Automotive News reports that General Motors may slash production or ramp up discounts in order to deal with an oversupply of pickup trucks. GM currently has more than double the standard supply of pickups, and the vehicles are threatening to dampen the automaker's profits for 2013. Typically, automakers try to sustain a 60- to 75-day supply of vehicles, but GM is currently loaded with a 139-day supply, as of last month. At the end of November, the automaker was sitting on 245,853 units.

The manufacturer says that it will adjust production accordingly before laying any incentives on the profitable pickups. Even so, there's some concern that the inventory swell could hurt the roll-out of the next-generation Chevrolet Silverado and GMC Sierra. GM actually began slowly stepping back production in August, but it's clear the company will take further action as it heads toward the end of the year and into the next. Analysts predict the automaker could reduce pickup manufacturing by nearly half in the first quarter of 2013.

That still may not be enough to keep GM from laying extra cash on the Silverado and GMC Sierra. While the company's incentive spending was down in November compared to the same month in 2011, both the Ram 1500 and Ford F-150 saw double-digit percentage increases in sales last month while the Silverado and Sierra numbers slid compared to a year prior. Incentive spending could help move more trucks and add some balance to the GM inventory surge.


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  • 96 Comments
      • 2 Years Ago
      [blocked]
        richard
        • 2 Years Ago
        If I`m not mistaken, you apparently don`t like General Motors. Step away from the Faux news, goofball.
          MAX
          • 2 Years Ago
          @richard
          All the Romneybots and baggers are still bitter and take it out on GM while ignoring that JapanInc is also government motors and so is Hyundai, VW, Kia, Volvo, Renault and others.
        mbukukanyau
        • 2 Years Ago
        Worthless trucks on the lot? Go try get one for free.
        Alfonso T. Alvarez
        • 2 Years Ago
        Um, you are really clueless about pickup trucks (in addition to every other vehicle type) and it shows!
        hans
        • 2 Years Ago
        isn't that what they do with basically every car they build other than a few expensive ones? they sometimes build a class leading product like the ATS / CTS and then its some low volume car and then years later they decide they didn't use the platform enough and it cost too much so they stop r&d on it. all the normal cars they spend 5 years trying to catch up to whatever the class leader had 5 years ago and they are always behind
      • 2 Years Ago
      [blocked]
        richard
        • 2 Years Ago
        over9000 - -good luck in kindergarten this year.
        Walt
        • 2 Years Ago
        So then tell me, what's Toyota's and Honda's excuse? Honda was the most recalled vehicle in 2011, with Toyota taking the most vehicles recalled in each of the preceding years. Toyota will most likely capture the most recalled crown again in 2012. Funny there is never much aghast when it's the Asian brands drop the ball, don't you think? In fact the usual scenario is for Asian fan boys to come back at a later date and try to say the defects weren't really defects at all, like in the case of Toyota sudden acceleration.
          • 2 Years Ago
          @Walt
          [blocked]
          Mike
          • 2 Years Ago
          @Walt
          Wheres your Proof on that? Fords is the #1 nameplate in the US and GM sells the most cars.
          • 2 Years Ago
          @Walt
          [blocked]
          hans
          • 2 Years Ago
          @Walt
          i think the main difference is, a recall for your engine catching on fire 3-4 times on the escape is a lot worse than your typical recall . if your car say gets condensation in a headlight or a minor recall, its not the same as "engine fire"
        Making11s
        • 2 Years Ago
        The world would be a much better place if this kind of willful ignorance caused physical pain.
      JCamalari
      • 2 Years Ago
      Um, Ha ha. Need to keep those one-trick pony UAW folk working.
        richard
        • 2 Years Ago
        @JCamalari
        Still jealous that they make more money than you, huh Jcam?
        icemilkcoffee
        • 2 Years Ago
        @JCamalari
        Well at least somebody is working. How's Burger King treating you?
          • 2 Years Ago
          @icemilkcoffee
          [blocked]
      montysnowgoer
      • 2 Years Ago
      Afriend of works for GM and purchased a new Chevy diesel truck to haul his horse trailer.The truck did not have the power to haul up hill so he traded the truck for a Ram .That Ram did the job.
        richard
        • 2 Years Ago
        @montysnowgoer
        Oh yeah, we believe you monty, BWAAHAHAHAHA.....
        Camaroman101
        • 2 Years Ago
        @montysnowgoer
        dirty dirty lies
        ابوذر ڀرڳڙي
        • 2 Years Ago
        @montysnowgoer
