Cadillac's Future Product Portfolio Hinges on Hybrids

Cadillac is planning to roll out hybrid versions of many of the vehicles in its lineup in the next six years, from the CTS to the BRX CUV, industry supplier sources tell Inside Line.

One source close to the Cadillac hybrid strategy tells IL that the move toward offering luxury vehicles with a two-mode hybrid system makes sense for a number of practical and philosophical reasons. First, the hybrid option is expensive and Cadillac buyers can afford it. Also, Cadillac doesn't want to be seen as socially inept next to Japanese competitors like Lexus and is under the gun to roll out hybrid variants in a hurry.

GM currently is working on hybrids for the following engine displacements: a 2.4-liter four-cylinder; 3.6-liter and 3.9-liter V6s; 5.3-liter, 6.0-liter and 6.2-liter V8s.

Sources tell us that Cadillac's first hybrid, a two-mode system that increases hybrid fuel savings by efficiently adjusting to different engine speeds, will be the 2009 Cadillac Escalade. The entry-level CTS will likely get a 3.6-liter V6 hybrid in 2010. The new Cadillac DTS, which is on the books for model-year 2011 as a replacement for the DTS and STS, may get a 5.3-liter hybrid V8 as early as 2012.

Sources say the Cadillac BLS, which moves to the rear-wheel-drive Alpha platform in model-year 2012, is scheduled for a 3.6-liter V6 hybrid in 2013. The Cadillac BRX, a small CUV off the TE platform, will roll out in model-year 2010 and will likely get a 3.6-liter V6 hybrid variant in 2011.

John Howell, Cadillac's product chief, told Bloomberg News on Tuesday that the luxury division is considering hybrid versions of all its models as U.S. gas prices hover near $3 a gallon.