GM Curbs Production of Chevrolet Malibu and Buick LaCrosse

By | February 06, 2013
For the second time in two months, General Motors has announced it is halting production on the Chevrolet Malibu and Buick LaCrosse for two weeks at the Fairfax plant in Kansas City, KS. Production of both sedans will resume during the week of February 17. This shutdown follows the three week shutdown in December and January to ease the high inventory, and let demand catch up to supply. According to Automotive News Data Center, Malibu stocks stood at a 94-day supply at the end of January, which was down from the 164 days on December 1 and 129 days on January 1. However, the LaCrosse increased its supply with 117 days on January 21, compared to the 98-day supply at the beginning of the month. Even though the Malibu was redesigned for 2013, Chevrolet dealers are disappointed by its low sales numbers. However, with the redesign, Malibu sales rose 8 percent in January. "We're on the trajectory we expect to get the share that we expect in the segment," Said Chevrolet U.S. sales chief, Don Johnson. The company as a whole says it is comfortable with its inventory, and plans to use the production curb as a sales tactic, not just as a way to align supply and demand. "We feel very good about where we are," commented Kurt McNeil, vice president of GM's U.S. sales operations. Source: Automotive News
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