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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 slashes prices in China as sales falter

Buying a vehicle from General Motors' stable of brands might be a lot cheaper in the near future – at least for customers in China. The effort comes as GM hopes to keep sales there growing, and the decision alludes to yet another sign that the Asian country no longer has the booming auto market of past years. GM and its Chinese joint venture partner SAIC are slashing prices by as much as the equivalent to $8,700 on 40 models from Buick, Chevrolet, and Cadillac, according to The Detroit News. Across all of automaker's nameplates, the overall sales dipped in China in April by 0.4 percent to 258,484 vehicles. Among the drops, Buick was down 8.5 percent, and Chevy shrunk 5.6 percent. Caddy's numbers increased 4.6 percent for the month, though. Buick remains a popular brand in the minds of Chinese consumers, but according to The Detroit News domestic automakers there are starting to eat into the dominance of foreign companies in the market. The country remains important for GM, though. Late last year, it outlined a future strategy that included China as a major pillar, including a $14 billion investment to build five new factories and boost sales. News Source: The Detroit NewsImage Credit: Alexander F. Yuan / AP Photo Buick Cadillac Chevrolet GM Car Buying Car Dealers saic

2016 Chevrolet Colorado Diesel First Drive [w/video]

The first thing you notice inside the diesel Chevy Colorado is that it's quiet. Almost too quiet. A lot has been done to quell noise and vibration with this new powertrain, and it shows – or rather, doesn't. There's some characteristic diesel clatter at idle, but even then it's distant and practically disappears as you start moving down the road. At full throttle, when the engine is at its noisiest, the sound isn't particularly diesel-like, just a pleasant intake breath. The accompanying smoothness is almost eerie. When we ask where all the noise went, Chevy's engineers, marketing guys, and PR reps all explain that this refinement is what Americans want. We're still not sure. This is a truck, after all, and the diesel pickup customer is different from the guy buying a diesel Cruze for his highway commute. Chevy contends that they're also not the same as the buyer of a Silverado HD. Although this 2.8-liter Duramax four-cylinder has been in service elsewhere around the globe, its first US application is in the Colorado and its GMC Canyon twin. The engine puts out 181 horsepower and 369 pound-feet of torque, and it does so unobtrusively as a result of a lot of modifications for our market. To keep normal diesel sensations out of the cabin, the intake and oil pan both get acoustic treatments. A new, thicker material is used for firewall sound deadening. Redesigned balance shafts have tighter tolerances to increase smoothness. The diesel powertrain is smoother than the Colorado's gasoline V6. One of the more interesting and certainly unexpected vibration-reduction changes is a special torque converter from German supplier LuK equipped with a centrifugal pendulum absorber. This pendulum spreads from the center of the torque converter as engine speed increases and is tuned to absorb the four-cylinder's second-order vibrations, not just those in a narrow frequency band. It does an admirable job, especially considering the engine's biggish, 0.7-liter cylinders, which lead to bigger vibrations. The result is a powertrain that's smoother than GM's (not particularly smooth) corporate V6, which is available in the standard Colorado. It's quieter than a Cruze diesel and even out-softens some gas direct-injection engines on the market. Paradoxically, it may be the most refined of all of the Colorados. No vibration comes through the steering wheel, pedals, floorboards, or even the rearview mirror. But you can tell it's a diesel when you hit the throttle.