It’s no secret that SUVs are taking up more and more space on the market, causing a consistent decline in car sales. Well aware of this trend, Cadillac is set to launch its new XT4 compact crossover at the end of the year. To make room for the XT4, Cadillac decided to axe the ATS sedan and bring back only the ATS coupe for 2019. The XT4, like many of its competitors, will be powered by a 2.0-liter turbocharged 4-cylinder engine coupled with a 9-speed automatic transmission. It’ll also feature a sporty suspension. Cadillac promises fuel consumption rates of 30 mpg, 25 mpg and 27 mpg, for city, country and combined driving, respectively.
Cadillac has also announced a seven-seat crossover for 2019 in addition to a new Escalade-type SUV (the Escalade itself will only be renewed in 2020).
The bottom line: with car sales on the decline, Cadillac is banking on crossovers and SUVs such as the XT4 to bolster its profits moving forward.