Published: Fri, October 13, 2017
Culture | By Stewart Greene

GM Idling Detroit-Hamtramck Plant 6 Weeks

GM Idling Detroit-Hamtramck Plant 6 Weeks

General Motors plans to scale back production and temporarily shutter an assembly plant in Detroit through the end of the year amid a slump in auto demand across the industry.

Detroit-Hamtramck produces only passenger cars, including all of GM's larger sedans, such as the Buick LaCrosse, Cadillac CT6 and Chevrolet Impala.

Once production resumes at the end of the downtime, the company will reduce production by about 20 percent at the plant. Sales of the Volt fell 6 percent and Impala 31 percent, while sales of Cadillac's CT6 increased more than 50 percent.

When the factory reopens in early 2018, it will scale back production by 20 percent - or about 200 workers. Buick dealers had 284 days worth of LaCrosse sedans in inventory and GM had more than 100 days of Volt and CT6 cars on USA lots as of October 1, according to Automotive News.

GM, like Ford and other automakers, is realigning production as consumer demand shifts markedly from passenger cars to SUVs and trucks.

GM confirmed the report, saying it intends to keep its current production in line with demand.

GM eliminated a second shift at the plant earlier this year as consumer preferences shift away from sedans and coupes to pickups, crossovers and SUVs. Following this lay off, alternative work was found for the 2,900 hourly workers that were affected but production cuts can help automakers avoid deeper price cuts on cars they can sell.

GM has reduced the number of shifts at five plants.

A GM spokesman said there are no plans to reinstate any of those shifts at this time.

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