Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

General Motors plans to keep most of its plants running through the annual maintenance period in order to compensate for lost production due to the chip shortage. 

 

According to media reports, this move is also to meet consumer demand for its brands like Chevrolet, GMC, Buick, and Cadillac. Nine of its 11 plants across the US, including all plants in Michigan as well the Bowling Green facility in Kentucky and the Fairfax, Kansas factory, will function during the period, Jun 28 to July 9. 

 

Media reports indicate that as many as 1,000 units will be added due to this overtime output. Some of these factories have been shut since two months due to the semiconductor shortage, despite booming demand for new cars in the US market. 

 

The changes in production and overclocked performance are expected to help ramp up production at General Motors through 2022. However, the impact of the shortage is expected to continue in Asia, South America, and the two idle plants in North America.

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