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GM now finishing and shipping pickups it had parked for lack of chips

DETROIT — General Motors is more than halfway through shipping newly-assembled pickups that it had parked due to a shortage of semiconductor chips, a top executive at the No. 1 U.S. automaker said on Friday. "We've made great progress," Steve Carlisle, GM's North American chief executive said at the Reuters Events Automotive Summit. "We're a bit better than halfway through that at the moment and our goal would be to clear out our '21 model years by the end of the year. We'll have a bit of a tail of '22 model years into the new year but not for too long." The global chip shortage has forced automakers like GM to idle production or in some cases mostly build vehicles and then park them until the necessary chips can be installed, allowing those vehicles to be then shipped to dealers. Last month, GM Chief Financial Officer Paul Jacobson cautioned that GM's third-quarter wholesale deliveries could be down by 200,000 vehicles because of chip shortages. He did not break out what share of that was trucks. To expedite transportation of newly-built vehicles to dealers, Carlisle said GM bought a number of car haulers to deliver them from factories or distribution centers. The Detroit automaker has also allowed dealers to pick the vehicles up themselves in some locations. Carlisle said new vehicle inventories have shrunk to below 20 days in the United States due to the supply chain disruptions, but the company wants to get that back up to 30 to 45 days with some getting to 60 days depending on the product line. GM sees sales of gasoline-powered vehicles being steady over the decade and real growth opportunity in electric vehicles and software, with one not undermining the other, he said.  

2024 GMC Hummer EV SUV First Drive Review: Still impressive, even out of its element

SAN FRANCISCO – Our first experience with the GMC Hummer EV in any form was spent in an environment clearly ideal for such a vehicle. That first drive of the production-ready truck was in Arizona, a place with large, open freeways and rocky, desert terrain. Notably, they were areas that could showcase the Hummer's strengths: enormous power and acceleration, a lack of trees or narrow lanes to hinder its size, and sufficiently rocky terrain to demonstrate its remarkable off-road abilities. So it was particularly strange that the media's first experience with the Hummer EV SUV would involve the tight streets and twisty mountain passes of San Francisco and Napa Valley, locations that certainly would seem to put the Hummer on the back tire. In some ways they certainly did, but at the same time, they revealed the Hummer is surprisingly capable out of its element, and maybe even a good fit for the area. The start of our driving time involved leaving downtown San Francisco and heading up Highway 29 to Napa where GM had set up a number of demonstrations like those at the truck first drive, and where our winery hotel was. In the birthplace of Tesla, where Models of all letters and number are ubiquitous, the monster black Hummer definitely stood out. And not just for its sheer size: it is the technological flagship of General Motors, perhaps the most traditional of American car manufacturers. On the other hand, the locale also felt appropriate given that flagship status, from its flashy instrument and infotainment displays, to its acrobatic suspension and steering systems. This is as good a time as any to go over what makes the Hummer EV SUV different from the truck. Obviously it has a solid roof over a cargo area instead of an open bed. It's also the smaller of the two giants: total length is 20 inches shorter (excluding the spare tire) and the wheelbase is 8 inches shorter. That pays a few dividends in maneuverability both on and off road. The turning circle of the SUV is 1.7 feet smaller, at 35.4 feet, which is almost 3 feet tighter than that of the Chevy Bolt EUV. The breakover angle is also improved by 10.6 degrees (49 at max ride height) and the departure angled by 2.2 degrees (34.4 at max ride height). Though the bed is gone, the interior cargo space is certainly spacious, with maximum capacity of 81.8 cubic feet with the rear seats folded perfectly flat into the admittedly high load floor.

GMC's Denali offerings are going great guns

The Denali trim that GMC uses to denote its top-of-the-line vehicles was introduced back in 1999, partly as a way to challenge the recently introduced Lincoln Navigator. Fifteen years later, and with GMC the tenth-largest US automotive brand by itself Denali has become a sub-brand that keeps the cash registers ringing at the Renaissance Center HQ. While GMC increased sales by 9 percent in 2013, TheDetroitBureau.com reports that that Denali sales rose by 20 percent.
There are currently five Denali models in the GMC line, with the Denali trim available on all but its commercial vans. In 2010, when the now-discontinued Yukon XL Hybrid was also on sale, GMC sold 32,886 units of its top trim. Last year, that number had increased to 75,558, with almost no help from traditional marketing spends. Go to YouTube and search for "GMC Denali commercials" - the few actual commercial results are from years ago. GMC marketing director Roger McCormack tells TheDetroitBureau.com, "It's largely all been organic."
As sales have grown, so has the tide of money GMC rakes in from the additional luxury features on Denali models. The 2015 Chevrolet Tahoe starts at $44,600, yet its 2014 Yukon Denali doppelganger starts at $58,320, pricing that includes additional features like the larger 6.2-liter V8, nicer interior, head-up display and magnetic ride control suspension. The Yukon XL Denali starts at $60,965, but the article says the "average customer" likely to spend "up and above $70,000" to take one home. How does that happen? On a top-trim Tahoe LTZ, the top-tier wheel option is a set of 20-inch chrome wheels for $400; on the 'base' Yukon Denali you can swap for a set of 22-inch chrome alloys for $2,995. Add it up, and an analyst at AutoTrends Consulting said that kind of margin "epitomizes the concept of obscene profitability." We say when it comes to Denali, GMC appears to stand for "Grabbing More Cash."