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GM laying off 510 amidst slow Cadillac, small car sales

General Motors is laying off about 510 workers from two factories beginning in January, and it could be months before the automaker needs some of that latent capacity to come back on line. A combination of poor sales and high dealer inventories are prompting the cutbacks, according to Automotive News.
The largest changes come at GM's Lansing Grand River plant, where the Cadillac ATS and CTS are made. An entire shift of about 350 workers is being laid off, but the automaker hopes to find positions for some of them at other nearby factories. The decision leaves just a single shift building vehicles there. According to Automotive News, the move is partially spurred by Johan de Nysschen's plan to make Cadillac a more exclusive brand.
The lost shift will likely return for production of the next-generation Chevrolet Camaro at the plant, according to the report, but GM isn't saying when that will be. A previous announcement from the Canadian Auto Workers union indicated that the Oshawa, Ontario, factory would lose the coupe in late 2015 or early 2016.

GM seeks to exempt Buick Envision from U.S. auto tariffs

General Motors is seeking an exemption to a 25 percent U.S. tariff on its Chinese-made Buick Envision sport utility, the automaker said on Thursday, in a move to prevent the key model in the brand's U.S. lineup from becoming a victim of the U.S.-China trade war. The midsize SUV, priced starting at about $35,000, has become a target for critics of Chinese-made goods, including leaders of the United Auto Workers union and members in key political swing states such as Michigan and Ohio. The Envision, assembled only in China, last year accounted for about 19 percent of Buick brand sales in the United States. GM said in a statement that it filed the request on July 30 with the U.S. Trade Representative. An official notice was posted on Thursday on the regulations.gov website, which is tracking requests for exclusions from the so-called Section 301 tariff on certain imported goods from China. GM, the largest U.S. automaker, argued in its request that Envision sales in China and the United States would generate funds "to invest in our U.S. manufacturing facilities and to develop the next generation of automotive technology in the United States." GM said the "vast majority" of Envisions, about 200,000 a year, are sold in China. About 41,000 were sold last year in the United States. Because of the lower U.S. sales volume, "assembly in our home market is not an option" for the Envision, which competes with such midsize crossover vehicles as the Jeep Grand Cherokee and the Cadillac XT5. GM has taken other steps to soften the blow of tariffs, which hit just as the automaker had lowered the price of the Envision to make it more competitive. Ahead of the July 6 start for higher import tariffs, GM shipped in a six-month supply of Envisions at the much lower 2.5 percent tariff rate. Envision sales from April through June plunged to just 7,000 vehicles, while inventories climbed to more than 13,000 vehicles at the end of June. At the current sales rate, the Envision supply should be enough to keep many dealers stocked through the end of the year. GM had lowered prices by as much as $2,500 on the 2019 models, which it started shipping in late April. That means Buick's 2,000 U.S. dealers should have lower-priced Envisions to sell well into the fall. "The previous price point was too high" on the 2018 Envision, said Casey Clark, sales manager at Serra Buick GMC Cadillac in Washington, Michigan, in an interview.

Pre-owned bargain alert: Buick Regal

For the past couple of years, Buick has been very aggressive in promoting short-term low-mileage leasing. The plan was to get people in the door to experience the new Buick. Once they realized Buicks are now sleek and full of Euro Chic, people might want to buy one. It's debatable if that plan worked, but one thing is for sure: There's a massive amount of low-mileage Buick Regals out there. The price of Regals is all over the map due to lease returns and dealers aggressively discounting 2015 models to get rid of them. But at the $17,500–20,000 range there are a good number of 2013 to 2015 Regals with under 15k miles for sale. The Regal might come with 2.0L Turbo or 2.4L Hybrid. The Hybrid is a bit slow; stick with the Turbo and drive with the traction control off. They all come moderately equipped with leather, heated seats, alloy wheels, and dual-zone climate control. If you have a little more cash to spend, go for the 2012/2013 Regal GS, which is based on the Opel Insignia OPC. The Regal GS comes with 270 horsepower and 295 lb-ft from a turbo engine and a HiPerStrut suspension to reduce torque steer. They all come standard with Brembo brakes, navigation, sunroof, and premium sound system, in automatic or manual. Just make sure you budget money in your savings to replace the front tires. Trust me on this. You can purchase a Camry or Accord with some equipment for under $20,000 with a bit more miles and years than the Regal. But ultimately the Regal feels more premium, drives better, and is less boring. Make the right choice and buy something unique.Related Video: