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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.

2014 GMC Sierra 4.3L V6 to offer segment-best 305 LB-FT

General Motors has released more information on the 4.3-liter V6 available in the 2014 GMC Sierra. The engine will serve up 285 horsepower and 305 pound-feet of torque, with a six-speed automatic transmission, and giving the V6 Sierra a maximum tow rating of 7,200 pounds in regular cab, short bed four-wheel drive configuration. GM claims that figure is 500 pounds more than the equivalent Ford F-150 equipped with a 3.7-liter V6, and 700 pounds more than the Ram 1500 with its 3.6-liter V6. Buyers can expect to see the 2014 GMC Sierra with the 4.3-liter engine start at $25,085 including destination.
While the engine does deliver more torque than either of its main competitors, it falls short on the horsepower front. The 3.7-liter V6 in the F-150 develops 302 hp while the 3.6-liter V6 in the Ram 1500 yields 305 hp. GM says fuel economy estimates for its newest entry will land later this year. Check out the full press release below for more information.

General Motors could turn Hamtramck into its electric pickup, SUV hub

Electric off-roaders could revitalize the Detroit-Hamtramck factory that General Motors previously announced it will close. While official details remain shrouded in secrecy, analysts believe the plant will be re-tooled to manufacture at least three electric models due out during the early 2020s. The plant's scheduled closure was one of the grievances the United Auto Workers (UAW) union cited when it embarked on a 40-day strike in September 2019. General Motors agreed to keep it open without shedding much light on what it planned to build there. Analyst at LMC Automotive told the The Detroit News they believe an often-rumored electric SUV that will resurrect Hummer's name, image, or both will be one of the models assigned to the Hamtramck plant. Battery-powered variants of the GMC Sierra and the Cadillac Escalade will be made there, too, as will an enigmatic van. LMC Automotive's Jeff Schuster believes the van will come first; it could enter production as early as 2021. The Hummer — which might also be offered as a pickup — will follow before the end of 2022, while the Sierra and the Escalade will both arrive in 2023. We're taking this report with a grain of salt, though, because only one of the aforementioned models has been announced by General Motors. Rumors of a Hummer resurrection emerged in the summer of 2019, just a few weeks before we heard unverified reports of a battery-powered variant of the next-generation Escalade. General Motors confirmed plans to enter the burgeoning electric pickup truck segment, which Ford, Rivian, and Tesla also have their sights on, but it hasn't detailed how or when. The van is a mystery. General Motors refused to comment on the report. It previously announced it will keep Hamtramck open, and invest $3 billion to build electric vehicles there. The investment will create 2,225 jobs. Inaugurated in February 1985, the Hamtramck factory has churned out a diverse selection of models over the past 34 years, including Cadillac's Eldorado, Seville, and Allante, the Oldsmobile Toronado, the Buick Riviera, and more recently, gasoline-electric Chevrolet Volt. General Motors announced plans to close Hamtramck in 2018, but it quickly backpedaled and extended its lease on life until 2020 by keeping the Chevrolet Impala and the Cadillac CT6 around for a few additional months.