With all the talk being about crossovers lately, it’s not surprising to learn that GM has decided to cut production of full-size trucks and SUVs. This includes the Cadillac Escalade, ESV and EXT pickup. Between growing fuel costs, growing food costs as a result of ethanol and issues with the economy, the demand for these full-size vehicles is diminishing.

GM will be eliminating one production shift at its Janesville, Wisconsin; Oshawa, Ontario, Pontiac and Flint, Michigan plants – and anticipates an annual production reduction of about 88,000 full-size pickups and 50,000 SUVs. The list of vehicles this affects includes the Chevrolet Silverado, Avalanch, Tahoe and Suburban, GMC’s Sierra and Yukon, all the family of Cadillac Escalades. The cuts will be seen in Oshawa on September 8th and the remaining four plants as early as July 14th.

Is this the beginning of the end for full-size SUVs? Will the new supply and demand going to help resale value? Only time will tell…

GM Cuts Full-Size Truck and SUV Production
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0 thoughts on “GM Cuts Full-Size Truck and SUV Production

  • June 28, 2008 at 5:59 pm

    Hmmmmm!!! Lets see, the folks in China were the number two consumer of autos last year. That middle class in China (which is only the tip of the iceberg or less than ten percent of the population of China) was fueled by the products purchased at Walmart’s and the likes. Now these folks in China are going to compete with us for fuel for their autos. Price is the rationing mechanism for fuel. So if these folks in China don’t reciprocate and buy SUV’s/pickup’s, were doomed. Wonder if we knew this prior, would those prices on goods made in China have been as attractive? Just thinking aloud.

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