Why is GM shutting down production?

With high inventory and stable demand, GM is shutting down one of its pickup truck plants to prevent overproduction. Ford has voluntarily stopped assembly of its EV pickup, the F-150 Lightning, following a random vehicle fire at its production facility in Michigan.

Why are GM plants closing?

General Motors, parent company of Chevrolet, GMC, Cadillac, and Buick, said it was temporarily halting production at six of its North American factories as a result of the global chip shortage. It's the latest major automaker to be affected by the tight supply of essential computer chips.

Is GM shutting down due to chip shortage?

GM said this is the first shutdown of truck production since August 2021, when the company was hobbled by a chip shortage. “Overall, we have seen better consistency in semiconductor supply through the first quarter compared to last year as a whole,” a GM spokesman told Barron's in an emailed statement.

How many GM plants are closing?

General Motors (GM) recently announced plans to realign its manufacturing capacity, reduce its salaried workforce by 15 percent and close five plants in North America.

Why did Ford stop making trucks?

Ford Motor recently ran into a battery issue with its popular, all-electric F-150 Lightning pickup truck, prompting it to stop production. Investors just found out the halt will last until the end of next week, at least. Ford (ticker: F) stopped production of the truck on Feb.

The Real Reason GM Just SHUT DOWN Pick Up Production

How many Chevy trucks are waiting for chips?

In early July, GM revealed that it was sitting on roughly 95,000 incomplete vehicles as a result of its 'build shy' strategy, which has carried the automaker through the global microchip shortage.

Are there still trucks waiting for chips?

The first stockpile made headlines in May 2021, and while Ford eventually completed those and delivered them to customers a few months later, a new batch replaced them in September 2022. Now that hoard is gone, too, as the automaker transitions to the 2023 model year.

Is Buick closing down?

Buick, the company, effectively ceased to be an automobile manufacturer after 2010, when General Motors shut down its vast “Buick City” manufacturing complex in Flint, Mich. Buick City, once the largest auto factory in the world, had for more than a century produced purebred Buick vehicles, parts and powertrains.

How many GM plants are in China?

(SAIC-GM) is a joint venture between General Motors and SAIC that was established on June 12, 1997. SAIC-GM has four major manufacturing bases – Jinqiao in Shanghai, Dong Yue in Yantai, Norsom in Shenyang and Wuhan – with eight vehicle plants and four powertrain plants.

What is the largest GM plant in the US?

Spring Hill Manufacturing is the largest GM facility in North America.

How many vehicles does GM have waiting for chips?

General Motors reportedly worked through three quarters of its backlog of 95,000 cars and trucks awaiting chips in the third quarter of 2022, while Ford moved in the opposite direction.

Is GM back to full production?

GM working to ease bottlenecks, near 100% production in 2023.

How serious is chip shortage?

Automotive manufacturers are still dealing with the effects of the microchip shortage that began in 2020. Sam Fiorani, vice president of global vehicle forecasting at AutoForecast Solutions, told reporters that he believes the industry will see 2-3 million units cut from production in 2023.

Why is GM in trouble?

General Motors has been hit hard by inflation and the rising cost of raw materials, which compressed profit margins and forced the company to increase the price of its vehicles. Add to that the ongoing threat of supply chain disruptions caused by a global semiconductor (a.k.a. "chip") shortage.

Is Ford shutting down their factories?

DEARBORN, MI—Difficulties in obtaining semiconductor chips will prompt Ford Motor Co. to temporarily halt or scale back production at eight assembly plants in North America. Ford is stopping production at its Chicago Assembly plant, which builds Ford Explorer and Lincoln Aviator SUVs.

Is GM going back to work?

GM unveils January 2023 return to office plan

The move comes after earlier plans to have staff return to the office before the end of the year were met with stiff opposition. The company said that after the change in January, the vast majority of workers would be in the office at least part of the time.

Why did GM not sell Pontiac?

Facing financial problems and restructuring efforts, GM announced during the 2008 financial crash that it would discontinue the Pontiac brand by the end of 2010, as was the case with Oldsmobile in 2004. The last Pontiac-badged cars were built in December 2009, with one final vehicle assembled in January 2010.

Why is GM buying out Buick franchises?

General Motors Co. will offer buyouts to U.S. Buick dealers as an alternative for franchise owners who don't want to make investments that will be needed as the brand goes all-electric, an executive said.

Is GM getting rid of dealers?

Sept 2 (Reuters) - General Motors Co (GM. N) said Friday it will offer all of its estimated 2,000 U.S. Buick franchise dealers buyouts as it moves to make the brand all-electric by 2030 in the United States.

Should I buy a car now or wait until 2023?

Americans planning to shop for a new car in 2023 might find slightly better prices than during the past two years, though auto industry analysts say it is likely better to wait until the fall. Since mid-2021, car buyers have been frustrated by rising prices, skimpy selection and long waits for deliveries.

Is GM selling trucks without chips?

General Motors made a similar compromise last year and shipped some Chevrolet Silverado and GMC Sierra pickups without the carmaker's “Active Fuel Management” technology. The feature on those vehicles is designed boost fuel efficiency by up to 12 percent, according to GM.

What happened to Ford trucks at Kentucky Speedway?

Ford is using the inactive Kentucky Speedway as a storage facility. And you can see the trucks in the parking lots surrounding the speedway from space.