic - they can keep it if that's the case.

why would you make that assumption? If it came to Oshawa it would likely be because it is sharing with Camaro.

[Robert Hall]

It's obviously a vast conspiracy by GM to thwart Camino LS6's hopes and dreams.

Edited August 22, 2012 by Cubical-aka-Moltar

[A Horse With No Name]

It's obviously a vast conspiracy by GM to thwart Camino LS6's hopes and dreams.

A lot of us have had all kinds of hopes and dreams dashed by GM. conspiracy or not...

[hyperv6]

It's that cut and dried for me.

If it ever does come to Oshawa, likely it will only be offered in a v6 automatic - they can keep it if that's the case.

why would you make that assumption? If it came to Oshawa it would likely be because it is sharing with Camaro.

Not really.

The word I have picked up on goes as this. 2015 The Camaro is going Alpha and it will move to a new plant in Canada. It may be at Oshawa but not on the same line it is now.

Once that line is free'd up it would pick up the Caprice police cars due to the fact GM has had issues with many department not being able to buy an import police car. Also issues with value of the dollar etc. If moved to Canada the import issue is not in play as they are not considered imported if from NA.

They also may move the Super Sport here after a short import run. GM is also looking at the possibility to also do a V6 version here for Chevy too.

If they expand the old Camaro line for these models it would create the perfect place for this.

I had hope because of the small numbers they would have gotten a break on the tarrif but it was not to be. If the could do these in Canada there is no terrif and with the number of other VF based models being built it would make a low volume ute possible.

GM will not live or die with or without a ute but it would be nice to offer something no one else has.

But agai if the economy does not improve it could scuttle a lot of plans on a lot of things.

Edited August 23, 2012 by hyperv6

[Camino LS6]

It's that cut and dried for me.

If it ever does come to Oshawa, likely it will only be offered in a v6 automatic - they can keep it if that's the case.

why would you make that assumption? If it came to Oshawa it would likely be because it is sharing with Camaro.

Hyper has the right of this, it won't be sharing with Camaro. As for the rest, I expect that some asshat beancounter will decide that it only makes sense to sell it as a V6 automatic. It would be the crowning insult after all of the false starts this thing has had.

[SAmadei]

So, GM is not as clever as Ford or Subaru, both of which have skirted the chicken tax without trouble. Bolt seats in the bed and get it over with.

[Camino LS6]

So, GM is not as clever as Ford or Subaru, both of which have skirted the chicken tax without trouble. Bolt seats in the bed and get it over with.

Good point.

Also, why wasn't this an issue when the G8ST was approved?

Just more excuses from GM.

[FAPTurbo]

So people would have to buy a Ute with useless seats occupying the box. Then they'd have to remove the seats, remove the fixtures and buy a custom bed-liner that would accommodate for the modifications made? I guess a spray-on liner would be OK, but then wouldn't you have holes where the seat rail bolts are?

I'm sure there's a huge market for that.

[Intrepidation]

• Built a Ute
  
• Throw some seats in the bed while it's exiting the assembly line
  
• Ship to America Land
  
• ¿¿¿¿¿¿¿¿¿¿
  
• PROFIT! (but probably not)
  

[SAmadei]

So people would have to buy a Ute with useless seats occupying the box. Then they'd have to remove the seats, remove the fixtures and buy a custom bed-liner that would accommodate for the modifications made? I guess a spray-on liner would be OK, but then wouldn't you have holes where the seat rail bolts are?

I'm sure there's a huge market for that.

Yep, just like extra seats taking up the area in the back of the Transit Connect Cargo Van... They ship 'em over here full of seats as a "Passenger Vehicle" and remove the seats and interior behind the B pillar and send the seats back to Europe. If that is cost effective for the Transit Connect, it could work for the Holden Ute.

Wow, it would be SOOOO hard to put some sealant on some plastic plugs once the seats are removed. Geez.

[hyperv6]

Ford builds the Transit in Turkey. They put windows in the side and a seat in the back and make a truck a car. They then import it then trash the seat and the glass to make a truck. No Tarrif.

The issue is they sell a hell of a lot more Transits vs what they would utes. Also the fact is the seat in the back of the Transit meets safety standards where a seat in the back of a ute would requre a roll bar etc.

The point is you can fudge this only so far and not the ute.

