BN: GM Will Boost GMT900 SUV Production

[Perian]

Source: Bloomberg NewsRadio

Bloomberg Radio is reporting this morning (03/22) that GM is planning a production increase for its new line of full-size SUV's by 12,000 units during calendar 2006.

It quoted a GM source as saying that they expect to put at least 10,000 Chevrolet Tahoe's in the hands of consumers during March.

[coaster.n3rd]

That is a good size number that I am sure they will have no trouble reaching.

I have yet to find a Chevy dealer with a Tahoe on the lot that is not sold or reserved.

[Mrbowtie]

Originally Posted by coaster.n3rd

That is a good size number that I am sure they will have no trouble reaching.

I have yet to find a Chevy dealer with a Tahoe on the lot that is not sold or reserved.

Not around here (NJ). Many dealers around here have plenty of stock, the dealer I just bought my HHR from has 11 in stock.

I have only seen one on the road in Essex county NJ and I drive 36k miles a year.

I see alot of armadas, FX35/45, Toyota and Lexus full size crapmobiles.

[johnny smallblock]

It doesn't matter how many they have in stock, it only matters (a) how fast they're selling, and (b) whether or not there are incentives.

If the 900s match sales expectations I think Gm should demand an apology from every hack journalist who said it was fatal to pull ahead production.

[Xeper]

Lets just hope this doesnt backfire and they end up having excess invnetory they cant sell. Theyre doing great but they shouldnt push it.

[hotrod1949]

In an earlier thread, there was mention of a 900 plant going on OT, if that is where the extra production is coming from, it is very easy to cancel volume if the sales drop off.

[member12]

good news that there is demand.

I like the Tahoe LTs. The running boards and 20" are a bit much on the LTZ. makes it look too minivanish. The LTs have a more rugged look. Those are the ones I see all over the place now.

I wouldn't increase production yet. you still have tons of 800s on dealer lots (not to mention a recent stockpile of 900s). And the new Sequioa (with a 6 speed) will be out soon, and the new Expedition will provide some competition. 12,000 units isn't exactly a small amount.

I thought the point was not to increase sales, but to let everyone else's sales decrease? I don't want incentive wars again for GM survival.

[mobyss]

Originally Posted by Xeper

Lets just hope this doesnt backfire and they end up having excess invnetory they cant sell. Theyre doing great but they shouldnt push it.

BINGO!

Let's see, GM is always in trouble because they put all their marbles in full-size SUVs, then when the market softens or gas prices go up and sales fall off, they lose 10 BILLION dollars in a year (2005).

Hmmmm, maybe they should put more resources into smaller cars? A good midsize that can beat the Camry and Accord?

NO - "Let's just build as many big SUVs as possible while we can and ignore all other segments! It worked before - uh, um, ok, well - it will work THIS time! (we hope)"

[01cavalier]

Adding 12,000 is good, as long as they do not try to count on selling huge numbers forever...if it is from OT at the plants, then this would make sense.

[asim]

This is great news... xD

[ChevroletRevived]

Excellent news. The 900's are everything I expected them to be; and much better. It looks like it's a hit for GM. They needed this; badly.

[mw3538]

Well around here I have yet to see many on the lots. I have seen quite a few and I drive about 53,000 miles a year.

[93typhoon]

Originally Posted by mobyss

BINGO!

Let's see, GM is always in trouble because they put all their marbles in full-size SUVs, then when the market softens or gas prices go up and sales fall off, they lose 10 BILLION dollars in a year (2005).

Hmmmm, maybe they should put more resources into smaller cars? A good midsize that can beat the Camry and Accord?

NO - "Let's just build as many big SUVs as possible while we can and ignore all other segments! It worked before - uh, um, ok, well - it will work THIS time! (we hope)"

Blah blah blah - if only GM built small cars, if only GM would build i-pods.

GM full sized trucks were at the end of their life cycle and GM replaced them with a world class product - stop b!tchin. GM brought this program forward so they could make more of that $10,000 profit per vehicle.

Every extra unit they sell will help build a better small car or hybrid in the future. SUVs and Trucks are the profit drives for ALL car makers. Every Sequoia Toyoda sells for Big profit allows it to sell a Civic and a Prius at little or no profit.

What would you have had GM do?? - let the old platform linger on for years? So people could b!tch in 2008 that GM let the platform go to long without changes. By then GM would have lost share in the profitable truck segment to Nissan and Toyada.

[mikesright]

Originally Posted by mobyss

BINGO!

Let's see, GM is always in trouble because they put all their marbles in full-size SUVs, then when the market softens or gas prices go up and sales fall off, they lose 10 BILLION dollars in a year (2005).

Hmmmm, maybe they should put more resources into smaller cars? A good midsize that can beat the Camry and Accord?

NO - "Let's just build as many big SUVs as possible while we can and ignore all other segments! It worked before - uh, um, ok, well - it will work THIS time! (we hope)"

Yeah, I mean it's not like GM focused on cars enough while they let the 8-year old SUV's and trucks rot at all, right?

And they should focus on low-margin vehicles and abandon the high-margin SUV's while the Japanese and Koreans attack that, right?

And it's not like any other manufacturer is trying to gain share in this market, save for Ford, Chrysler, Toyota, Honda, and Nissan, right? It's not like any IMPORTANT manufacturer has ANY plans for more SUV's, because they're BAD, right?

Apparently, GM is going to ignore the car market completely now, because they haven't quite got every planned '07-'09 Aura, Camaro, G7, Aveo, etc, out yet.

I could go on and on about this stuff, but here's the plan, and it's extremely smart.

Priority
1. Get the most profitable 60% of the lineup to be state of the art, with that mostly being on the GMT-900's and 360's (SUV's and Trucks).

2. Get the midsize market going with the Aura, and continue to get the rest of the G6 models out, facelift the Malibu.

3. Save Chevy, Saturn, GMC, and Buick. Buick gets the Enclave, Lucerne, LaCrosse, and gets more brand-focused, Chevy and GMC gets the trucks and SUV's they need, and Saturn gets the Sky, Aura, Outlook, Vue, and Ion.

4. Get Hummer going- H3 is massively improving sales, expect the H2 to be upgraded to the 900 platform soon, and get a Hummer truck and Wrangler-beater H4 out there, and cover the lineup with the new Alpha performance options.

5. Get Saab (and the rest of GM Europe) profitable again. Saab will get the 9-3 and 9-5 redesigns soon, new 9-4X and 9-6X models, and Opel/Vauxhall will get edgy designs. Chevy will step in and be the entry level, while Cadillac gets a new BLS and fulfills the Luxury niche.

6. Save Pontiac with the Zeta platform. Expect a new GTO and G7 (replacing Grand Prix) in '08, and the G5 should be more distinctive than the '07 model when they start the redesign in '08 or '09 of the entire Delta lineup.

7. Keep Cadillac going, they will debut the new CTS soon, and expect revisions for the SRX, and the rest of the lineup to be quickly paced, and the new Bose suspension should keep Cadillac's momentum going, and it will earn the "Standard of the World" right again as they produce the ULS, and expect the BRX and the XV12 engine to come to production in some form in the next few years as well.

[GM_Fanatic]

I see more Tahoes then Fusions. 10,000 of those suckers? Thats awesome.