On the Dash:
- Strong demand for heavy-duty trucks continues despite rising fuel prices and broader market softness.
- GM’s production increase signals continued prioritization of high-margin truck segments.
- Supply constraints remain for large vehicles, reinforcing pricing strength at the dealership level.
According to a recent Wall Street Journal report, GM is set to run its Flint Assembly plant six days a week starting in June to meet the robust demand for heavy-duty pickups.
Currently, the Flint Assembly operates on a round-the-clock schedule, running three shifts five days a week. The addition of a sixth day will boost the production of heavy-duty models like the Chevrolet Silverado and GMC Sierra. This plant produces 2500- and 3500-series trucks, with approximately 1,100 vehicles rolling off the assembly line daily, according to a United Auto Workers official.
The facility, which is GM’s longest-running assembly site in North America, opened in 1947 and employs approximately 4,200 hourly workers. These workers will be required to work overtime to accommodate the additional production day.
Since GM has increased production at U.S. plants following automotive tariffs introduced last year, the automaker also plans to build heavy-duty Silverado trucks at a facility in Canada. However, the added volume in Flint is not expected to impact production in Ontario.
Notably, heavy-duty pickups are sold to commercial customers, including construction companies, as well as retail buyers. Pricing starts in the $50,000 range and can reach six figures with added options.
Company executives have noted that demand for larger vehicles continues to outpace supply. For instance, earlier this month, GM’s chief financial officer, Paul Jacobson, reported that the automaker is seeing greater demand than it can meet for vehicles like the Cadillac Escalade and specific full-size truck models.
According to Jacobson, a considerable shift in consumer behavior toward more fuel-efficient vehicles typically requires four to six months of consistently high oil prices. Currently, however, dealers and industry executives report that the higher fuel prices have not yet caused a notable change in buyer habits.
