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GM might outsource vans to AM General

General Motors will possibly boost production of the Chevrolet Colorado and GMC Canyon at the Wentzville Assembly Plant in Missouri by contracting out some commercial van manufacturing to AM General. Demand for the two midsize trucks continues to boom, and GM would like to take advantage of the strong market for them. The possible deal came to light in a letter to workers at the factory, according to Automotive News. "This potential partnership would free up production capacity and allow the organization to capitalize on our ability to build midsize trucks to further satisfy customer demand," a portion of the document allegedly said. AM General would reportedly only take over assembly of the cutaway versions of the Chevy Express and GMC Savana. Customers and critics have quickly embraced the latest Colorado and Canyon since their introduction. The Chevy just won back-to-back Motor Trend Truck of the Year awards. GM also had to add a third shift and extra workers in 2014 just to keep up with demand. The Wentzville plant even increased employment on the weekends earlier in 2015 to assemble an extra 2,000 of the trucks each month. While the two pickups boom, deliveries for the Chevy Express and GMC Savana are down 26.9 percent and 26.6 percent respectively through the first 10 months of the year. GM doesn't break out numbers for the cutaway versions, but they make up about a third of production, according to Automotive News. AM General built the Humvee for the US military and does some contract work with automakers. For example, the company's Indiana factory now produces the Mercedes-Benz R-Class for export to China. Here's hoping this potential deal will help both GM and AM General keep their factories humming. Related Video:

United States drivers buying fewer Mexican-made cars

Crossovers and pickup trucks are not only growing in market share, they're also more profitable than cars. A crossover on the same platform as a sedan retails for thousands more, despite similar components. It's one of the reasons we've seen automakers rapidly shifting production of their sedans and hatchbacks to Mexico, where cheap labor preserves the thin profit margins on these inexpensive vehicles. But as the market continues to shift in the United States, Mexico is getting burned by its lack of product diversity. The country's auto exports, which are heavy on cars, suffered a 16-percent drop last month, Automotive News reports. In total, year-over-year exports fell from 233,515 to 197,020 last month, while year-to-date exports are down by 7.4 percent, from 922,029 to 854,118. The number one culprit? America – which usually accounts for 75 percent of Mexico's exports – and its appetite for crossovers and pickup trucks bolstered by cheap gas prices. While Mexico does build some light truck models – AN specifically calls out the Ram 2500, Honda HR-V, GMC Sierra, and Toyota Tacoma as export leaders – the vast majority of vehicles rolling out of its factories are sedans and hatchbacks. In fact, the three biggest drops in Mexican exports came from companies whose south of the border factories only build cars – Ford (Fusion/Lincoln MKZ and Fiesta), Mazda (Mazda3), and Volkswagen (Golf and Jetta). Mexican Automotive Industry Association President Eduardo Solis told AN the export shortfall will likely be sorted out sooner rather than later, thanks to a pair of new factories – a Kia car factory and an Audi SUV plant – that are coming online by year's end. The two facilities will add around 100,000 vehicles to the country's export totals, which Solis said should leave the industry on the verge of breaking another export record in 2016. But how sustainable will these record-breaking years be? Slapping an "Hecho en Mexico" sticker on a new German SUV won't be enough to change the fact that Mexico's product mix is tilted too heavily towards body styles that are not growing in volume. Mexico's record-breaking export years probably aren't at an end, but we'd argue they're certainly under threat. News Source: Automotive News - sub. req.Image Credit: Omar Torres / AFP / Getty Images Plants/Manufacturing Ford GMC Honda Mazda RAM Volkswagen Truck Crossover SUV Mexico

GMC Hummer EV could have had the Chevrolet Avalanche's Midgate

One of the many rumors swirling around the GMC Hummer EV claimed the truck would resurrect the Midgate inaugurated by the original Chevrolet Avalanche. Although we now know there's no way to fully knock down the partition between the cab and the cargo box, the firm revealed the rumor wasn't entirely false. "There was [a Midgate] early on. We opted for the functionality of the drop glass in the back. With the package layout and things like that, it was not advantageous to pursue that one. And, the five-foot bed was kind of the industry standard in regards to price of entry in that segment," explained John Mack, the Hummer's exterior design management, during an interview with Muscle Car & Trucks. The Hummer will go on sale with a five-foot box, and it doesn't sound like a longer bed will be available, so a modern version of the Midgate would have made the model more versatile by giving users the ability to fold down the partition behind the rear seats to carry bulky items, like plywood and ATVs. It's a feature that would have inevitably made the truck more complicated to build, however, because it adds moving parts that need to be sealed. Hinges, seals, and latches in turn add weight, and complexity almost always invites high manufacturing costs. As an electric pickup built with newly-developed components, the Hummer already has enough of each. Motorists who need to carry something that's significantly longer than the cargo box aren't entirely out of luck. As Mack pointed out, the rear window drops into the partition, so owners will have the ability to haul surfboards, lumber, or anything else that's relatively long and reasonably thin by simply pushing a switch. Alternatively, the only thing limiting cargo space when the roof comes off is the sky — or, depending on where you live, bridges. Mack didn't reveal when the Midgate was dropped. GMC launched the Hummer project in April 2019, and it previously released early design sketches that show how the truck transitioned from a sketch to a prototype. As of writing, nothing suggests the Midgate will make a comeback in the near future on any member of the General Motors portfolio. It was introduced in 2001 on the first-generation Chevrolet Avalanche, which went on sale in the United States for the 2002 model year. It later spread to Cadillac's luxed-up variant of the truck, the Escalade EXT, and to the short-lived GMC Envoy XUV.