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There's an impending shortage of new trucks in America's heartland

URBANDALE, Iowa — Jerry Bill is worried the novel coronavirus could hurt business at the Des Moines auto dealership he runs, but not because of a shortage of buyers for the big Ram pickups on his lot. "Our biggest issue will be if we don't get more inventory," said Bill, general sales manager of Stew Hansen Chrysler Dodge Jeep Ram, which sells around 2,700 new vehicles a year in Urbandale, a suburb of Iowa's capital Des Moines. After a drop in sales in April when consumers stayed home, Bill expects pickup truck sales to end May similar to where they were a year earlier. And if demand remains strong, Bill said he will run out of popular models in June. Fiat Chrysler began slowly restarting Ram truck assembly lines on Monday after a two-month shutdown. The U.S. economy contracted in the first quarter at its sharpest pace since the Great Recession of 2007-2009 because of lockdown measures aimed at slowing the spread of the coronavirus. Economists warn the second quarter will be much worse. Still, far from the lockdowns of states like New York, Michigan or Ohio, dealerships like Stew Hansen have provided FCA and Detroit rivals General Motors and Ford a rare bright spot: strong sales of pickup trucks in America's heartland. Overall U.S. sales of cars and light trucks crashed to the weakest pace in 50 years last month. But sales of big Detroit brand pickups, particularly in southern and western states less affected by the outbreak, significantly outperformed the market, industry executives and analysts said. Pickup trucks are one of the most profitable automotive segments in the world. They account for a huge portion of the Detroit automakers' profits and formed a huge lure for Peugeot, which expects to merge with FCA by early 2021. The pressure is now on to boost pickup truck production and send vehicles to dealers in parts of the country with dwindling supplies. That is particularly true for GM, which is running short of certain truck models after losing 40 days of production to a strike last fall. "If you don't have what someone wants, they can choose to go to another brand," said Cox Automotive analyst Michelle Krebs. 'Easiest swap ever' Detroit automakers in March rolled out large discounts — such as interest-free loans for seven years — to keep vehicles rolling off dealer lots.

GM announces net 220 job increase as Trump visits Michigan

GM announced today that about 900 jobs would be added (or, importantly, retained) ahead of President Trump's arrival in Michigan, where he is expected to discuss his plan to roll back fuel economy standards. The timing of the announcement is almost certainly not coincidental, as appending it to a Trump visit gives it a higher profile and dovetails with the President's jobs agenda. It's less likely the decision itself was made for those reasons, but the free PR boost is a nice bonus. As for those 900 jobs themselves, they aren't all new jobs. The only net gain is approximately 220 jobs at the Romulus Powertrain Plant, which produces the 10-speed automatic transmission that's proliferating through the company's lineup. The 180 jobs at Flint Assembly and 500 jobs at Lansing Delta Township are retained jobs – that is to say, spots the company found for workers who would otherwise have been laid off. By the way, the Flint jobs will help with production of heavy-duty pickups, and the Lansing jobs are to produce the Chevrolet Traverse and Buick Enclave. Finding jobs for manufacturing workers in the auto sector, whether new or retained, is admirable. No matter how GM couches it, the company has created or retained a total of 7,000 jobs this year, and its total reinvestment in US production is around $1 billion. But these decisions are business ones, not political ones – timing the announcements to make them seem inspired by economic policy, or the political situation, is simply smart PR. Related Video: Image Credit: Bill Pugliano/Getty Images Celebrities Government/Legal Buick Cadillac Chevrolet GMC

2022 GMC Terrain from $600 to $900 less expensive

The 2022 GMC Terrain is another one of those vehicles that, despite current economic trends, costs less than the 2021 model year — and GMC hasn't cut equipment as a way to justify the cuts. That doesn't mean there aren't any changes, though. The base SL trim level is gone, the SLE taking over at the entry-level point. Opting for AWD on the SLE and SLT trims adds $1,600 to the price, no change from 2021. Slotting into the lineup to maintain a four-trim range is the AT4 model that tilts at off-road use. The top shelf Terrain Denali no longer comes with front-wheel drive, either, AWD the only choice now. That makes the only Denali $700 more expensive than shoppers could pick up a 2021 Terrain Denali for; however, the AWD model is less expensive. Prices for the 2022 Terrain and the differences from 2021, after the $1,195 destination charge, are: SLE FWD: $30,290 ($600 less)  SLT FWD: $34,290 ($700 less) AT4 AWD: $36,390 (New model) DENALI AWD: $39,190 ($900 less) As part of the refresh for 2022, all Terrains get larger grilles, all-LED exterior lighting with larger headlights and new C-shaped taillights. Both the AT4 and Denali get unique grille designs, the former fitting a gunmetal grey design with thick slats, the latter an all-chrome matter with more delicate lattice-work between the slats. The AT4 also boasts a front skid plate for protection, plus chunkier tires. The Elevation trim returns, too, as a black-out appearance package for the more entry-level SLE and SLT trims. The interior is mostly unchanged except for a revised shifter panel — the buttons are new, but the same controversial design remains. There are new features available, though. Apple CarPlay and Android Auto are still standard, but now they're wireless. A head-up display is available as an option for SLT and AT4, while it comes standard on the Denali. The Denali also gets an 8-inch screen in the instrument panel. Only the turbocharged 1.5-liter four-cylinder and nine-speed automatic have been announced for the Terrain, making the same 170 horsepower and 203 pound-feet of torque as before. We're expecting a higher-horsepower, larger-displacement engine to be offered in the near future. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.