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GM Cuts Production, Boosts Investment in Tennessee
General Motors Co. says it will eliminate third-shift production in November at its SUV vehicle assembly plant in Spring Hill, Tenn., to help balance dealer inventories of unsold Cadillac XT5 and GMC Acadia crossover vehicles.
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General Motors Co. says it will eliminate third-shift production in November at its SUV vehicle assembly plant in Spring Hill, Tenn., to help balance dealer inventories of unsold Cadillac XT5 and GMC Acadia crossover vehicles.
Separately, GM is preparing to invest $294 million in the facility to prepare it to begin building an all-new Caddy crossover, presumably the compact XT4 due next year, Automotive News reports. Last January GM announced a $47 million program at Spring Hills to prepare the facility to make right-hand-drive versions of the Acadia for the Australian market.
Spring Hill added a third shift in January to bolster Acadia and XT5 output. Both models are selling well, but AN says dealer supplies of the two crossovers are at 105 days and 68 days, respectively. A 60-day inventory is considered ideal.
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