GM to Trim Output of Chevy, Buick Small Cars
General Motors Co. plans in July to begin cutting output of its Chevrolet Sonic and Buick Verano small cars 21% because of slumping sales, Automotive News reports.
General Motors Co. plans in July to begin cutting output of its Chevrolet Sonic and Buick Verano small cars 21% because of slumping sales, Automotive News reports.
The reduction will eliminate about 100 workers at GM's Orion Assembly plant north of Detroit by year-end. GM idled the factory for a week at a time on three occasions earlier this year and announced previously it will extend the facility's usual two weeks of downtime in July by an extra week.
Demand for the Sonic subcompact car dropped 29% to 29,100 units in January-May, according to Autodata Corp. The firm says Verano sales fell 16% to 15,300 over the same period. The two models haven't been significantly updated since their introduction four and five years ago, respectively.
Dealer inventories of unsold cars already have dropped from a 216-day supply in February to 67 days this month, according to AN. The newspaper says Verano supplies are at 51 days. The industry considers a 60-day supply normal.