Large SUV production cuts.

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LAP TOP GAMER

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GM announced today that it is eliminating one shift of production at its full-size pickup truck assembly plants in Pontiac, Mich.; Flint, Mich.; and Oshawa, Ontario; and its full-size SUV assembly plant in Janesville, Wis. The decisions were made to bring production capacity more in line with market demand.
Under this plan, approximately 88,000 units of full-size pickup and 50,000 units of full-size SUV production will be removed from GM’s North American production capacity for the remainder of the 2008 calendar year.

Based on current plans, the shift reductions will be effective on the following dates:

Flint Assembly (Heavy Duty Chevrolet Silverado and GMC Sierra) – July 14
Janesville (Chevrolet Tahoe and Suburban, GMC Yukon, Yukon XL) – July 14
Pontiac Assembly (Chevrolet Silverado, GMC Sierra) – July 14
Oshawa Truck (Chevrolet Silverado and GMC Sierra) – September 8
The full-size pickup truck and full-size SUV segments have softened for the entire industry – down 15 and 26 percent, respectively, through the first quarter of 2008. Nonetheless, GM remains the segment leader in both instances, with nearly 40 percent share of full-size trucks and more than 63 percent share in the full-size SUV market.

“With rising fuel prices, a softening economy, and a downward trend on current and future market demand for full-size trucks, a significant adjustment was needed to align our production with market realities,†said Troy Clarke, president GM North America. “This is a difficult move, but we remain committed to retaining and growing our leadership position in the full-size truck market.â€

Clarke noted that with the market shifting toward cars and crossovers, GM is seeing strong sales of the new Chevrolet Malibu, Cadillac CTS, Chevrolet Cobalt, Pontiac G6, Chevrolet Impala, Buick Enclave and GMC Acadia. He added that the company is continuing to explore options to increase car and crossover production, but there are no changes to car production at this time.

The full-size truck production cuts will result in lower staffing requirements at all four plants, and those details will be worked out over the next several weeks with the UAW and CAW.




http://www.autonews24h.com/Auto-Industry/GM-News/2733.html
 

ugachs24

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GM announced today that it is eliminating one shift of production at its full-size pickup truck assembly plants in Pontiac, Mich.; Flint, Mich.; and Oshawa, Ontario; and its full-size SUV assembly plant in Janesville, Wis. The decisions were made to bring production capacity more in line with market demand.
Under this plan, approximately 88,000 units of full-size pickup and 50,000 units of full-size SUV production will be removed from GM’s North American production capacity for the remainder of the 2008 calendar year.

Based on current plans, the shift reductions will be effective on the following dates:

Flint Assembly (Heavy Duty Chevrolet Silverado and GMC Sierra) – July 14
Janesville (Chevrolet Tahoe and Suburban, GMC Yukon, Yukon XL) – July 14
Pontiac Assembly (Chevrolet Silverado, GMC Sierra) – July 14
Oshawa Truck (Chevrolet Silverado and GMC Sierra) – September 8
The full-size pickup truck and full-size SUV segments have softened for the entire industry – down 15 and 26 percent, respectively, through the first quarter of 2008. Nonetheless, GM remains the segment leader in both instances, with nearly 40 percent share of full-size trucks and more than 63 percent share in the full-size SUV market.

“With rising fuel prices, a softening economy, and a downward trend on current and future market demand for full-size trucks, a significant adjustment was needed to align our production with market realities,†said Troy Clarke, president GM North America. “This is a difficult move, but we remain committed to retaining and growing our leadership position in the full-size truck market.â€

Clarke noted that with the market shifting toward cars and crossovers, GM is seeing strong sales of the new Chevrolet Malibu, Cadillac CTS, Chevrolet Cobalt, Pontiac G6, Chevrolet Impala, Buick Enclave and GMC Acadia. He added that the company is continuing to explore options to increase car and crossover production, but there are no changes to car production at this time.

The full-size truck production cuts will result in lower staffing requirements at all four plants, and those details will be worked out over the next several weeks with the UAW and CAW.




http://www.autonews24h.com/Auto-Industry/GM-News/2733.html

That's sad it looks like the full size SUV reign will be coming to an end before too long. Back in 2005 and 2006 it seems like every other car was either a GMT800 or Expedition. Sucks, I wish they could make these things get 30 MPG. I believe that about the smaller car sales, I see a ton of Acadias, Enclaves, and CTS now.
 

strangeengine

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That's sad it looks like the full size SUV reign will be coming to an end before too long. Back in 2005 and 2006 it seems like every other car was either a GMT800 or Expedition. Sucks, I wish they could make these things get 30 MPG.

Diesel is coming and that will help a lot.

I believe that about the smaller car sales, I see a ton of Acadias, Enclaves, and CTS now.

I've driven the Acadia and the Enclave - they are incredibly good trucks. If the the towing capacity were just a little higher ...

(and it's totally possible - our Cayenne S has a towing capacity of 7729 lbs!)
 

