2004 Gmc Yukon on 2040-cars

Auto blog

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.

GM profits threatened by glut of pickups

Automotive News reports that General Motors may slash production or ramp up discounts in order to deal with an oversupply of pickup trucks. GM currently has more than double the standard supply of pickups, and the vehicles are threatening to dampen the automaker's profits for 2013. Typically, automakers try to sustain a 60- to 75-day supply of vehicles, but GM is currently loaded with a 139-day supply, as of last month. At the end of November, the automaker was sitting on 245,853 units.
The manufacturer says that it will adjust production accordingly before laying any incentives on the profitable pickups. Even so, there's some concern that the inventory swell could hurt the roll-out of the next-generation Chevrolet Silverado and GMC Sierra. GM actually began slowly stepping back production in August, but it's clear the company will take further action as it heads toward the end of the year and into the next. Analysts predict the automaker could reduce pickup manufacturing by nearly half in the first quarter of 2013.
That still may not be enough to keep GM from laying extra cash on the Silverado and GMC Sierra. While the company's incentive spending was down in November compared to the same month in 2011, both the Ram 1500 and Ford F-150 saw double-digit percentage increases in sales last month while the Silverado and Sierra numbers slid compared to a year prior. Incentive spending could help move more trucks and add some balance to the GM inventory surge.

Editors' Picks June 2022 | Acura MDX and the revamped GMC Sierra

This month of Editors' Picks include a pair of excellent vehicles vying for a spot at the top of their respective classes. GM has long disappointed us with its latest generation of Silverado and Sierra pickups, but the 2022 update is a turning point. Plus, Acura rounds out its MDX lineup with a Type S model, and it's enough to earn an Editors' Pick. In case you missed our previous Editors' Picks posts, here’s a quick refresher on whatÂ’s going on here. We rate all the new cars we drive with a 1-10 score. Cars that are exemplary in their respective segments get EditorsÂ’ Pick status. Those are the ones weÂ’d recommend to our friends, family and anybody whoÂ’s curious and asks the question. The list that youÂ’ll find below consists of every car we rated in June that earned an EditorsÂ’ Pick. 2022 GMC Sierra 1500 2022 GMC Sierra Denali Ultimate View 44 Photos Quick take: GM fixes the GMC Sierra's biggest flaw this year with a new interior. Plus, it gains the AT4X trim for more off-road prowess and keeps all that was good from before. Score: 8.0 What it competes with: Ford F-150, Ram 1500, Toyota Tundra, Nissan Titan, Chevrolet Silverado 1500 Pros: Top-notch luxury interior, stout capability, wide range of great powertrains Cons: Ride is flinty/rough, looks that divide From the editors: Road Test Editor Zac Palmer — "It really depends on what trim level you spring for with the Sierra. Buy the Denali Ultimate, and the interior is just as good as the competition. If you're not going all out on luxury features, though, at least get the diesel. It's the smoothest operating diesel engine out there, and it's also efficient. This is one great truck when you set it up in the ideal configurations." Senior Editor James Riswick — "The GMC Sierra Denali interior has gone from "They just didn't try" to "They tried harder than everyone else." The Denali Ultimate's design, detailing and materials are particularly impressive. If you want a luxury truck, this delivers." In-depth analysis: 2022 GMC Sierra Review | GM's 'premium truck' is actually now premium   2022 Acura MDX 2022 Acura MDX Advance View 23 Photos Quick take: The MDX is one of the best luxury bargains in the three-row class. It has great looks, a sumptuous and sporty interior and even offers a Type S performance variant.