Too early to write-off Cadillac | Opinion
By Stephen Ottley · 23 Dec 2025
General Motors is determined to make a go of it in Australia in the post-Holden world.Sure, it’s no longer a big volume brand, but the American automotive juggernaut has invested in a long-term future in Australia, introducing multiple brands that it believes can make a good return on the significant investment.Up until 2025 the General Motors Australia charge had been led by Chevrolet and its polar-opposite duo — the Silverado pickup truck and Corvette sports car. But things changed dramatically in the past 12 months, with not only the arrival of GMC but also Cadillac, the historic luxury brand that has big global aspirations.In December 2024 we questioned whether this past year would justify GM’s decision to ditch the Holden/mass-market model and switch to the more niche, high-profit business, with both factory-produced (Corvette and Cadillac) as well as locally-converted (Silverado and GMC) vehicles.On the surface, things don’t look good. Sales were down for the brand overall and the Silverado continues to slide backwards as the ‘US ute’ market continues to look uncertain.But when you look at things more closely, there are reasons for optimism, even if it is the long-term future, rather than a sudden turnaround in 2026.GM expanded the Corvette range in late ‘24, adding the hybrid E-Ray and track-focused Z06, but overall sales of the model were down dramatically as prices increased and the limited market for such sports cars hit home.But the Corvette is a halo model for the brand, not its volume seller. That title belongs to the Silverado pickup and the news was more positive on that front.GM still managed to sell more than 2000 examples of the standard model and another 1500 odd of the Silverado HD. But the Silverado was still out-sold by the Ram 1500, despite the Ram introducing a new model with a six-cylinder engine and leaving Chevy as the solo V8 in the market.Of more concern is the entire US ute segment remains in decline, which is not a good sign for the long-term and amid the increased competition from Ford and Toyota. It seems that there is only so much demand for these $100k and up pickup trucks and we may have already reached the peak.The GMC Yukon Denali is a very niche product, only appealing to a limited audience that wants a high-cost, premium upper-large SUV, but brought diversity to the range. And having said it is niche, its sales are actually off to a good start, averaging around 40 units per month. That may not sound like a sales success story, but given this is a $175k SUV, that’s actually a result GM is likely very happy with.Which brings us to the biggest question mark that hangs over the head of GM Australia - Cadillac.It remains the biggest mystery but also its potential saviour. If the expanded line-up due in 2026 can find an audience - which is a big ‘if’ - then it has potential to grow as the luxury electric vehicle market expands.But there is no sign of that happening anytime soon. Electric vehicle sales remain steady, with no major growth in ‘25, and instead the hype is centred around plug-in hybrids for this moment in time.In many respects it’s a shame it has arrived at this moment in time, when interest in EVs has waxed and waned. Cadillac was sadly one of the big-name brands that made a bold commitment to electrification, only for the market to cool off dramatically on the transition. Several other brands have managed to carefully backflip out of that predicament, but Cadillac, like Jaguar, is set on its path for the foreseeable future.Discounts only months after going on sale was not a good message to send the market but there was always a sense that ‘25 was about establishing the brand in Australia, so sales were a secondary concern.GM Australia management did make a definitive call not to publish sales results, knowing that they would likely be small in these early days, so it’s clear they are aiming to play a long-term strategy.There will be a dramatic expansion in 2026, with the sporty Lyriq-V arriving as well as the smaller Optiq and larger Vistiq backing up the mid-size Lyriq. And, of course, there is the American brand’s entrance into the world of Formula 1, which is enjoying a popularity boom and might help spark interest in Cadillac amid the ‘new money’ types that are embracing the sport.
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