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GM idles Texas plant

In a further sign of weakening demand for large, gas-guzzling SUVs, GM has announced it is idling its 54-year-old Arlington, Texas plant for three weeks. This comes only two weeks after a GM spokeswoman said this about Arlington: "We are currently running at full production and foresee continuing to run at full production indefinitely..." Workers at the plant had been producing 900-1000 Chevrolet Tahoes and Suburbans, GMC Yukons, and Cadillac Escalades a day.
Ten months ago, Autoblog reported large SUVs were holding their own. Now, these models are seeing reduced sales compared with last year as consumers react to the worsening economy and increasing gasoline prices. "Sales of the Escalade fell 25.7 percent in March from year-ago levels, and the others fell more than 30 percent," the Associated Press reports. New orders from dealers have slowed as a result.

[Source: Dallas Morning News and Dallas Business Journal]

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