GM is extending the idling of its Factory Zero electric-vehicle plant amid slowing EV sales, while doubling down on its gas-powered trucks.
The details: The downtime at the Detroit manufacturing facility, which began on March 16, will now run through April 13, marking another output pullback at Factory Zero, Reuters reported.
Output at the plant, which builds vehicles including the Chevrolet Silverado EV and Hummer EV, was cut by about 50% in January.
The newly announced extension will include the temporary layoff of 1,300 workers at the facility.
What they’re saying: “Factory Zero will temporarily adjust production to align EV production with market demand,” said a GM spokesperson, per Reuters.
Why it matters: The move reflects the uneven pace of EV demand and the importance of keeping inventory aligned with what buyers are actually willing to purchase.
It also highlights GM’s growing reliance on gas-powered trucks to drive volume and profitability as its EV rollout continues to face headwinds.
To date, the automaker has reported $7.6 billion in writedowns on its electric-vehicle programs amid slowing sales across the segment and federal regulatory changes.
In contrast, GM is adding a sixth production day at its Flint Assembly plant to meet demand for the Chevrolet Silverado and GMC Sierra heavy-duty pickups.
Bottom line: GM is adjusting quickly to a market that remains far more dependable for traditional trucks than for EVs, signaling near-term opportunity will likely remain strongest on the gas-powered side, alongside a more measured approach to electric vehicles.
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