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GM can't keep up with most popular pickup orders

With the market for pickup trucks at its best since before the recession, General Motors can't afford any hiccups with the launch of its new 2014 Chevrolet Silverado and GMC Sierra twins, but it sounds like the popularity of V8-powered trucks is causing some supply-chain issues. Bloomberg reports that GM is experiencing a shortage of 5.3-liter V8 engines because an unnamed parts supplier has been unable to keep up with demand. This is leading GM to restrict the number of V8 Silverado and Sierra trucks that Chevrolet and GMC dealers are allowed to order.
Although it's unclear how long it will take to resolve the parts shortage, GM doesn't have much time to sort it out, as a new Ford F-150 looms on the horizon. At launch, GM's fullsize trucks were offered only with a base 4.3-liter V6 and the 5.3-liter V8, but a burlier 6.2-liter V8 will be available soon. Interestingly, at least at the moment, GM truck buyers don't seem as willing to downsize to V6 power as buyers of the F-150, which gets some 42-percent of its sales from trucks equipped with its EcoBoost V6 engine (not including the normally aspirated base V6).
Working out the kinks in the Silverado and Sierra's supply chain couldn't be more important to the health of the company. Full-size pickups are a huge profit driver - in 2012, the trucks were said to make up about two-third of GM's total profits.

GM offering factory-backed extended warranty for Chevys, GMCs, Buicks and Cadillacs

Cars are generally more reliable than ever before. When things do go wrong, every automaker offers some form of factory warranty (in most cases at least three years and 36,000 miles, though many extend even longer), providing peace of mind to new-car buyers that many faults will be fixed at no charge to the customer. Starting today, GM is offering a new optional plan that will extend the factory warranty on all new Chevy, GMC, Buick and Cadillac products. In the past, extended warranties have been offered as dealer add-ons, with all profits from these sales going to the dealership. GM's new program can be viewed as another nail in the the looming dealership-model coffin. According to Automotive News, some dealers aren't happy to see GM cut into their business like this, saying that it helps GM far more than it does dealers. GM says the new program will help keep customers in the GM family. Customers are also more likely to visit a GM service center rather than going to an independent repair shop. Currently, new Chevy and GMC vehicles come with three-year/36,000-mile warranties. Buicks and Cadillacs are covered for 4 years or 50,000 miles. The new program extends Chevy and GMC warranties to five years or 60,000 miles. Buick and Cadillac warranties extend to six years or 70,000 miles. GM, citing IHS Markit, says most owners keep new cars for about 6.8 years, so these warranties will cover most of the length of their ownership. The extended warranty will add between $1,000 and $2,000 to the price of a vehicle, and the additional cost can be rolled into the vehicle's purchase or lease price. Unlike many dealer extensions, the factory program covers the vehicle no matter who owns it. That should help increase the car's resale value if it's sold within the covered timeframe. GM says there's no deductible and no need to file a claim form when getting warranty repairs. Additionally, dealerships can continue to sell their own extended warranties or service contracts. Related Video:

New Toyota Tacoma, Ranger, Colorado/Canyon fight for midsize truck dominance

Sam Wedll has been driving his Toyota Tacoma pickup on the rugged roads of Northern California for seven trouble-free years, racking up almost 100,000 miles, so he’s interested in the redesigned version of the truck coming later this year. He paid $34,000 for his truck in 2016, loading it with plenty of options. HeÂ’s eyeing the new gas-electric hybrid Toyota Motor Corp. is going to offer, but Wedll, who does his own repairs, isnÂ’t interested in paying luxury prices. “The hybrid is pretty interesting to me because I like the idea of the fuel efficiency,” says Wedll, 47, a casino operations manager in Blue Lake, California. “IÂ’m just trying to save some costs wherever possible.” The Tacoma, known as the Taco to its legions of loyalists, is the leader of the pack in midsize pickups, one of the fastest-growing auto markets of the past decade. With outdoorsy weekend warriors and do-it-yourselfers looking for a truck that could fit in their garage, sales of midsize pickups more than doubled from 2010 to 2020. General Motors Co. and Ford Motor Co., which abandoned the market segment when sales slowed early this century, returned with new trucks to take on the Tacoma, which has dominated the medium truck market for almost two decades. Although it's easy to predict that the most lushly appointed versions of the new Taco could approach $50,000 (prices wonÂ’t be announced until later this year), Toyota insists it isnÂ’t backing away from budget buyers even as it rolls out fancier trucks. The current Tacoma starts at $28,030, and the company says affordability is critical to its success. In fact, Toyota will continue to offer the Taco with an old-school stick shift. The Tacoma controls 42% of the midsize truck market and outsells FordÂ’s offering 4 to 1. ThatÂ’s a role reversal from the full-size pickup market, where FordÂ’s F-Series has ruled the road for 46 years. Tacoma sales in the U.S. surpassed 237,000 last year, more than twice the number of GMÂ’s No. 2-ranked Chevrolet Colorado, according to consultant LMC Automotive. But as growth in the overall segment slows, the midsize market is developing into more of a turf war, with manufacturers vying for the sweetest highest-margin spots. “This segment is likely past its prime growth spurt,” says Jeff Schuster, president of the Americas for LMC Automotive.