For much of the 2023 calendar year, vehicle inventory levels across the United States have been steadily rising as the effects of a plethora of supply chain-related issues become slowly resolved. However, with the recent UAW strikes on the Detroit Three automakers, brands like Cadillac could see a notable drop in its days supply figures moving forward.
As of September 2023, Cadillac was running at a 46 days supply. For reference, a 60 days supply is considered the sweetspot across the automotive industry.
For now, there’s no outwardly signs that the UAW strikes are currently taking place, as Cox Automotive noted that the impacts have thus far been quite muted. Nonetheless, the UAW expanded strikes against General Motors and Ford just last week, so a ripple effect might be noticeable sometime in October 2023.
It’s worth noting that there are currently no strikes at GM plants that produce Cadillac models or their components.
Looking forward, it’s uncertain exactly how the strikes will play out. As the Big Three continue to bargain with the UAW, the union may decide to lessen its strikes if it receives what it perceives as good progress in negotiations, similar to how Stellantis was spared from the recent strike expansions. Notably, the UAW has yet to target full-size truck and SUV production, the automakers’ most profitable vehicles.
In regard to Cadillac specifically, it’s likely that lesser volume vehicles like the CT4 and XT4 will be targeted first as a warning shot from the UAW. From there, the union may decide to strike the GM Arlington plant in Texas, which produces vehicles like the Cadillac Escalade, in order to attempt to corner General Motors and others into a deal.