The semiconductor shortage strikes again. We’ve previously reported a few General Motors’ punts – like killing HD radio and auto stop/start – to keep its full-size trucks rolling off the line. But here we are. GM will halt full-size truck production from July 26 through August 2.
In a notice to union members obtained by the Detroit Free Press, GM states it will idle three plants: Flint Assembly, Fort Wayne Assembly and Silao Assembly in Mexico. All three plants build either heavy-duty or light-duty full-size GMC Sierras and Chevy Silverados.
According to the Free Press, GM spokesman David Barnas said: “We expect it to be a near-term issue.”
Meaning that this will all be over soon. We hope.
This new directive is in contrast to statements made in June that GM planned to increase production in July.
Lest you think GM is the only one having this problem, it should be noted Stellantis North America has cut production of the Ram 1500, and Ford has reduced shifts at the Dearborn Truck Plant, which builds the F-150.
One of the truck makers that hasn’t made news about semiconductor shortage woes: Toyota. Why? According to an article on the Motorious website, it’s due to a change in supply-chain management practices post Fukushima earthquake in 2011.
GM is not going to be the last automaker to halt, cut or idle full-size truck production before we make it out of the other side of the semiconductor shortage. And just because Toyota is holding the line on production now, that could change by the end of the year. And that stinks since we’re expecting the 2022 Tundra to hit around that time.
However, most analysts are predicting the chip shortage will last through 2022. So, that combined with the fact Cox Automotive announced the average new vehicle price is up $2,527 year-over-year leads me to say this: Now is not the time to buy a new truck if you don’t have to.