General Motors is undoubtedly singing praises to Uncle Sam--not only for bankruptcy financing and investment, but also for the 'cash-for-clunkers' program. Detroit's biggest automaker announced yesterday that it is increasing production at two of its North American facilities to the tune of 60,000 vehicles during the third and fourth quarters of the year.
Citing the government's Car Allowance Rebate System for increasing demand for its vehicles, GM says it will add shifts at two of its plants. In Canada, GM is adding shifts atits CAMI, Ontario, facility, which makes the 2010 Chevrolet Equinox and 2010 GMC Terrain. Here in the U.S., GM is adding shifts to its Lordstown, Ohio, plant, pumping out more Chevrolet Cobalts. Between the two plants, GM says 1350 union workers will head back to assembly lines.
"The uptick is an encouraging sign that vehicle sales are turning around, and we will ramp up quickly to meet that demand," said Tim Lee, GM's group vice president of global manufacturing and labor.
The General is also standing by to increase production at other facilities as demand continues to grow for vehicles like the 2010 Chevrolet Camaro, 2010 Cadillac SRX and CTS Wagon, and 2010 Buick LaCrosse.
"It's gratifying to see demand for our products accelerate, and we are extremely lean with inventories on our launch products like Camaro, Equinox, LaCrosse, SRX, CTS Wagon, and Terrain," said GM's U.S. Sales Chief Mark LaNeve.
"With today's announcement of further additions, the fourth quarter will now be at least 20 percent higher than the third quarter, which is a very positive trend," LaNeve said.