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GM to reduce full-size truck production beginning in July



Word just came in from General Motors that the automaker will be reducing shifts at four different plants that produce its full-size trucks and SUVs in an effort to bring production "in line with market demand". The output slowdown will begin on July 14th at GM's Flint, Janesville and Pontiac assembly plants, which produce the Chevy Heavy-Duty Silverado, Tahoe, Suburban, Silverado and GMC Yukon, Yukon XL and Sierra. The Oshawa truck plant will also be affected starting Sept. 8th. All told, the shift reductions will nix 80,000 full-size pickups and 50,000 full-size SUVs from GM's North American production capacity.

According to GM, both vehicles have lost ground in the market across the industry, with sales of full-size pickups dropping 15-percent and SUVs down 26-percent for the first quarter of 2008. This isn't surprising considering the cost of fuel right now and the subsequent reduced demand for larger vehicles. GM didn't provide specifics about how this would affect workers, only saying that it will "result in lower staffing requirements at all four plants," and that the details "would be worked out over the next several weeks with the UAW and CAW."

Naturally, GM felt the need to brighten up the lackluster announcement by highlighting that car and CUV sales are up. However, it hasn't made a decision to boost output of either type of vehicle in lieu of said increased demand. Check out GM's full press release after the jump.

[Source: GM, Photo by Scott Olson/Getty]

Continue reading GM to reduce full-size truck production beginning in July

Chrysler won't be building Dodge Ram in January, idling two plants



Gas prices are skyrocketing, car sales are down, and construction has been hurt by a slowing economy. For the auto industry, that means pickup truck sales are sagging. The Dodge Ram has been feeling the pinch, with sales down 2% vs. 2006 and sky-high incentives to keep numbers even that close. In years past, Chrysler management would have rammed more Rams down their dealers' throats, but the Cerberus regime is opting to idle plants instead. Both the Warren, MI and Fenton, MO plants will be shuttered for the entire month of January. The Coahuila, Mexico truck plant, which builds the 2500-5500 HD trucks, will also be closing for the first two weeks of the new year.

With the unveiling of the all-new 2009 Dodge Ram in Detroit only a few weeks away, things are looking pretty meek for the full-size truck market. While we're sure the thousands of temporarily laid off workers would rather be building trucks, at least they'll have plenty of time to check out their next build in Cobo Hall at the 2008 NAIAS.

[Source: pickuptruck.com]


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