The Cadillac, code-named XTS, is expected in 2011 and will replace the front-drive DTS and rear-drive STS, the sources say. The X in the code-name suggests that all-wheel drive will be optional or standard.
The car is part of an emerging strategy for Cadillac that mirrors BMW's three-car lineup of small, medium, and large. The CTS would be the medium-size car, and a new small Cadillac also is expected in 2011, sources say.
GM has made little secret of the new flagship, showing a drawing of the concept to dealers at a meeting last month in Detroit. Details are emerging about its platform and production site.
The new flagship may be assembled at GM's Oshawa, Ontario, plant, the Canadian Auto Workers union says.
GM told the CAW last month that the Oshawa plant will be getting two new midsize sedans, says Chris Buckley, CAW Local 222 president.
While the specific models were not revealed to the CAW local, "there is a very real possibility that a Cadillac will be built in the city of Oshawa," Buckley says.
Oshawa will produce a hybrid, short-wheelbase sedan in the first quarter of 2011, and a long-wheelbase sedan will go into production in 2013, said Jennifer Wright, a GM Canada spokeswoman. She declined to reveal the brand of the new models.
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