GM Announces Significant Production Cuts for Q1 2009

General Motors announced today a significant reduction of planned production for the first quarter of 2009 due to the ongoing and severe drop in industry sales, which were down 36% in November overall and 41% for GM (2007 vs. 2008). The impact of these and recently announced actions to adjust production with market demand, will result in the temporary idling of approximately 30% of GM's North American assembly plant volume during the first quarter of 2009 and will remove approximately 250,000 units from production.

Production of the Saturn Aura, Outlook, Sky, and Vue plants will all be impacted by the news.

The speed and severity of the U.S. auto market's decline has been unprecedented in recent weeks as consumers reel from the collapse of the financial markets and the resulting lack of credit for vehicle financing.

The US, Canadian, and Mexican operations impacted by today's announcement include:

US:

  • Ft. Wayne (Indiana) - Chevy Silverado, GMC Sierra Light Duty Regular and Extended Cab
  • Flint Assembly (Michigan) - Chevy Silverado, GMC Sierra Heavy Duty Regular and Crew Cab & Medium Duty
  • Wentzville (Missouri) - Chevy Express, GMC Savanna
  • Lansing Delta Township (Michigan) - Buick Enclave, GMC Acadia, Saturn Outlook
  • Pontiac Assembly (Michigan) - Chevy Silverado, GMC Sierra Heavy Duty Extended Cab
  • Spring Hill (Tennessee) - Chevy Traverse
  • Fairfax Assembly (Kansas) - Chevrolet Malibu/Hybrid, Saturn Aura/Hybrid
  • Arlington Assembly (Texas) - Full Size SUVs: Chevy Suburban, Tahoe & Tahoe Hybrid, GMC Yukon, Yukon XL & Yukon Hybrid, Cadillac Escalade/Escalade ESV & Escalade Hybrid
  • Lansing Grand River (Michigan) - Cadillac STS & CTS
  • Orion (Michigan) - Chevy Malibu, Pontiac G6
  • Detroit-Hamtramck (Michigan) - Buick Lucerne, Cadillac DTS
  • Shreveport (Louisiana) - Chevy Colorado, GMC Canyon, Hummer H3 & H3T
  • Bowling Green (Kentucky) - Chevy Corvette, Cadillac XLR
  • Wilmington (Delaware) - Pontiac Solstice, Saturn Sky, Opel GT

Canada:

  • Oshawa Consolidated - Chevy Impala
  • Oshawa Truck - Chevy Silverado, GMC Sierra Light Duty Extended and Crew Cab
  • CAMI - Chevy Equinox, Pontiac Torrent

Mexico:

  • Silao - Chevy Silverado, GMC Sierra Light Duty Crew Cab, Chevy Avalanche, Cadillac Escalade EXT
  • Ramos 2 - Chevy HHR, Saturn VUE, Chevy Captiva
  • San Luis Potosi - Chevy Aveo, Pontiac G3

As a result of these assembly plant actions, GM will also continue to assess its powertrain and stamping capacity needs and make adjustments as appropriate. The Detroit Free Press reported that some plants have been notified that they will be "down from the holidays through February 9."

Source: GM, Detroit Free Press

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