According to industry analysts, GM’s GMT900-based pickup trucks and SUVs generate over $12,000 in per-vehicle profit for the automaker — representing roughly 60 percent of The General’s global earnings in 2012. Meanwhile, GM’s all-new line of trucks and SUVs based on the K2XX vehicle architecture could add over a billion USD in additional operating earnings in 2013 and 2014, according to an investment report by Citi.
The figures represent the reason why the all-new 2014 Silverado and Sierra, along with the 2015 Tahoe, 2015 Yukon, and 2015 Escalade SUVs, are arguably the most important vehicle introductions for General Motors since its 2009 bankruptcy and subsequent bailout by the U.S. and Canadian governments.
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If they’re making that much on each unit how come they can’t afford five bucks to powder coat the frames? Just sayin.
Well my new 2013 Silverado”s frame is coated and the last 6 year models are coated for sure, I have friends who have 2006 and up and its coated.
And this is why I laugh so hard when greenies swear that people are being FORCED to buy SUVs and Trucks.
It is good news and bad news for me. Being a GM share holder, this adds to the value of the company and to my financial account. Unfortunately, 50k for a 2014 5.3 Sierra SLT is absolutely ridiculous. I once had a red 87′ Silverado short bed 2WD with the 350 ci. engine. I got rid of it in 2007, but have dreamed of another just like it. The prices of pickup trucks has gotten out of hand and I can only dream of what I used to have.
I’m just working on a deal now for a customer who presently has a 2009, looking to buy a 2013 (1500 SLT crew cabs). He is a fleet customer. With all the discounts he is eligible for, he is able to buy the 2013 for about $3500 LESS than he paid, all in, for his 2009. Ya gotta get down to the bottom line!! I’m in Canada, btw.
I was at my Chevy dealer a few days ago looking at the new pickups. $42,000 for a LT not even the LTZ and this was not a Z71. It was a cloth bench seat crew cab 4×4. Even the sales people thought that was too high of a price. But at the Ford dealer across the street the pickups just as expensive. Keeping my 07 Silverado for a long, long time.
The price is right where it needs to be! People are buying these trucks aren’t they!
Where are all the people who say gm should focus on making as much profit from thier cars and trucks as possible!
AS mentioned here already, the new pickups are expensive and I don’t see that much value for the increase. Yes the new truck is great, but for the $$ hmmm I don’t see it. It is quieter but we have noticed a problem with the drive train. It has a noise/hum that sounds like a vibration from about 40 to 60. I sure hope they fix this problem. Awful expensive to have problems “out of the box”. We have been discussing at the dealership on the high price and how we are going to sell these.
I’ve been selling since 1976. The “Next Generation” of almost every new product has some people saying “It’s too expensive”. If the product is good, the market or the price always seems to adjust.
I know one thing for 50k can we get crankshaft and camshaft sensors that last more 20k miles?… Unlike my 08 2500HD 6.0 with Mexican made failing sensors! Bring back American manufacturing! Call your congressman today!
Do not buy any sensor from any source except GM or NAPA. After retiring from GM seven years ago I learn this from the design engineers.
I bought a 2007 Silverado crew cab Z71 right when they came out for just under $30k. Now, 7 years later that same optioned out vehicle is well over $40k. What the hell is happening in this country? Inflation seems to be outpacing my cost of living raises.
You got a raise??
The reality is as long as people pay the price they will continue the higher and higher prices.
I do expect with the strengthen of the auto segment for Ford and GM that they both will engage in a price war at some point to try to dominate the truck market..
With the higher profits from the present and future Cadillac’s along with profitable volumes of the Chevy cars it will put GM in a strong place to give a little on price on the trucks and keep things profitable in the company.
The real challenge is to transform the truck lines in the next 25 years to meet the CAFE standards in the 1/2 ton and still meet the expectations of the buyers.
Generally if you want a truck just wait till November as GM has had some really good sales in the fall every year for the last 5 years. Many dealers will also deal on price too. The new truck they are not budging on now but in time they will.
We can blame them to want the profits as they are paying for so many of the new projects GM has going. These are the cash cows that will turn the car lines around.
But we have to remember nothing is cheap. The average price of a car is right at $35K anymore and with the economy as it is I expect the price to continue.
Everyone wants to be a millionaire but they want to continue to shop at Wal-Mart and buy cheaper Koran cars. Sorry that just does not work.
GM should have an option of the 4.3L EcoTec3 V6 in the new Tahoe, Suburban, Yukon, Escalade instead of the 5.3L V8. They should replace the 3.6L with it in the Acadia, Traverse, and Enclave. GM should turbo the 4.3L EcoTec3 V6 as well.
Pete I have a 1999 chevy silverido and the frame is broke in two spots .Body is mint GM would not stand behind this . I just got a new frame and i will be installing it in stead of buying a new truck . I looked at new trucks no way It cost me 2300.00 for the frame and a little labor switching over to the new frame . If this was a Toyota, THEY would do this for me .
Quit whining you puss! So you have a broken truck, for every bad story like I can name a hundred positive stories!
You want GM to take care of a broken truck the is over a decade old and well past the warranty!
Get over yourself and understand things break! If there past the warranty then the cost is on you!
I too am a GM stockholder and a retired GM toolmaker. As far as cost of the vehicles, is due to Government mandates on safety and wanted features the customers demand. Price other trucks in the market, they are all expensive. Just a thought.
Government mandates are fine cuz then they are equal for everybody