Cadillac is going to dial back production of the Cadillac CTS as sales have tanked thanks to the arrival of the ATS.
The 2013 Cadillac ATS officially arrived in Cadillac showrooms in September and even though Cadillac wants the ATS to steal would be BMW 3 Series buyers, the new sedan is also taking buyers from the larger Cadillac CTS. Sales of the older CTS have tanked since the arrival of the ATS with sales declining 40 percent in October.
Since the CTS is one of the most cross-shopped vehicles among potential ATS buyers, its not surprising that buyers are choosing the newer ATS. A new CTS is expected to arrive until late 2013, so in the meantime Cadillac is going to dial back CTS production. Slowing production of the CTS will prevent the CTS from overloading showrooms and also prevent GM from having to take on large incentives to move them.
When the next CTS arrives, it will be longer and pricier to create more separation between the ATS and CTS models. The next CTS will positioned as a BMW 5 Series competitor.