        My Miata could pull a horse trailer uphill. Seriously though, I doubt any modern pickup on the market would have trouble puling a horse trailer. They're all very capable trucks these days.
        onewayroll
        • 2 Years Ago
        @montysnowgoer
        That's what he get's for buying a 1985 Chev, cause it sure as hell wasn't a Duramax.
      Jeremy Pennini
      • 2 Years Ago
      Automotive journo's have this reaction every time GM, Ford or Dodge come out with a new Truck. "OMG, they have too many trucks!" They build up inventory for the change over, which takes 4-6 weeks. GM generally keeps about 100 days worth of trucks on hand. This is a non-issue.
        EB110Americana
        • 2 Years Ago
        @Jeremy Pennini
        I was thinking exactly the same thing. The extra inventory is there to hold them over until manufacturing goes back online with the new trucks.
        Nemebean
        • 2 Years Ago
        @Jeremy Pennini
        I could swear I saw a post on AB a while back that explicitly stated GM was going to build up a surplus of trucks to hold them over during the transition. One hand doesn't know what the other is doing, apparently.
      Antonio
      • 2 Years Ago
      The article failed to mention that Ford and Ram offered big incentives to push their trucks while GM did not offer huge incentives. Ram alone offered nearly $5000 in incentives to sell their trucks. If you going to tell a story, give the entire story and not just bits and pieces.
        Dean Hammond
        • 2 Years Ago
        @Antonio
        actuallt Ford , relatively speaking has kept incentives in check....
        Sheldon
        • 2 Years Ago
        @Antonio
        What's funny is that the exact opposite of what you imply, actually happened. Ford kept incentives flat, while both GM and Ram increased their incentives.
        Aaron
        • 2 Years Ago
        @Antonio
        Chevrolet has been advertising up to $9000 off Silverados ..at least in North Carolina anyways. Incentives aside, the Silverado is uncompetitive with Ram and the F150. Interior looks like its from a 2004 Buick and the outside looks very dated. It's still a great truck but I would have a very hard time choosing a Silverado over a F150 or Ram.
          kingrat001
          • 2 Years Ago
          @Aaron
          My friend has had nothing but Chevy or GMC trucks since the late 70's (Whichever one he likes the looks of better), but this time, he bought a Ram, and he loves it. He got a load of cash back and ended up paying like $9K under sticker.
        onewayroll
        • 2 Years Ago
        @Antonio
        Can't speak for you guy's state side, but here in Canada all 3 are offering Incentives up and over the $10,000 mark...hell you can get into a Cummins for Hemi money.
      EUniqe
      • 2 Years Ago
      well of course this would happen. Four-door pickups (whatever that means, it's a ute) are the most useless vehicles on the planet. Why would i want even less space for stuff than the normal SUV would provide? That's what the two-door pickups are for, with proper, full-sized trays. Stop producing illogical vehicles, GM, and you might make some money. Lol at pontiac, it's really no big wonder they're dead.
        ugly rims
        • 2 Years Ago
        @EUniqe
        So?? GM is the only company that makes Crew Cab pick-ups? Do you also think they invented them?
        Sir Duke
        • 2 Years Ago
        @EUniqe
        EU we invented the damn things, we get the PRIVILEGE of naming it. Its a Pick-Up Truck.
        • 2 Years Ago
        @EUniqe
        [blocked]
      MAX
      • 2 Years Ago
      No mention of Ram getting Motor Trends truck of the year. If JapanInc won they'd have a flashing light on top. It seems like all these autoblogs kick GM for every imagined wrong to get hits from idiotic armchair CEO's who can't manage their own business let alone something as complicated as the car business. Just because you can parrot WSJ (Faux News in drag) talking points doesn't make one smart.
        Ross
        • 2 Years Ago
        @MAX
        I take it you own a Chevrolet pickup?
      over9000
      • 2 Years Ago
      and Chevy does Run Deep... into trouble! HA HA
      • 2 Years Ago
      [blocked]
        dan1malk
        • 2 Years Ago
        Your posts are all just reiterations of the articles that try to make it sound like you were right all along.
          dan1malk
          • 2 Years Ago
          @dan1malk
          I can literally divide your post into three summations of each paragraph of the article. If you're going to be a troll, at least don't be a lazy one.
          • 2 Years Ago
          @dan1malk
          [blocked]
      Wufei
      • 2 Years Ago
      lol it's funny how almost every comment that doesn't support GM gets downvoted amurrrica?
        • 2 Years Ago
        @Wufei
        [blocked]
          richard
          • 2 Years Ago
          Sorry, your theory is wrong. I`m not a GM employee, but I give thumbs down to anti-Americans.
      Robert Fahey
      • 2 Years Ago
      Like a rock. The mountain of inventory, that is.
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