GM Hikes Incentives on Fullsize Pickup Trucks

General Motors Co. has sharply increased sales incentives in the U.S. for its large pickup trucks, even as its domestic rivals are lowering their discounts on competing models.

GM’s average incentives for the Chevrolet Silverado and GMC Sierra have surged 56% to $7,000 and 82% to $5,300, respectively, over year-earlier levels, Bloomberg News says. The news service cites  non-public data from J.D. Power’s Power Information Network.

The hikes come as demand for both GM models is slipping. Last year sales of the Silverado and Sierra dropped 4% and 1%, respectively, according to Autodata Corp. Over the same period, demand for the segment-leading Ford F-150 pickup rose 5%, and sales of Fiat Chrysler Automobile’s Ram truck brand surged 9%.

Pickup trucks are among the industry’s most profitable models, generating gross profit of $8,000-$10,000 per sale, Bloomberg says. GM tells the news service it has hiked spending during its “Truck Month” promotion to defend its market share.