I see no issue with a 320 plus V6 being offered as it would only increase the volume and keep a car like safe in production. As gas prices climb V8 sales and truck sales drop. The V6 could just keep a car line like this alive.

It is ok not to buy one but at least have the sense that it would increase volume at a low cost. The fact is even with police sales this car will never be over 50,000 units at best case.

[hyperv6]

So, GM is not as clever as Ford or Subaru, both of which have skirted the chicken tax without trouble. Bolt seats in the bed and get it over with.

Good point.

Also, why wasn't this an issue when the G8ST was approved?

Just more excuses from GM.

Different time and different place and much worse economy.

The fact is I think they are just waiting to move things here vs just doing it for one year down under. They have gone to the point to say they could even export models from Canada.

There is a lot more in play here.

Lets face it the Super Sport was delayed because of the engine and moved up a little because of NASCAR. GM has been walking a tight rope on getting things done with the coming and going of drivetrains and platforms.

[FAPTurbo]

The Transit Connect is designed to have seats right from the factory. The Ute isn't, meaning more money would have to be spent just developing a proper set of seats, safety equipment and an assembly process.

This is an already pricey vehicle and I doubt its target audience will spend north of 35K to buy it. And then even more cash to have the dealer take off the installed equipment.

Who really wants to buy a vehicle that needs to be 'fixed' when it's at the dealer? This isn't a question of beancounting. Nobody in any business would in their right mind allow this. Especially GM, which was bailed out and has a legion of naysayers out to find any excuse to chastise the company. Those people would have a field day.

[Intrepidation]

Right, I can't wait take home my brand new $35,00 pickem-up car and...take it apart.

...f@#k.

[Blake Noble]

Like I said, keep an eye on Oshawa and the VF program. Yes, we won't get the Ute as long as Australia is bulding the VF family of cars exclusively. But, if you backtrack a bit you'll notice that it's strongly hinted that some production of the VF cars will move out of Australia in the very near future. When that happens — when the Chevrolet SS moves to Oshawa, anyway — the chances of the Ute coming to America will increase.

I also find it interesting that, locally, the Kentucky State Police has begun to phase out their Crown Victorias in favor of the Caprice, with 125 units being purchased — 100 for use by the KSP and 25 for use by the Commerical Enforcement Division. It's my understanding that the KSP was actually considering holding out for the Taurus Interceptor because of the Caprice's Made-In-Australia origin. I have to wonder what changed their mind?

Edited August 23, 2012 by black-knight

[Camino LS6]

Whatever.

I think I'm just about done giving a damn.

[MisterMe]

Not to be the skunk at the picnic, but bringing a Ute to North America is an incredibly dumb idea. American's like trucks. If the truck has a crew cab and all-wheel drive, the better. It is not like Americans don't know what a ute is. The Chevrolet El Camino and the Ford Ranchero drove the American highway system for decades. They were marketed to people who needed utility, but did not want a drive something with the stigma of a farm or work vehicle.

Today, the world is upside down. Trucks today are cool. The bigger, the badder, the better. The most popular vehicle in the USA is the F-150 pickup truck. The Chevrolet Silverado is one of Chevrolet's top sellers.

It is interesting that to date, Ford has not seen fit to revive the Ranchero. Chevrolet has not seen fit to revive the El Camino. No major Japanese manufacturer, not Toyota, not Nissan, not Honda, not Mitsubishi has seen fit to jump into the ute business. The Koreans, the Germans, and the Italians have all chosen to stay on the sidelines.

Do ute fans know something that all of these manufacturers don't know? Its possible, but I don't think so.

[hyperv6]

Like I said, keep an eye on Oshawa and the VF program. Yes, we won't get the Ute as long as Australia is bulding the VF family of cars exclusively. But, if you backtrack a bit you'll notice that it's strongly hinted that some production of the VF cars will move out of Australia in the very near future. When that happens — when the Chevrolet SS moves to Oshawa, anyway — the chances of the Ute coming to America will increase.

I also find it interesting that, locally, the Kentucky State Police has begun to phase out their Crown Victorias in favor of the Caprice, with 125 units being purchased — 100 for use by the KSP and 25 for use by the Commerical Enforcement Division. It's my understanding that the KSP was actually considering holding out for the Taurus Interceptor because of the Caprice's Made-In-Australia origin. I have to wonder what changed their mind?

At least someone here has the right idea.

