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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 might outsource vans to AM General

General Motors will possibly boost production of the Chevrolet Colorado and GMC Canyon at the Wentzville Assembly Plant in Missouri by contracting out some commercial van manufacturing to AM General. Demand for the two midsize trucks continues to boom, and GM would like to take advantage of the strong market for them. The possible deal came to light in a letter to workers at the factory, according to Automotive News. "This potential partnership would free up production capacity and allow the organization to capitalize on our ability to build midsize trucks to further satisfy customer demand," a portion of the document allegedly said. AM General would reportedly only take over assembly of the cutaway versions of the Chevy Express and GMC Savana. Customers and critics have quickly embraced the latest Colorado and Canyon since their introduction. The Chevy just won back-to-back Motor Trend Truck of the Year awards. GM also had to add a third shift and extra workers in 2014 just to keep up with demand. The Wentzville plant even increased employment on the weekends earlier in 2015 to assemble an extra 2,000 of the trucks each month. While the two pickups boom, deliveries for the Chevy Express and GMC Savana are down 26.9 percent and 26.6 percent respectively through the first 10 months of the year. GM doesn't break out numbers for the cutaway versions, but they make up about a third of production, according to Automotive News. AM General built the Humvee for the US military and does some contract work with automakers. For example, the company's Indiana factory now produces the Mercedes-Benz R-Class for export to China. Here's hoping this potential deal will help both GM and AM General keep their factories humming. Related Video:

2016 Chevrolet Camaro: Everything we know so far [UPDATE]

UPDATE: We fully expect the floodgates to open as facts and photos leak throughout the day. Watch this space for more information as it breaks, including these leaked photos, and some new powertrain speculation. Chevrolet has made a grand production of teasing the all-new, sixth-generation Camaro. That slow trickle will become a deluge this weekend, when the 2016 model hits the stage on Detroit's Belle Isle as part of an all-day Camaro-palooza. Considering you're likely to hear plenty about the next-gen muscle car in the next couple days, we figured now is the perfect time to sort out all the facts and rumors we've heard about the next-generation coupe that's coming this weekend. Here's everything we know about Camaro Six. What Will It Look Like? Arguably the easiest Camaro question to answer after all the teasers and spy shots, General Motors' design team favored evolving the current car's retro design language while retaining the same basic shape. The long hood will carry on, joined by an even shorter, wing-topped rear deck, giving the 2016 an almost fastback-like look. The greenhouse is still slim, but lateral visibility may improve slightly owing to the larger quarter windows. We can only hope. The rear end looks to have been rounded, while Chevy's own teaser shows off larger, more prominent taillight housings than the simple rectangular lights on today's car. Expect quad-tipped exhausts to be offered on at least one version of the Camaro. Judging by the single teaser of the car's profile, the rear haunches will be larger and more chiseled. The muscular aluminum hood and its accompanying power bulge are more heavily styled than on today's car, although it looks largely similar in terms of size. It sits atop an even slimmer upper grille that's barely big enough for Chevy's Bowtie logo, with most of the visual mass moving to the gaping lower grille. One of the more tantalizing rumors surrounding the new Camaro focuses on its roof. As evidenced in a rather bizarre round of spy photos, it almost looks like Chevy is considering a removable panel, a la Corvette Stingray. T-tops are also a distinct (and more probable, we hope) possibility. The new shape will result in a more aerodynamic car, and Chevy claims the 2016 Camaro spent 350 hours in the wind tunnel. Overall lift has apparently been cut by 30 percent, thanks partially to a new, smooth underbody panel. Chevrolet has been far less forthcoming with information on the new Camaro's cabin.