DownTownDru

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None of this is helping our resale value. I'm hearing around here in central IL that large trucks and SUVs are trading in at 20% under KBB trade in price.

DTD
 

strangeengine

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None of this is helping our resale value. I'm hearing around here in central IL that large trucks and SUVs are trading in at 20% under KBB trade in price.

I sympathize, but given that I'm in the market for a 2007 Denali XL to tide me over until the 4.5L Duramaxes get here ... :)
 

ugachs24

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Yeah, it's a buyers market for these things. They're handing them away down here. Theres an '05 Tahoe LT 4x2, 23k miles at my dealership for $22500. My sister in law paid $26500 for a 2004 LT 4x4 last May. That just goes to show they can't give them away right now.

I bought them knowing that they had bad resale values but I never immagined anything like this. At the same time, I never would have believed gas would go above $2.50 though. I really feel for anybody that has a loan or financed one of these. They say they go to trade for something smaller and can't get the money to pay it off. That'd be a bad situation :ack: .
 

tint2sell

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I do not care about the gas prices or production cuts. I needed to feel safe. I was hit by a car when I was on my motorcycle 5 years ago and have never felt safe in a compact car since then. The bigger the better
 

strangeengine

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I do not care about the gas prices or production cuts. I needed to feel safe. I was hit by a car when I was on my motorcycle 5 years ago and have never felt safe in a compact car since then. The bigger the better

I don't mean to rain on your parade, but sadly the body-on-frame trucks, while safer than they've ever been, don't perform nearly as well in an impact as any good modern car or crossover. The monocoque in a unibody vehicle does a hugely better job of dissipating crash energy than a relatively flimsy body on a ladder frame.

At least the MT900s are nice and high.

The vehicles are really good at a lot of things but if you want safe, buy a Volvo.
 

ugachs24

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I don't mean to rain on your parade, but sadly the body-on-frame trucks, while safer than they've ever been, don't perform nearly as well in an impact as any good modern car or crossover. The monocoque in a unibody vehicle does a hugely better job of dissipating crash energy than a relatively flimsy body on a ladder frame.

At least the MT900s are nice and high.

The vehicles are really good at a lot of things but if you want safe, buy a Volvo.

I'd feel safer in a Tahoe than a sedan anyday. That's why I traded cars with my wife, I'm driving a Tahoe full time now and she's driving a new CTS. It's a nice car but I just don't feel safe in anything smaller.
 

tint2sell

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well it has 5 star rating and front,side airbags. Thats way better than my 66vw bug with no seatbelts in the old days
 

strangeengine

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I'd feel safer in a Tahoe than a sedan anyday. That's why I traded cars with my wife, I'm driving a Tahoe full time now and she's driving a new CTS. It's a nice car but I just don't feel safe in anything smaller.

I understand, but that's a perception issue, not an actual safety issue. Take a look at the crash statistics if you're curious.

However, drive what you feel comfortable in.
 

strangeengine

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well it has 5 star rating and front,side airbags. Thats way better than my 66vw bug with no seatbelts in the old days

It has a 5-star FRONT crash rating. Notice that GM is careful not to mention side impact or offset frontal ratings. :)

But I could not agree more about the Bug. The most dangerous modern car is safer than the safest 1966 model. :)
 

ugachs24

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I understand, but that's a perception issue, not an actual safety issue. Take a look at the crash statistics if you're curious.

However, drive what you feel comfortable in.

It very well may be, but still if I'm going to be hit from the side by an Excursion or F-350, I'd want to be in something higher off of the ground.
 

Alex33

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I'm not too bothered by the change in the market. I bought mine to haul toys back and forth. As long as it can continue to do that, I am happy. The fact that it's just about paid for is also a big bonus.
 

bamachevy89

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I was in a serious accident a few weeks after I bought my 2004 Tahoe back in November 2004. I only had 3500 miles on the truck.

I was sitting at a red light, I looked back and saw a lady coming towards me with her head down (she was passed out, drunk) so I pressed hard down on the brakes, she rear ended me going 50 (never hit the brakes). Then, I slid into the Accord in front of me. My airbags deployed and onstar came on and asked if they need to call the police, I said yes, I thought I was hurt and I wouldn't have been surprized if somebody was seriosuly injured looking at the other 3 cars involved. Just as I was hanging up with them, the lady that hit me started her car and tried to drive away, but having a broken axle and all she didn't make it far, just far enough to slide down the side of my truck ripping off the fender flares and bumper.

I had to crawl out of my window and over her car to get out of the pile up. I walked away with only whiplash and bruises from the airbags. To show how bad my truck was, the insurance company tried to total (brand new truck) it but I insisted that it be repaired because I had to special order the truck to get all the options I wanted and they were no longer making '04 models. Carfax shows severe damage.

After that story I dont think I need to tell yall that these things are like tanks in an accident. I was the only one in the wreck who walked away unharmed and my truck had the most direct impact.
 
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