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GM profits threatened by glut of pickups

Automotive News reports that General Motors may slash production or ramp up discounts in order to deal with an oversupply of pickup trucks. GM currently has more than double the standard supply of pickups, and the vehicles are threatening to dampen the automaker's profits for 2013. Typically, automakers try to sustain a 60- to 75-day supply of vehicles, but GM is currently loaded with a 139-day supply, as of last month. At the end of November, the automaker was sitting on 245,853 units.
The manufacturer says that it will adjust production accordingly before laying any incentives on the profitable pickups. Even so, there's some concern that the inventory swell could hurt the roll-out of the next-generation Chevrolet Silverado and GMC Sierra. GM actually began slowly stepping back production in August, but it's clear the company will take further action as it heads toward the end of the year and into the next. Analysts predict the automaker could reduce pickup manufacturing by nearly half in the first quarter of 2013.
That still may not be enough to keep GM from laying extra cash on the Silverado and GMC Sierra. While the company's incentive spending was down in November compared to the same month in 2011, both the Ram 1500 and Ford F-150 saw double-digit percentage increases in sales last month while the Silverado and Sierra numbers slid compared to a year prior. Incentive spending could help move more trucks and add some balance to the GM inventory surge.

GM is the latest automaker accused of diesel emissions cheating

Volkswagen and Ram need to make room on the diesel-emissions bench for General Motors. America's largest automaker was accused in a lawsuit on Thursday of rigging hundreds of thousands of diesel trucks with at least three so-called defeat devices to ensure that the trucks would meet federal and state emission standards, even if they generated more pollution in real-world driving. According to the complaint, on-road emissions testing conducted for the plaintiffs found that Duramax-equipped trucks produced NOx pollutants, comprised of nitrogen and oxygen atoms, two to five times higher than legally permitted, and "many times" higher than their gasoline counterparts. The proposed class-action lawsuit was filed in federal court in Detroit on behalf of people who own or lease more than 705,000 Chevrolet Silverado and GMC Sierra pickup trucks fitted with "Duramax" engines from 2011 to 2016 model years. The lawsuit seeks remedies including possible refunds or restitution for lost vehicle value, plus punitive damages. It adds to legal problems for Detroit-based GM, which has already paid about $2.5 billion in penalties and settlements over faulty ignition switches linked to 124 deaths. GM joins at least five automakers whose diesel emissions have been scrutinized by regulators or consumers. They include VW, which has admitted to cheating; Mercedes-Benz parent Daimler; Fiat Chrysler Automobiles, Peugeot and Renault. GM spokesman Dan Flores called the claims "baseless," and said the trucks comply with US Environmental Protection Agency emissions standards and California's own tough standards. Shares of GM were down 69 cents, or 2.1 percent, at $32.50 in afternoon trading, after earlier falling to $31.93. The GM lawsuit was filed by several law firms, including Hagens Berman Sobol Shapiro, which helped reach multibillion-dollar settlements with VW on behalf of drivers and dealers. The case is Fenner et al v General Motors LLC et al, US District Court, Eastern District of Michigan, No. 17-11661. The named plaintiffs are Andrei Fenner of Mountain View, California and Joshua Herman of Sulphur, Louisiana. They said they would not have bought their respective 2011 Sierra and 2016 Silverado trucks, or would have paid less for them, had they known about the alleged rigging. Joseph Spak, an RBC Capital Markets analyst, in a research report said "negative publicity" from the lawsuit could drive buyers to trucks from Ford or even Fiat Chrysler's Ram.

2019 GMC Sierra 1500 All Terrain spied with raised suspension, off-road tires

The 2019 GMC Sierra is here, though we've only seen the two top-tier trims, SLT and Denali. As past spy shots show, the Chevy Silverado's corporate sibling has more on the way. We now have a new batch of images showing what looks like the new All Terrain package, sort of a GMC equivalent to the Silverado's Trail Boss guise. The current All Terrain package is available in three different tiers on the Sierra SLT: All Terrain, All Terrain SLT Premium and All Terrain X. In addition to equipment from the Z71 package (skid plates, suspension upgrades), the All Terrain package adds Rancho shocks, an Eaton locking rear differential and more aggressive tires. There are some additional features and appearance changes, too. The more aggressive All Terrain X adds things like a cat-back exhaust and Goodyear Wrangler DuraTrac tires. The truck in these spy shots is definitely wearing different wheels and tires than the Sierras we've previously seen. It also looks like it's sitting a little higher, just like the Silverado Trail Boss. This also looks to be an SLT model as it doesn't have the MultiPro tailgate. Expect the 5.3-liter and 6.2-liter V8s to return, but don't rule out a diesel-powered Sierra All Terrain sometime down the line. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Featured Gallery 2019 GMC Sierra All Terrain spy shots View 9 Photos Image Credit: Brian Williams Design/Style Spy Photos GMC Truck Off-Road Vehicles gmc sierra 1500