GM thinks of cutting down pickup production as inventory expands further

Article by Christian A., on May 4, 2011

Mark Reuss, General Motors’ president for North America, said that the company may cut pickup production as inventories expanded last month. He said that while GM will definitely do something about it, no calls have been made yet.

It was noticed last month that buyers shifted away from trucks. However, Reuss is determined to wait, saying that no one knows yet what the future would be.

As of the end of April, GM's truck inventory had gone up to over 275,000, or about 111 days of supply, In a conference call, Don Johnson, GM's vice president of U.S. sales, said that a month ago, it had about 264,000 trucks on dealer lots.

GM's U.S. sales decreased by about 26% to 232,538 vehicles in April from 183,997 a year ago. These results had aided the industrywide U.S. auto sales rate in April to 13.2 million on a seasonally adjusted annualized basis -- the third consecutive month that its sales were higher than 13 million.

GM said that the Chevrolet Cruze compact car will set a sales record since it was presented in 2010 with 25,160 deliveries. The average U.S. price of regular gasoline climbed 37% in the past year to $3.98 a gallon, AAA says.

The price peaked at $4.11 in July 2008. In April, GM reduced spending on incentives for U.S. customers by 8.1% to an estimated $3,068 for each vehicle, Autodata Corp. said.

GM is offering rebates of up to $4,505 for Chevrolet Silverado and GMC Sierra pickups, while it offers no rebates on small cars such as the Chevrolet Cruze and Aveo. This information was provided by AIS Rebates, a company based in Ann Arbor, Michigan, that provides of incentive data to dealers.

Topics: gm, production

If you liked the article, share on:

Comments

Recommended

Earlier this month, Porsche introduced to us the 911 Turbo S Exclusive Series. The car wore a Golden Yellow Metallic paint. The same time it was launched, the company said...
by - June 26, 2017
Last month, the Lamborghini Centenario made its way to the Transformers: The Last Knight premiere where it got the attention of many. Following that event, three Lamborghini Centenario coupes landed...
by - June 26, 2017
The Holy Trinity of hypercars may not be accessible anymore after being discontinued, but that doesn’t mean we won’t see any more hypercars in the future. What we know is...
by - June 26, 2017
Kia is taking things a step further with the new Kia Stinger, which they first introduced at the 2017 Detroit Auto Show. With the specs given to us by the...
by - June 25, 2017
Earlier this week, Nissan revealed a teaser of the new 2018 LEAF’s interior, giving us an idea of what the electric vehicle has to offer. The company released a video...
by - June 25, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries