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GM extends production cuts at North American plants

SemiMediaEdit
March 26, 2021

According to Reuters, due to global chip shortages, General Motors will extend production cuts at its North American plants.

The production cut plan originated from the announcement in February. On February 4, General Motors announced the suspension of its three plants in Kansas, USA, Mexico and Canada. Its Kansas plant produces Chevy Malibu sedans, and Mexico and Canada produce compact SUVs.

General Motors said its assembly plant in Wentzville, Missouri will suspend production in the weeks from March 29 to April 5. The company will also extend the shutdown of its Lansing, Michigan plant by two weeks, which has been shut down since March 15.

GM spokesman David Barnas said that this action has been included in the company's previous estimates that this year's profits may be reduced by as much as 2 billion US dollars. GM did not disclose how much production loss the move will cause, but said it intends to make up as much production loss as possible later this year.

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