GM closing Wisconsin SUV plant early, doors closed by end of year
General Motors has announced that it wil close its SUV plant in Janesville, Wisconsin by the end of this year in response to the woeful market for utility vehicles. The plant produces the GMC Yukon and Chevy Suburban and employs 1,200 UAW workers. GM was originally planning to shutter the plant sometime before 2010, but deteriorating market conditions have expedited the plant's demise. The news comes only one week after the General announced that it would be closing its Moraine, OH SUV plant early, as well.
Some analysts think GM could pull the plug on its Oshawa truck plant and Mexico facility in Toluca early too since truck sales are down as well, as GM has already announced that those plants are slated for closure. GM top dog Rick Wagoner stated last week that some stamping facilities could also face closure to help align production capabilities to demand.
[Source: CNN Money]
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Reader Comments (Page 1 of 2)
hatchbacks are cool 2:17PM (10/13/2008)
There is no need for the job loss just retool it for making small cars .
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Ayatollah Rodriguez 2:22PM (10/13/2008)
Who says small Cars will sell? Look at Astra, small, cool..it doesnt sell, Aveo, Cobalt may sell but with discounts.
Small car and midsize cars are the weakest segments domestics are in, GM does make good SUVs that can compete with Toyota, GM makes better pick ups than Toyota. But when it comes to small cars GM is simply a non competitive automakes.
Civic is easily a full generation ahead of Cobalt.
Flashpoint 2:20PM (10/13/2008)
#1 Every plant closure, job lost, and dip in the DOW JONES only helps Obama just a tad bit more.
#2 The day of the full sized SUV is OVER. GM needs to retool to produce the Acadia, the Trailblazer and every other mid sized SUV or Crossover.
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Ayatollah Rodriguez 2:23PM (10/13/2008)
But Acadia doesn't sell well either.
fixitfixitstop 2:33PM (10/13/2008)
I disagree that full-SUVs are done for. I DO think that market has shrunk, but let's be realistic: The Suburban did fine in the 70s and 80s and there will always be a need for a big SUV which can pull a heavy trailer.
Pat 2:35PM (10/13/2008)
And the Moraine plant made the Trailblazer. Those are going away.
Ayatollah Rodriguez 2:58PM (10/13/2008)
I agree with Fixitfixit, i think they will come back BIG TIME, and sooner than most people think. Oil is already way down, once the economy improves, say in 2010 people will go back to those trucks. All GM and others need to do is make them a bit more efficient. I think that very same Yukon will sell very well if it will get 5-6 more MPG. Same with Hummer, theres no need to sell it.
As I said before GM does make decent SUVs that people want, they just need to make them more efficient.
The Luigiian 2:23PM (10/13/2008)
I would be more willing to support American taxpayer funds going to GM if it would close its Mexican plants before closing its American plants. It's irritating to see U.S. money going to the Detroit Three when they won't even keep our workers at a job, but they'll keep jobs in Toluca producing the same automobile.
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Eric Liberatore 2:29PM (10/13/2008)
Are the unions in Mexico?
The Luigiian 2:34PM (10/13/2008)
Is GM asking for $25 billion from Mexico?
elprogramer 6:49PM (10/13/2008)
They are closing their plants in Mexico, one of them was announced to be closed with Janesville.
And yes, there are unions down there, but not really.
MJL 2:31PM (10/13/2008)
Why are the trucks all in reverse?
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fixitfixitstop 2:34PM (10/13/2008)
They're not in reverse. They are testing the bulbs in this photo.
MajorGeek 3:04PM (10/13/2008)
I hear even immigration from Mexico is down now. I think if you read everyones comments, everyone is right. Nothing is selling across the board. People are being told the sky is falling 24 hours a day, I have the news on now. Every story is about how bad the economy is while they interview a couple of stores including a Halloween shop talking about how good business is and how cheap gas is at the same time a story has a person talking about how gas prices will make everything more expensive. Its nuts to listen to it, no wonder so many people are confused.
Screw it, im spending like crazy, if everyone would join me, we would be ok, otherwise most people wont last a month on their "savings" if a recession hits.
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The Luigiian 3:44PM (10/13/2008)
I would spend like you did, if I could afford a Dodge Challenger, a Hummer, and the gas to keep them both on the road.
And no, peoples' savings won't last a month if recession hits, that's why they're not spending like crazy.
MajorGeek 3:49PM (10/13/2008)
I dont get it, so they are broke within a week anyway, so you dont spend and lead us into the recession you wanted to avoid by not spending... Mmmmk. Seems like the best way to stave off a recession is to at least go out to dinner, see a show, but a new outfit, etc. not save that 20 bucks a week. Think about it.
tanooki2003 4:11PM (10/13/2008)
Dude you don't blow your money carelessly in event of a recession.
The smart budget conscious person does not go out and blow their entire savings on stuff that they do not need, sending them to the poor house, all in the name of "saving the economy". This is certainly not the time to act like a child at toys-r-us with a million dollars or an unlimited budget.
That is just not smart thinking at all. That's similar to how Wall Street got into the mess they are in now.
Conserve you money and be wise about how you spend it.
MajorGeek 4:28PM (10/13/2008)
Tanook, you missed one thing. I said 20 bucks a week or so. People tighten up and spend nothing that contributes to going to a recession. Im quite aware, as a responsible person, how we got here with people taking on mortgages they could not afford and credit cards bills they can't pay. I was just offered a mortage that had a monthly payment of what I make in a month. This was just a few months ago. What did i do? Took out a mortgage I could afford. Im just saying 20,30,40 bucks a week aint gonna hurt much but help a lot.
Travis 5:20PM (10/13/2008)
and *this* is why we're in such a sh!tty position - people think it's patriotic to spend money they don't have, run up huge debts, don't save, and bitch and moan about paying taxes. guess what, some people in this country *are* in a position to last more than 2 weeks if a recession/depression hits, and it's because they didn't go out and buy SUVs for more than they could afford, and roll previous car loans over into the next loan, etc.
It's shocking that people who save are suddenly "unpatriotic"...
Dustin 3:26PM (10/13/2008)
My family in Massena, NY had best be looking for new jobs if they haven't already...
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