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GM cutting Chevy Sonic, Buick Verano production by more than 20%

General Motors' Orion Assembly plant in Michigan is seeing even more production cuts this year to further reduce inventories of the Chevrolet Sonic and Buick Verano. These latest adjustments mean layoffs for about 100 workers in phases starting in July. "GM Orion Assembly will adjust plant production capacity to better align with market demand," the company said in a statement announcing the change. Through May, sales of the Sonic are down 28.5 percent to 29,082 vehicles, and the Verano is off 15.6 percent, with 15,279 sold this year. According to unnamed plant insiders speaking to Automotive News, the assembly rate is slowing at Orion Assembly from the current 33 cars an hour down to 26 an hour, a 21-percent reduction. GM is also reportedly going to keep the plant idle for three weeks during the normal summer shutdown, rather than the usual two. Earlier in the year, the factory was idled for two weeks due to excess supply of the Sonic and Verano. In March, it was closed again for several days for the same reason. The Orion Assembly plant is the future home to the line for the Chevy Bolt EV. GM Statement: GM Orion Assembly will adjust plant production capacity to better align with market demand. A phased layoff of approximately 100 employees will begin in July 2015 and conclude by year-end. Related Video: News Source: Automotive News - sub. req.Image Credit: Bill Pugliano / Getty Images Plants/Manufacturing Buick Chevrolet GM Hatchback Sedan buick verano orion assembly

CA Chevy dealer allegedly adds $50K 'market value adjustment' to 2015 Z06

It seems to happen with every eagerly anticipated new car – dealerships, recognizing that crushing demand far outstrips the initial limited supply of a new model, inflate the price via a so-called "market value adjustment." We've seen it in the past with a number of new models, and now it's happening again with one of the Detroit 3's hottest vehicles. A dealership in Roseville, CA, outside of Sacramento, has allegedly attached a staggering $49,995 market value adjustment to a 2015 Corvette Z06. We say allegedly because, despite the evidence uncovered by BoostAddict, John L. Sullivan Chevy's online inventory listing doesn't display the price premium of the Z06 in question, a (normally) $93,965 model with the top-end 3LZ trim. It's unclear if either of the dealer's other Z06s, both 3LZs, one of which is in transit, will receive similar price adjustments. Now, legally, Sullivan Chevy isn't doing anything wrong here. Dealerships are under no obligation to observe a manufacturer's suggested retail price, a point General Motors' spokesperson Ryndee Carney pointed out to Autoblog via email. "For the Corvette Z06, Chevrolet has established a Manufacturer's Suggested Retail Price we feel is right for the market. Actual transaction prices, however, are the province of the dealer," Carney said, adding that a dealer zone manager will be discussing the price hike with the dealership. While we also reached out to the dealership over both the market value adjustment and the price of the Z06 as it appears on the company's website, we've yet to hear back as of this writing. Should they reply to our inquiries, we'll be sure to update you. Until then, we'd like to hear what you think about this case. Is Sullivan Chevy simply pricing the cars as high as it thinks the market can bear, or is this a cash grab for an hotly anticipated product? Have your say in Comments.

General Motors and EVs: No stranger to firsts, but where's the leadership?

2015 is already shaping up to be the year of "affordable, 200-mile EV" concepts. Nissan and Tesla have each been talking about them for some time, the latter promising to unveil its Model 3 at the North American International Auto Show in January before balking when the time came. Instead, Chevrolet beat them all by unveiling the Bolt concept at the same event, followed shortly thereafter with suggestions of a 2016 launch – potentially offering the first nationwide EV with anything close to that range. It was the ballsiest EV-related move General Motors has made in a quarter century. But will it remain so? Exactly 25 years before the Bolt rolled up onto the turntable, then-Chairman Roger Smith unveiled GM's last ground-up EV concept, the even-more-unfortunately-named Impact, at the Los Angeles Auto Show in January 1990. A few months later, he surprised most of his colleagues by announcing its intended production in honor of Earth Day. It was the first modern foray into electric vehicles for the US by any automaker, one that was rewarded by the State of California with what is now known as the Zero Emissions Vehicle mandate. The program not only forced other automakers into competing with Roger's pet project, but inspired all of them to fight it like small children against bedtime. Some years later, the drivers themselves weighed in, with a biting documentary about that obstinance and the leadership it cost both GM and the country. Within months, GM was first back into the fray of plug-in vehicles. Many criticized the company for starting with a PHEV rather than jump straight back into EVs. The choice wasn't totally out of the blue – even EV1 was meant to be followed by a PHEV. And especially on the heels of Who Killed the Electric Car?, some skittishness was understandable: even a successful EV would invite a "we told you so" public reaction, underscoring their mistake in ending the EV1 program. If a new EV didn't do well, they'd be convicted in the public eye as serial killers. All while seeking a federal bailout. For all the flak, the resulting Chevy Volt was and is a better car than GM has ever gotten credit for. But the company seemed to grow weary of having to overcome its varied past, and while the current owners remain happy, much of the stakeholder and community engagement that so effectively built early goodwill and sales growth faded not long after launch. Marketing has been spotty in both consistency and effectiveness.