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Huge, pricey trucks haul jobs and profits for the Detroit Three

DECATUR, Texas — Mickey McMaster is on his 12th pickup truck. The 61-year old farm equipment dealer in Decatur, Texas, two weeks ago treated himself to a 2019 GMC Denali for around $69,000 — a reward for long hours at work. "For me this is the Cadillac of trucks, it's a real luxury vehicle," McMaster said. "I've worked my way up to afford a truck like this and it shows that I've earned it." McMaster is the kind of customer General Motors Co is banking on as it plans to add 1,000 jobs at a plant in Flint, Michigan that will build a new generation of its largest pickups. Demand from Texas and other heartland states for big pick-ups is providing a lifeline to many workers the No. 1 U.S. automaker is laying off at plants elsewhere. The Detroit Three automakers and thousands of their U.S. workers are counting on customers like McMaster to keep buying bigger and more luxurious pickup trucks even if overall U.S. vehicle demand weakens this year, as most analysts predict. At Flint, GM will build a new generation of its heavy-duty Chevrolet Silverado and GMC Sierras, including luxury models that are some of the most profitable vehicles on the planet. GM, Ford Motor Co and Fiat Chrysler Automobiles NV's Ram division own the segment and are each doubling down with new or redesigned models launching this year. Sales of heavy-duty pickups in the United States have grown to more than 600,000 vehicles a year, up more than 20 percent since 2013, according to industry data. Prices for luxury models can easily top $70,000. GM on Tuesday celebrated the launch of a new generation of heavy-duty GMC and Chevrolet pickups at the assembly plant in Flint, Michigan, that is now building all such trucks for the company. At the same time that GM is laying off thousands of U.S. workers and planning to shutter five North American factories, Flint is hiring. The plant runs on three daily shifts, six days a week. As the new model's assembly system ramps up, the plant's capacity will increase by more than 25 percent, plant manager Mike Perez told Reuters. The Flint plant plans to add 1,000 workers, more than half of the 1,500 factory workers who have asked to transfer from plants GM has targeted for shutdown as part of CEO Mary Barra's restructuring plan. "We're bringing in 50 to 100 people every week," said Perez. Workers last week were still finishing the job of retooling the Flint factory to build the new heavy-duty trucks as part of a $1.5 billion investment project.

Specialty Vehicle Engineering's 750-horsepower GMC Canyon fully revealed

GMC's celebrated Syclone will turn 30 in early 2021, but nothing suggests the company will mark the occasion by releasing a modern interpretation of the pickup. New Jersey-based tuner Specialty Vehicle Engineering (SVE) is taking the matter into its own hands by building a limited number of GMC Canyon trucks with Hellcat-like power. Although the original Syclone received a turbocharged V6, the 2021 model gains a 5.3-liter V8 normally found in bigger vehicles, including the Sierra and Yukon. SVE rebuilt it with forged aluminum pistons, forged steel connecting rods, high-lift valve springs, a custom crankshaft and upgraded fuel injectors among other aftermarket parts. It also added a supercharger to raise the eight's output to 750 horsepower and 600 pound-feet of torque. Power flows to the four wheels via a strengthened 8-speed automatic transmission and a permanent all-wheel-drive system. For context, the first Syclone gave the Chevrolet Corvette a run for its money with a fuel-injected, 4.3-liter V6 turbocharged to 280 horsepower and 360 pound-feet of torque. These numbers were spectacular in the early 1990s since the Sonoma that Syclone was based on shipped with the 105-horse Iron Duke four-cylinder as standard. Even compared with the Sonoma GT that got a naturally aspirated 4.3-liter V6 with 195 horsepower and 260 pound-feet of torque, the Syclone was impressive. SVE installed six-pistons front calipers that clamp 13.6-inch slotted rotors, and it kept the factory brakes out back. It also lowered the suspension by two inches in the front and five inches in the back, upgraded the shocks, and added a heavy-duty rear sway bar. These modifications help drivers make the most of the extra power, but SVE hasn't published performance specifications (like the truck's zero-to-60-mph time) yet. Surprisingly, the eight-cylinder weighs almost the same as the V6 it replaces so the engine swap doesn't affect weight distribution. Visually, the Syclone can't be mistaken for a run-of-the-mill Canyon. It wears a deep front bumper, has cladding over the rocker panels and rides on 20-inch alloys. Edition-specific emblems round out the look, and the list of options includes a body-colored grille as well as a folding tonneau cover. SVE's images show a truck painted black, which was the only color offered on the 1991 model, but it's available in any factory hue. Inside, the modern-day Syclone gains special floor mats and a numbered plaque on the dashboard. Leather is optional.

GM to idle Indiana truck plant for two weeks over chip shortage

WASHINGTON —General Motors said Friday it will idle for two weeks in April an assembly plant in Indiana that builds pickup trucks, over ongoing semiconductor chip shortages. The Detroit automaker said it will halt production at its Fort Wayne assembly plant, which builds the Chevrolet Silverado 1500 and GMC Sierra 1500, for two weeks starting April 4. "There is still uncertainty and unpredictability in the semiconductor supply base, and we are actively working with our suppliers to mitigate potential issues moving forward," GM said Friday. The automaker said this is its first semiconductor-related full-size truck production downtime since August. GM noted that overall it has "seen better consistency in semiconductor supply through the first quarter compared to last year as a whole. This has translated into improvement in our production and deliveries during the first three months of the year." GM Chief Executive Officer Mary Barra met with some lawmakers on Capitol Hill this week, including Republican Senator Todd Young of Indiana. GM is backing a bill in Congress to provide $52 billion in government subsidies to boost U.S. semiconductor manufacturing. GM said that legislation could help "alleviate the ongoing shortage that continues to impact U.S. automotive manufacturing." (Reporting by David Shepardson; editing by Jonathan Oatis) Related video: