General Motors is going to idle production at its Fort Wayne Assembly truck plant in Indiana for two weeks in March.
The car manufacturer recently informed employees at the factory that the pickup plant will be idled for two weeks starting March 27 in a move to manage inventory levels. The Chevrolet Silverado and GMC Sierra are currently manufactured at the factory.
“Our production is up over the past month while demand remains fairly consistent, leading to an increase in inventory,” GM spokesman Dan Flores told Auto News. “Therefore, as we stated on our earnings call, we are going to proactively manage inventory levels, including plant downtime. The plant constantly reviews and adjusts production schedules according to customers’ needs. All actions taken are in accordance with provisions of the UAW-GM National Bargaining Agreement and the local agreement.”
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While recently speaking on the company’s fourth-quarter 2022 earnings call, General Motors chief financial officer Paul Jacobson said that the automaker is aiming to have a 50 to 60-day supply of dealership inventory at the end of 2023.
“Within this portfolio target, trucks are expected to run at higher levels, reflecting greater customer-driven variation requirements, and sedans and SUVs are expected to run at this range or lower,” Jacobson said. “Throughout the year, sales seasonality, production schedules and timing of fleet deliveries may take us out of this range from time to time, but that is the targeted range at which we’ll manage.”
The Fort Wayne Assembly Plant is currently the only factory impacted by this announcement.