Price may have changed their minds. Cost of repair too since the other car is AWD in most cases.

Also we need to consider the fact that the new Colorado is coming and to intro both at the same time would more damage than good. The ute is a limited market to start with and to sell a small truck beside it for less would take away more sales.

The UTE is limited and will need all the sales they can. There are fans out there but even I would balk at $35K and if there was a crew cab small truck for less it would be hard for be to justify. I would end up paying alittle more and just by the sedan for the wife and a truck for me.

Moving to Canada would lower cost or at least I hope it would.

Edited August 23, 2012 by hyperv6

[z28luvr01]

As I thought, the tariff excuse was lame and not really true.

Taking emotion out of the picture, having the Ute here does make sense. GM could market it as more of a "lifestyle" vehicle - something to throw your bikes in for a weekend ride, or to help move your friend to his new apartment, or to handle the occasional Home Depot run, while givng you the comfort and economy of a car. The new Colorado is supposed to be bigger than the current truck, so there is breathing room for a true "light" "truck" that could serve as a CAFE mule.

That said, I still see the logic behind not going through the effort to send the VE Ute here at this point, though you could argue for sending a few here as a trial run to gauge interest. This generation has just about run its course. I agree with those who say keep an eye on Oshawa. I could see it turning into a North American export hub for VF cars - covering GMNA, Europe, and some of the ME while VFs produced in Australia are sent to the Far East, Africa, etc.

[Camino LS6]

Not to be the skunk at the picnic, but bringing a Ute to North America is an incredibly dumb idea. American's like trucks. If the truck has a crew cab and all-wheel drive, the better. It is not like Americans don't know what a ute is. The Chevrolet El Camino and the Ford Ranchero drove the American highway system for decades. They were marketed to people who needed utility, but did not want a drive something with the stigma of a farm or work vehicle.

Today, the world is upside down. Trucks today are cool. The bigger, the badder, the better. The most popular vehicle in the USA is the F-150 pickup truck. The Chevrolet Silverado is one of Chevrolet's top sellers.

It is interesting that to date, Ford has not seen fit to revive the Ranchero. Chevrolet has not seen fit to revive the El Camino. No major Japanese manufacturer, not Toyota, not Nissan, not Honda, not Mitsubishi has seen fit to jump into the ute business. The Koreans, the Germans, and the Italians have all chosen to stay on the sidelines.

Do ute fans know something that all of these manufacturers don't know? Its possible, but I don't think so.

You don't get it, and that's ok.

But you are mistaken when it comes to cause and effect, both the F-150 and the Chevy C/K trucks were top sellers all through the time that the El Camino and Ranchero were in production. Nothing has changed on that front.

GMNA would sell every last Ute that Holden could build without breaking a sweat, Holden's capacity limits production to about 5-10,000 units max. Selling that many El Caminos would be a walk in the park.

An El Camino is about want, not need.

[Camino LS6]

As I thought, the tariff excuse was lame and not really true.

Taking emotion out of the picture, having the Ute here does make sense. GM could market it as more of a "lifestyle" vehicle - something to throw your bikes in for a weekend ride, or to help move your friend to his new apartment, or to handle the occasional Home Depot run, while givng you the comfort and economy of a car. The new Colorado is supposed to be bigger than the current truck, so there is breathing room for a true "light" "truck" that could serve as a CAFE mule.

That said, I still see the logic behind not going through the effort to send the VE Ute here at this point, though you could argue for sending a few here as a trial run to gauge interest. This generation has just about run its course. I agree with those who say keep an eye on Oshawa. I could see it turning into a North American export hub for VF cars - covering GMNA, Europe, and some of the ME while VFs produced in Australia are sent to the Far East, Africa, etc.

OK, so the tariff story was a flat-out lie.

Isn't that nice?

[Z-06]

I find this entire Camino saga just ridiculous. The topic just does not culminate one way or another.

Either terminate the program or bring it. It has been close to 5 years of sitting on the pot with all that grunting.

[Camino LS6]

I find this entire Camino saga just ridiculous. The topic just does not culminate one way or another.

Either terminate the program or bring it. It has been close to 5 years of sitting on the pot with all that grunting.

Yep. Even longer depending upon where you start to count the years.

To have something like this in production and not offer it in your biggest market for so long while hinting about it over and over is the height of idiocy.

Think of all of those lost sales due to the dithering.

