- GM dealers are overstocked on the Cadillac Escalade IQ, Chevrolet Silverado EV, GMC Hummer, and GMC Sierra EV
- So the company is cutting shifts at the factory that builds the full-size electric vehicles
General Motors’ largest electric vehicles (EVs) are among the most extreme automobiles ever produced. But, like other vehicles at the far ends of capability, they have a limited role in the market.
So, GM is slowing production of its electric monsters. The company will cut some shifts at its Michigan Factory Zero facility for a month.
The move will slow production of the Cadillac Escalade IQ, Chevrolet Silverado EV, GMC Hummer, and GMC Sierra EV.
A company spokesperson told the Detroit Free Press that the move would help the company “align to market dynamics.”
Some of the Most Capable Cars on Earth, but Low Demand for Them
- GM’s largest EVs offer extremes of power and capability
- Dealers may be unusually motivated to negotiate on price
There just isn’t much demand for a $150,000 ultra-luxury SUV that comfortably seats eight adults, boasts over 500 miles of range in some circumstances, and can launch those eight adults from zero to 60 mph in under five seconds. Yes, the Cadillac Escalade IQ can really do all of that.
The Hummer EV can drive at a 45-degree angle at low speeds (useful navigating trail obstacles or parallel parking) and launch to highway speed as fast as some versions of the Porsche 911 despite weighing as much as two-and-a-half of those cars.
The two pickups, meanwhile, are among the longest-range EVs built yet and offer 510 horsepower in the least powerful trim and 760 in the most.
But they’re all selling slowly. Automakers aim to keep about a 75-day supply of most new cars in dealer inventory, counting those on order. Kelley Blue Book data shows dealers currently hold more than a 130-day supply of some of the big electric brutes.
That’s great news for shoppers, however. Dealers are normally motivated to negotiate prices on overstocked vehicles. With the end of the EV tax credit looming at the end of September, they’re more motivated than ever to sell EVs right now.
