The Chevy Equinox and Chevy Malibu are taking the brunt of the impact of the global semiconductor shortage at General Motors, with the production output of both vehicles significantly reduced in recent months.
According to data obtained by Automotive News, the Chevy Equinox and Chevy Malibu account for roughly half of the production that GM has lost out on due to the chip shortage so far.
A report published earlier this month indicated GM has missed the production of around 79,600 vehicles in North America over the chip shortage to date, including 17,000 examples of the Chevy Equinox crossover from the CAMI plant in Ingersoll, Ontario. It has also missed production of a combined 24,100 examples of the Chevy Malibu and Cadillac XT4 from the GM Fairfax Assembly plant in Kansas to date, along 12,700 vehicles in total from the Lansing Grand River Assembly plant, which builds the Chevy Camaro and Cadillac CT4 and CT5.
The automaker has been routing most of the semiconductor chips in its possession to plants that build its full-size trucks and SUVs, which are its most popular and profitable models. This should allow GM to weather the semiconductor chip shortage with minimal impact on its bottom line. The automaker said last week that it expects annual profits for 2021 to fall on the higher end of its $10 billion to $11 billion forecast – a strong result that it says is indicated of the “underlying strength” of its core business in North America and China.
The Chevy Silverado and GMC Sierra are built at the GM Fort Wayne Assembly plant in Indiana and GM Silao Assembly plant in Mexico, while the heavy-duty Silverado HD and Sierra HD are produced at Flint Assembly in Michigan. While GM has avoided taking full downtime at these facilities due to the shortage, it elected to build certain examples without Active Fuel Management (AFM) and Dynamic Fuel Management (DFM) technologies to keep the plants up and running and preserve its microchip stockpile. Its full-size SUVs like the Chevy Tahoe and GMC Yukon are built at the GM Arlington Assembly plant in Texas.
While focusing on profit-heavy models like large trucks and SUVs will allow GM to preserve its bottom line, this could make it difficult for customers in the market for an Equinox or Malibu to find the vehicle they want a dealership. Searching on the used market could be equally as difficult for these buyers, with low new vehicle inventories driving up the prices of second-hand cars, as well.
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Comments
I live in the LA area, and can only find 29 Malibus (all 2020 & 2021s) either on the ground or on the way to dealerships within 100 miles of my homes. In comparison, there are 90 Ford Fusions (2020 model year, as they are no longer in production), 153 Subaru WRX, 592 Dodge Chargers, 1154 toyota camrys, 136 Mazda6s, 1150 Sonatas, 96 VW Arteons, 896 Nissan Altimas, 1552 Accords.
I can only find 2071 Chevrolet vehicles available, including cars in shipment, within a 100-mile radius. There are more honda civics, at 4269 available, in the same radius. I hope GM spends effort on getting vehicles to the area; otherwise, people will buy from another brand since the dealers have little to no cars to sell.
That is crazy that there is such a shortage there. I am in Rochester, NY and I checked out just one of our Chevy dealers and they have 57 Malibu’s in stock and 143 Equinox’s.
maybe the dealers just don’t stock cars people don’t want to buy?
Can’t Bill Gates loan a few from his vaccine?
Melania Hyatt/Marriott/Hilton
Why would Microsoft put a chip in your arm. When they could just track your cellphone?
Because a chip in a vaccine can do more than track you, it can INFLUENCE you.
Melania, where do you come up with this nonsense??
a product of America’s failed education system.
Something has to scan the microchip anyways. And do we really think the health care system/Walmart are competent enough and/or have the time to put relevant information on said microscopic microchip prior to injection?
COVID has now taken over the brain of Melania and is controlling her to spew vaccine misinformation to ensure the spread and endless (albeit preventable) doom caused by COVID.
America would be open by now if the left didn’t make everybody get a chip in their arm.
The “chip in the vaccine” thing is the most ridiculous myth ever. Aside from being technologically impossible to insert microscopic, infinitely powered, mind-controlling computer chips in the bodies of almost 400M people. The Government doesn’t have the time, resources, or interest in tracking 400M people.
At no time during the vaccination process is the vile or syringe scanned nor “activated” by any device. Period. End of story.
America would be open by now if people like you would just get vaccinated and stop spewing your ridiculous conspiracy theories. Instead, your misinformation campaign only extends the restrictions in place by irrationally discouraging people from doing what needs to be done to fully reopen.
Hey, Melania Hyatt. GTFO of here with that crap you twit.
And who is the one sounding influenced (brainwashed) here???? MH, if you wont get the vaccine, at least get a shot of some reality.
My local Chevy dealer that sells a lot of trucks parking lot is empty. 4 Tahoe’s and 1 work truck. Usually it’s jam packed. I wish I could put a picture of the empty lot 🙄