GM to Shut 20 Factories Temporarily

 

The measure failed in dramatic fashion late Thursday after Senate Republicans balked at passing the bill without more wage and benefit concessions from autoworkers.

Lee said Friday's production cuts are unrelated to the rescue's failure and had already been planned.

The entire auto industry has been making massive production cuts recently as it adjusts to the reality of lower automobile demand. Earlier Friday, Honda Motor Co. said it was cutting production in North America by 119,000 vehicles for its fiscal year ending March 31.

That brings Honda's expected production for its fiscal year to 1.3 million units, a spokesman said.

Auto demand in the U.S., and increasingly around the world, has been hobbled due to the declining economy and the credit squeeze, which has made it more difficult and more costly for some buyers to obtain financing. Industrywide vehicle sales crumbled 37% in November, with every major automaker posting giant sales declines.

Lee said GM's production cuts will be achieved by adding "down weeks" to the schedules at the affected plants. During down weeks, which can be staggered during a given period of time or can come several at once, the plant will not produce anything and employees will be temporary laid off.

"We look at it on a plant-by-plant basis and make decisions regarding their production schedule in terms of market demand, so it's not a blanket ... we look at it plant by plant and make those decisions," Lee said.

The following are the plants affected and what they produce. U.S.

-- Fort Wayne (Ind.): Chevy Silverado, GMC Sierra Light Duty Regular and Extended Cab

-- Flint Assembly (Mich.): Chevy Silverado, GMC Sierra Heavy Duty Regular and Crew Cab and Medium Duty

-- Wentzville (Mo.): Chevy Express, GMC Savanna

-- Lansing Delta Township (Mich.): Buick Enclave, GMC Acadia, Saturn Outlook

-- Pontiac Assembly (Mich.): Chevy Silverado, GMC Sierra Heavy Duty Extended Cab

-- Spring Hill (Tenn.): Chevy Traverse

-- Fairfax Assembly (Kan.): Chevrolet Malibu/Hybrid, Saturn Aura/Hybrid

-- Arlington Assembly (Texas): Full Size SUVs: Chevy Suburban, Tahoe and Tahoe Hybrid, GMC Yukon, Yukon XL and Yukon Hybrid, Cadillac Escalade/Escalade ESV and Escalade Hybrid

-- Lansing Grand River (Mich.): Cadillac STS and CTS

-- Orion (Mich.): Chevy Malibu, Pontiac G6

-- Detroit-Hamtramck (Mich.): Buick Lucerne, Cadillac DTS

-- Shreveport (La.): Chevy Colorado, GMC Canyon, Hummer H3 and H3T

-- Bowling Green (Ky.): Chevy Corvette, Cadillac XLR

-- Wilmington (Del.): Pontiac Solstice, Saturn Sky, Opel GT Canada:

-- Oshawa Consolidated (Ontario): Chevy Impala

-- Oshawa Truck (Ontario): Chevy Silverado, GMC Sierra Light Duty Extended and Crew Cab

-- CAMI (Ingersoll, Ontario): Chevy Equinox, Pontiac Torrent Mexico:

-- Silao: Chevy Silverado, GMC Sierra Light Duty Crew Cab, Chevy Avalanche, Cadillac Escalade EXT

-- Ramos 2: Chevy HHR, Saturn VUE, Chevy Captiva

-- San Luis Potosi: Chevy Aveo, Pontiac G3

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