• The Civil Rights Committee is asking for donations of display items for the Irish Heritage day to be held Thursday, March 12. These items will be displayed for one day and then returned. You can donate items at the benefits office or the EAP office of Ron Moore.
• From Automotive News: General Motors' full-size vans have been in short supply for months as GM scrambles to boost production at a St. Louis-area assembly plant, frustrating some fleet customers and dealers.
The trouble began last fall, when GM started production of the new Chevrolet Colorado and GMC Canyon midsize pickups at its plant in Wentzville, Mo. That's where GM has made its full-size vans -- the Chevy Express and GMC Savana -- for two decades. With GM in full launch mode on the pickups, van production has dropped by as much as two-thirds. GM cut off dealer orders for 2015 Express and Savana models in October, more than six months earlier than usual. It's expected to resume van orders this summer, for 2016 models.
Dealers have been left to soothe their fleet customers. Even on vans that dealers requested before GM closed the order bank, delivery has been pushed back by months in some cases, dealers say.
"Customers are canceling van orders because they don't want to wait until July or August for delivery," said a fleet-sales manager at a Chevy dealership who asked not to be named. GM plans to add a third shift of 750 workers at Wentzville this month. Even then, it likely will take many months to clear the backlog of van demand. GM is considering running the plant 24/7 -- three shifts on Saturdays and Sundays -- once the third shift begins, according to a person familiar with the proposal.
GM spokesman Bob Wheeler said the company has been surprised by the initial demand for the Colorado and Canyon, as well as the strong van sales in 2014. Combined Express and Savana sales rose 11 percent to 105,993 last year. Meanwhile, the pickups are spending a scant 16 days on dealership lots, on average, before they're sold, according to J.D. Power data cited by GM. "With both products experiencing extremely high demand, we're doing everything we can to produce more of each to satisfy the market," Wheeler said.
Ken Thompson, fleet manager for Classic Chevrolet in Grapevine, Texas, said he has been working closely with fleet customers to nurse their current vans a few more months until new ones can be delivered. Most have been understanding. "We have had some orders delayed because of the uncertainty of when we could get them delivered," Thompson said. "Whether we've lost them or not, we can't really know."
• General Motors Co. dealers in the United States delivered 231,378 vehicles last month. Total sales were up 4 percent compared to a year ago. Retail sales were up 1 percent. Commercial and fleet deliveries were up 12 percent. Sales of trucks, including SUVs, vans and pickups, were up 36 percent year over year. “Our new SUVs and crossovers, combined with the three-pickup strategy we outlined more than a year ago, are dovetailing perfectly with the growing U.S. economy and a stronger job market,” said Kurt McNeil, U.S. vice president of Sales Operations.
“Six months into its launch, the Chevrolet Colorado is the industry’s fastest-selling pickup, regardless of brand or model year,” he added. “The Silverado had another great month, with sales, market share and average transaction prices up sharply. And when you add the GMC Sierra and Canyon to the mix, GM’s year-over-year pickup deliveries increased 37 percent. That follows January’s 42 percent increase and December’s 43 percent increase.”
According to J.D. Power PIN data, the average Chevrolet Colorado – Motor Trend magazine’s unanimous choice for 2015 Truck of the Year – spends just 15 days in dealer stock from the day it arrives on the showroom floor. PIN also estimates that the Chevrolet Silverado’s retail market share in the full-size pickup segment was 27.2 percent in February, up 1.5 percentage points from a year ago, at the expense of Ford’s F-Series and FCA’s Ram. Average transaction prices rose by almost $1,700 per unit from a year ago. In addition, strong truck and crossover sales drove the GMC brand to its best February since 2002.
Highlights (vs. 2014 except as noted)
Chevrolet:
- Chevrolet had its best February since 2008.
- The new Trax small crossover, which began arriving in showrooms in December 2014, saw deliveries of 3,821 units.
- The Camaro, Corvette and Spark were up 3 percent, 7 percent and 4 percent, respectively.
- Tahoe sales were up 49 percent, Suburban sales more than doubled and the Traverse was up 28 percent for its best-ever February. The Equinox also had its best-ever February sales, with deliveries up 1 percent.
- The Silverado was up 24 percent for its best February since 2007. GMC:
- The Yukon and Yukon XL were up 43 percent and 85 percent, respectively.
- The Sierra, which has the highest average transaction prices of any pickup line in the industry, was up 6 percent.
- GMC dealers delivered more than 2,500 Canyons, AutoWeek magazine’s “Best of the Best/Truck” for 2015. It was the vehicle’s best-ever February sales.
- The Acadia was up 4 percent and Terrain was up 17 percent for its best-ever February.
- The Denali series vehicles are now 21 percent of all GMC vehicles, up from 18%.
Buick:
- Encore deliveries rose 60 percent for its best February ever. It remains the best-selling vehicle in the small crossover segment.
Cadillac:
- Demand for the new Escalade continues to grow. Sales were up 86 percent for the vehicle’s best February since 2008.
Average Transaction Prices (ATPs): ATPs were $34,700, according to PIN estimates through Feb. 22, up $2,700 per unit compared to a year ago.
Incentives: Incentive spending as a percentage of ATPs was 9.7 percent in February, down 0.9 percentage points month over month, according to PIN estimates. while industry average spending was 9.9 percent of ATPs, up 0.1 points.
Tom Brune
UAW Communications Coordinator
Wentzville Assembly
636-327-2119
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