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GM extends vehicle production cuts into mid-March due to global chip shortage

DETROIT — General Motors said on Tuesday it was extending production cuts at three North American plants until at least mid-March due to the global semiconductor chip shortage, while vehicles at two other factories would only be partially built. GM, whose shares dipped 1% after the announcement, did not disclose the impact volumes or say which supplier and vehicle parts were affected by the chip shortage. But it said it would focus on keeping production running at plants building its highest-profit vehicles, full-size pickup trucks and SUVs. GM said it intended to make up as much lost production as possible once the shortage chip eased. "Semiconductor supply remains an issue that is facing the entire industry. GM's plan is to leverage every available semiconductor to build and ship our most popular and in-demand products," GM spokesman David Barnas said. GM said it was extending downtime at its U.S. plant in Fairfax, Kansas, its Canadian factory in Ingersoll, Ontario, and its Mexican facility in San Luis Petosi until mid-March when it would reassess the situation, he said. In addition, GM would build but leave incomplete for final assembly vehicles at Wentzville, Missouri, and its Mexican plant at Ramos Arizpe. GM vehicles affected by the idled plants include the Chevrolet Malibu sedan, Cadillac XT4 SUV, Chevy Equinox, and GMC Terrain SUVs. Vehicles to be left incomplete for now included the Chevy Colorado, GMC Canyon pickups and Chevy Blazer SUV. This week, GM had said it was idling the three factories where it has now extended downtime and said it would halve production at a plant in South Korea. The chip shortage has affected many automakers, including Toyota, Volkswagen, Stellantis, Ford, Renault, Subaru, Nissan, Honda and Mazda. Asian chipmakers are rushing to boost production but say the supply gap will take many months to plug. German chipmaker Infineon said the shortage would get worse in the near term. The chip shortage is expected to cut global output in the first quarter by more than 670,000 vehicles and last into the third quarter, IHS Markit said. AutoForecast Solutions estimated total lost production this year could reach 1 million vehicles. Honda and Nissan said on Tuesday they would sell 250,000 fewer cars in total this financial year due.

GM Halts Sale Of Most Chevy Cruze Models

General Motors has told dealers to stop selling some 2013 and 2014 Chevrolet Cruze compact cars. But the company won't say why. Dealers say stop-sale orders are routine and almost always made to fix a safety problem. They received the order in an e-mail Thursday, but no reason was given. The move comes as GM deals with fallout from a delayed recall of 1.6 million older small cars to fix an ignition switch problem. The company says the switches can slip out of the run position and shut down the engine. That causes loss of power steering and brakes and disables air bags. GM says the problem has been linked to 31 crashes and at least a dozen deaths. Spokesman Greg Martin says he has no details on the Cruze. Related Gallery Chevy Impala Earns Highest Accolades From Consumer Reports Recalls Chevrolet GM Cruze

The Chevy Cruze Hatchback arrives in the US this fall

We knew this was coming, but now it's official. Chevrolet will sell a five-door Cruze in the US beginning in late 2016, and here it is, ahead of its debut at the 2016 Detroit Auto Show. Previously, the Cruze Hatchback was available in other markets, and the decision to not offer it Stateside was apparently "a pre-bankruptcy planning mistake," according to GM's Mark Reuss in earlier reports. The 2017 Cruze Hatchback builds on the second-generation Cruze we saw last summer, adding a wealth of functionality – there's 42 cubic feet of cargo space available with the rear seats folded. Plus, the Cruze sedan is lighter and stiffer than its predecessor – more than 200 pounds have been shaved off the compact car's curb weight. While the Cruze sedan is available in four trims – L, LS, LT, and Premier – the five-door will only be available in LT and Premier guise, but can be had with the optional RS appearance package. All Cruze models are powered by a 1.4-liter turbocharged inline-four engine, with 153 horsepower and 177 pound-feet of torque. Standard amenities include Apple CarPlay and Android Auto via Chevy's MyLink infotainment system, as well as a raft of high-tech safety features. Pricing information isn't available as of this writing, though we expect the Cruze Hatchback to command a slightly higher premium than the sedan. For comparison, a new Cruze LT sedan starts at $21,995, with the Premier coming in at $23,995. We'll have official numbers closer to the Hatchback's on-sale date this fall. Chevrolet Introduces 2017 Cruze Hatch HERE'S THE STORY Ahead of its debut at the North American International Auto Show, Chevrolet today introduced the 2017 Cruze Hatchback. Developed with all the technologies and dynamic driving attributes of the all-new 2016 Cruze sedan, the new hatch adds a functional and sporty choice for customers. It joins Colorado and Trax as the latest Chevrolets to push into new segments. PRODUCT DETAILS The Cruze Hatch has the same, class-leading 106.3-inch (2,700 mm) wheelbase as sedan models, but features a unique roof and rear-end structure – including wraparound taillamps and an integrated spoiler at the top of the liftgate. It opens to offer 18.5 cubic feet (524 liters) of cargo space behind the rear seat. With the rear seat folded, cargo space expands to 42 cubic feet (1,189 liters).