[Z-06]

Yes, if there is market then it will sell. And if it comes people will be happy.

If it does not come for CERTAIN, then there will be disappointments and people will move on. But keeping on purposely festering the wound brings no sympathy whatsoever.

[Camino LS6]

And now, we are almost at the end of the second generation of Ute that meets US spec without any imports actually taking place.

Such a waste.

[Camino LS6]

This is not a dream car, a show car made of vaporware, this is a vehicle that has been in production for decades.

We are not talking about the Cadillac Sixteen or Cien here.

[G. David Felt]

So lets take this to a marketing win for the US!

Holden VE Ute is sold as the NEW CHEVY El Camino Hybrid! AWD Hybrid drive train perfect for those weekend warriors who want to go up the mountain to hit it with their Dirt Bikes, weekend get away camping, haul the Home Depot flower bed supplies and yet still be more car like, easier to park and fit the City life style better than a brute full size Pickup Truck.

This way you have Green Credentials and a win win Life style marketing message.

[Robert Hall]

I could see a FWD 4cyl El Camino Eco based on the Sonic or Cruze more likely for NA than the Holden ute...that would fit a 'green' image...

[z28luvr01]

I know you're being facetious, but a 4cyl VF Ute could happen. GM has in the past consdiered dropping the LNF in the Camaro. HP/torque numbers for it are actually very similat to the non-DI 3.6L. The LNF's replacement (the Regal GS engine) should do pretty well in the VF cars and especially the lighter Ute. If they can get highway MPG figures well into the 30s, it could become a reality.

Things could get interesting if they continue with the LPG system they currently use and adapt it to the Ute. That would be a boon for government fleets. So would all electric and hybrid versions.

GM really should start thinking outside the box with the Ute/El Camino.

[G. David Felt]

I personally think the VOLT drive train could be used in 3 flavors running on CNG in the New El Camino.

You can have the Efficient VOLT El Camino as an entry level,

Have a VOLT El Camino LT model with a bigger electric motor system for a bit more performance at a little drop in range

Have a VOLT El Camino SS model with the focus being on performance but in a Hybrid design that still goes farther than a Nissan Leaf.

Have all of them run the Engine on Compressed Natural Gas and you end up with the Cleanest Hybrid around. Prius would have nothing on this baby.

[Camino LS6]

I know you're being facetious, but a 4cyl VF Ute could happen. GM has in the past consdiered dropping the LNF in the Camaro. HP/torque numbers for it are actually very similat to the non-DI 3.6L. The LNF's replacement (the Regal GS engine) should do pretty well in the VF cars and especially the lighter Ute. If they can get highway MPG figures well into the 30s, it could become a reality.

Things could get interesting if they continue with the LPG system they currently use and adapt it to the Ute. That would be a boon for government fleets. So would all electric and hybrid versions.

GM really should start thinking outside the box with the Ute/El Camino.

The CNG Ute is already on sale in Oz.

No adaptation required.

[Robert Hall]

The CNG Ute is already on sale in Oz.

No adaptation required.

An Aus CNG system probably wouldn't work in NA, though.

[Z-06]

The CNG Ute is already on sale in Oz.

No adaptation required.

An Aus CNG system probably wouldn't work in NA, though.

Why?

[Robert Hall]

The CNG Ute is already on sale in Oz.

No adaptation required.

An Aus CNG system probably wouldn't work in NA, though.

Why?

Would the fittings be compatible? Is the fuel compatible? Different countries, different markets..not to mention trying to get it certified by the EPA.

Edited August 23, 2012 by Cubical-aka-Moltar

[Camino LS6]

The CNG Ute is already on sale in Oz.

No adaptation required.

An Aus CNG system probably wouldn't work in NA, though.

Why?

Would the fittings be compatible? Is the fuel compatible? Different countries, different markets..not to mention trying to get it certified by the EPA.

CNG is simple and quite standardized, I really doubt that one single thing would have to be changed. As for the EPA, they will be a PITA no matter what car and what fuel we are talking about.

[Z-06]

The CNG Ute is already on sale in Oz.

No adaptation required.

An Aus CNG system probably wouldn't work in NA, though.

Why?

Would the fittings be compatible? Is the fuel compatible? Different countries, different markets..not to mention trying to get it certified by the EPA.

Is that your researched statement or matter of personal opinion regarding fitting and fuel compatibility?

