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General Motors, Others Get More Chips, Commerce Secretary Raimondo Says

GM and Ford have told Commerce Secretary Gina Raimondo 'they’re starting to get a little bit more of what they need,' a media report says.
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General Motors  (GM) - Get General Motors Company (GM) Report shares rose on Tuesday as Commerce Secretary Gina Raimondo said U.S. automakers are beginning to get more semiconductors after a shortage had dented their production.

“You’re starting to see some improvements,” she told Bloomberg. In recent weeks, Ford Motor  (F) - Get Ford Motor Company Report Chief Executive Jim Farley and GM CEO Mary Barra have told Raimondo “they’re starting to get a little bit more of what they need,” and the situation is “a little bit better,” she said.

GM, Detroit, recently traded at $55.94, up 3.3%. The stock has firmed 2% in the past six months amid the chip shortage. 

Ford recently traded at $13.81, up 4%. The Dearborn, Mich., vehicle giant has surged 38% over the past six months amid optimism that its fortunes are rebounding.

Raimondo organized meetings of semiconductor makers, their suppliers, and their customers, including automakers, Bloomberg reported. Senior administration officials said those confabs helped the situation.

In other GM news Tuesday, its BrightDrop electric-delivery-van unit named four new executives. 

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They are Anthony Armenta as chief technology officer, Rachad Youssef as chief product officer, Shaluinn Fullove as chief people officer and Steve Hornyak as chief revenue officer.

Armenta was previously vice president of software engineering for serve robotics at Postmates/Uber  (UBER) - Get Uber Technologies, Inc. Report.

Youssef had been vice president of software product management for Chinese electric-car maker NIO  (NIO) - Get NIO Inc. Sponsored ADR Class A Report.

Fullove previously worked at Lyft  (LYFT) - Get Lyft Inc Class A Report and Alphabet  (GOOGL) - Get Alphabet Inc. Class A Report

Hornyak was chief commercial officer at retail-technology company Fabric.

Earlier this month, Wedbush analyst Dan Ives began coverage of GM with an outperform rating and an $85 price target. He’s impressed with GM’s electric-car effort and with Barra.