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GM throttles back Chevy Malibu, Buick LaCrosse production over swollen inventories

As inventory of the Chevrolet Malibu and Buick LaCrosse continues to pile up, General Motors will be idling its Fairfax Assembly Plant for two weeks, according to Automotive News. This move comes about a month after the plant was shut down for three weeks in late December and early January for the same reason. As of January 31, the GM had a 94-day supply of Malibu stock while the LaCrosse was a little worse with a 117-day supply.
Just last week, GM announced that it would be investing $600 million in upgrading this plant, but it's unclear what future plans the company has in store for Fairfax considering slow sales of both the plant's models. We do expect a refreshed and more luxurious LaCrosse shortly and an early design update for the Malibu to be announced at some point this year, although we have had no official word as to when either will happen.

Chevy Spark EV could be coming to Midwest later this year

Ohio is not known as a hotbed of EV sales – if anything, the state is a bit anti-EV, thanks to a legislative fight against Tesla's direct sales model – but it might be on Chevrolet's short list to expand the market for the Spark EV in the near future. The latest official GM press release on the battery-powered Spark still says the car is "available exclusively in California and Oregon," but Hybrid Cars found four Ohio dealerships that list a Spark EV on their websites, with hints the the car will be coming to the Midwest state by the end of the summer. See, for example, here, here, here and here. But that's probably not going to happen, according to Randy Fox, GM communication's manager for passenger cars. Fox told AutoblogGreen that, "At this point in time, we don't have any official plans to expand the Spark EV beyond California and Oregon." The reason is that California and Oregon have the infrastructure to support EVs, Fox said, and GM wants to be able to support its EV customers. "We are continuing to look at other options," he said. "The selling point for electric cars today is not advertising, it's eyeballs, it's peer exposure" – John O'Dell John O'Dell, a senior editor at Edmunds.com, told AutoblogGreen that, "It makes sense for [GM] to expand sales and it makes sense to do it in a quiet manner, to get these vehicles on the road. The selling point for electric cars today is not advertising, it's eyeballs, it's peer exposure. If someone in my neighborhood has one and he likes it, then maybe I can trust him. So it's important to get these vehicles on the road." Chevy sold 182 Spark EVs last month, a significant increase over the 98 sold in April. That's still small potatoes compared to the 3,000+ Nissan Leaf EVs sold last month, but making the electric Spark available in Ohio, say, or GM's home state of Michigan could boost those numbers. AutoblogGreen called a few dealerships in Michigan to see what they had heard. One salesman said he didn't think GM had started production yet but the inventory manager for another dealership said the Spark EV is scheduled to arrive in the Midwest in "roughly the fourth quarter." What would GM's incentive be to offer the car in markets outside of California where it can gain ZEV credits with each sale?

GM cutting back on powertrain warranty citing lack of interest

Generally, when a manufacturer offers a long, high-mileage warranty, it's a sign that it stands behind its products. On top of that, it's generally a selling point for consumers, who can rest easy knowing that any catastrophic failures will be picked up by the manufacturer. Considering those facts, it does seem rather strange that General Motors is slashing the mileage warranty on model year 2016 vehicles from Chevrolet and GMC. Instead of offering consumers a 100,000-mile warranty, GM will now only offer a powertrain warranty up to 60,000 miles. The five-year warranty period, though, remains unchanged. GM will also cut the number of free services being offered to Chevy and GMC owners, as well as Buick drivers, from four to two. "Through research, we have determined that when purchasing a new vehicle, included maintenance and warranty rank low on the list of reasons why consumers consider a particular brand over another," explained a memo sent to dealers by Chevrolet VP Brian Sweeney and his GMC counterpart, Duncan Aldred, and obtained by Automotive News. "As a result, we have benchmarked our competitors, reviewed our current offerings and have concluded the following modifications to align closely with our customers' needs and expectations." While the move might seem odd, Sweeney and Aldred are right – according to Automotive News, Ford, Honda and Toyota each offer a five-year, 60,000-mile powertrain warranty. As for what the money saved by trimming the powertrain warranty will go towards, a GM spokesperson simply told AN that the company will "reinvest the savings we will realize into other retail programs," some of which have been requested by consumers. What are your thoughts? Would a 40,000-mile reduction in a new vehicle's powertrain really turn you off from buying one? Even if it matched its competitors? Is GM better off spending its money elsewhere? Have your say in Comments. Featured Gallery 2016 Chevrolet Equinox View 10 Photos News Source: Automotive News - sub. req.Image Credit: Chevrolet Chevrolet GM GMC Auto Repair Maintenance Ownership warranty