General Motors is set to boost its production of heavy-duty pickup trucks in Michigan this summer, responding to high demand for gasoline-powered vehicles, even as fuel prices continue to rise.
Beginning in June, GM will increase operations at its Flint assembly plant to five or six days a week to ramp up truck output. This facility primarily manufactures the heavy-duty versions of the Chevrolet Silverado and GMC Sierra, known as the 2500 and 3500 models.
Workers at the assembly plant have noted they will be required to work overtime to accommodate this expanded production schedule. The plant employs around 4,200 hourly workers.
GM’s plan for increased domestic production comes in conjunction with efforts from other automakers to boost output, largely to sidestep tariffs imposed on imported vehicles, including those produced in Canada.
The heavy-duty Silverado is also produced at GM’s Oshawa assembly plant in Ontario, which recently halted third-shift operations; this decision has been attributed to the Canadian Auto Workers union’s concerns over customs duties.
Despite the uptick in fuel prices, the demand for pickup trucks and SUVs remains firm. Just last month, GM’s Chief Financial Officer noted that typically, consumers start reassessing their preference for less fuel-efficient vehicles only after several months of sustained high oil prices. However, he expressed skepticism that this trend might play out in the near term.
In light of recent events like the disruptions in oil supply related to geopolitical tensions, gasoline prices have surged significantly. On Wednesday, the national average price for a gallon of regular gasoline hit $4.06, up over 36% from the previous month. Meanwhile, diesel prices rose to an average of $5.49 per gallon, reflecting a nearly 46% increase within the same timeframe.