As far as being certified by EPA does not mean not working of a system in NA.

[Robert Hall]

The CNG Ute is already on sale in Oz.

No adaptation required.

An Aus CNG system probably wouldn't work in NA, though.

Why?

Would the fittings be compatible? Is the fuel compatible? Different countries, different markets..not to mention trying to get it certified by the EPA.

Is that your researched statement or matter of personal opinion regarding fitting and fuel compatibility?

As far as being certified by EPA does not mean not working of a system in NA.

Just being skeptical. Stuff from one market rarely works in another market without changes.

[hyperv6]

Time to be realistic here. The Ute is going to be a very low volume niche vehicle. Even back in the day sales were small in the big picture. Today they have much more compitition from large and small trucks that are much more popular.

The Utes is a vehicle here in the states that appeals more to the kind of guy that would buy a Camaro vs a Silverado. They are more for the car guy that still wants to haul something.

The other issue is it will not be cheap or as cheap as the Colorado and will be priced even over some full size extended cabs. So it will take someone who really wants one of these to buy it when you can get more utility from a full size truck at a cheaper price.

Most people interested in these MPG is not a priority so I would 86 any idea of hybrids. It would only add more to the cost and push it to $40K.

As a past owner of such a vehiicle I loved it and would have kept owning one if they kept selling them. I love the car ride but the ability to plop a 428 Pontiac in the bed and move on down the road. But even then noted that most of the people who liked my car were auto enthisiast as most others had moved on to large and small trucks.

To look at this with emotion my heart says do it and do it today. If I take emotion out of it my brain says if you are going to do it do it right with the right expectations and equipment at the right price. If they release this at $40,000 and they sit on dealer lots it will be labeled as a fail and we may never see them do this again. I understand GM has greater issues at hand than to worry about a car that may only sell in numbers of 10K or less. At this point I am glad there are those still pushing for it. If it happens fine but at this point it is not a great loss if it fails to ever come about.

I think they would be better off doing this on a smaller Alpha and try to get the cost under $30K. Right now I think the price will kill it as for what it will cost you can buy a nice truck.

[Camino LS6]

35K is more than reasonable for a well-equipped V8 Ute, I'd happily pay that price.

Priced new full-size trucks lately?

35K doesn't buy much of a truck anymore.

That said, I think the sticker will start lower than 35k unless they only import loaded examples due to the low-volume.

I do agree with you about the hybrid idea, I don't think they'd even go with the CNG model since the numbers imported would have to remain low due to Holden's limited capacity.

No, I expect they'll import loaded, gas-powered, V8 examples if they import it at all.

Should production move to Oshawa, then all bets are off.

Then again, who knows what to expect after the lie about tariffs?

[Robert Hall]

Alas, $35k is about the entry point for anything interesting anymore...under that, and it's FWD appliances by and large.

[Camino LS6]

Alas, $35k is about the entry point for anything interesting anymore...under that, and it's FWD appliances by and large.

Quite true.

And sad.

[Blake Noble]

35K is more than reasonable for a well-equipped V8 Ute, I'd happily pay that price.

Priced new full-size trucks lately?

35K doesn't buy much of a truck anymore.

That said, I think the sticker will start lower than 35k unless they only import loaded examples due to the low-volume.

I do agree with you about the hybrid idea, I don't think they'd even go with the CNG model since the numbers imported would have to remain low due to Holden's limited capacity.

No, I expect they'll import loaded, gas-powered, V8 examples if they import it at all.

Should production move to Oshawa, then all bets are off.

Then again, who knows what to expect after the lie about tariffs?

I suspect the statements about tariffs barring the Ute from coming to the US in the future is little more than a ruse to try and shut down speculation, not only concerning the Ute, but the VF program and where it's going to wind up. GM isn't exactly hidden behind one-way glass and you know GM wants that to change.

The bottom line: the Ute has a good likelyhood of coming here. Happily, it's more of a matter of when, not so much if. There's a demand for the Ute here; although fairly small it's strong just the same. And with Akerson pushing for total decentralization, Australia, South Africa, the Middle East, and the UK probably won't be able to keep the Ute to themselves in the future. The Ute will have to journey to new markets, and since North America mostly has fond memories of the El Camino, it's a good fit for the corporate portfolio here. South America would also take to the Ute as well.

Edited August 24, 2012 by black-knight