GM looks for new plant to produce Equinox

[MikeMike]

GM may increase Equinox production capacity

Jamie LaReau
Automotive News
September 15, 2009 - 2:28 pm ET

General Motors Co. is looking at assembling the Chevrolet Equinox crossover at a second plant.

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â??We are studying how fast we can add another plant for the Equinox,â?? Bob Lutz, GM's vice chairman in charge of marketing, said at a media event today. â??For the time being, we're just doing a third shift at the CAMI plant.â??

GM assembles the Equinox and the newly launched 2010 GMC Terrain at a plant in Ontario, CAMI Automotive Inc., which GM operates in a joint venture with Suzuki Motor Corp.

The company launched the redesigned Equinox in June.

GM says retail sales of the 2010 Equinox totaled 9,902 through Sept. 15.

The third shift at CAMI starts in mid- to late October. That will boost annual production capacity of the Equinox and Terrain to nearly 200,000 vehicles. GM launched the Terrain in late August.

Lutz expects high-volume sales for both vehicles. He declined to be specific.

GM expects the Equinoxâ??s segment to grow from the current 2 million per year to 2.3 million in the next two to three years, says Hugh Milne, GMC marketing manager.

You can reach Jamie LaReau at jlareau@crain.com.

http://www.autonews.com/articl...5/ANA02/909159985/1261

good news.

 

[SparkyJJO]

After the other thread I can't help but lol 😛

This kind of thing is good news for GM for sure.

 

[desy]

Dont tell Lois
He'll sell his Accord and buy a CRV!

 

[LOUISSSSS]

cool cool, thats good for them. but didn't GM just shut down so many of their plants? kind of an awkward move, but they probably had no choice but to open another plant.

 

[Bignate603]

Everything that I've read about this car made it clear that its an extremely good competitor in its class. Looks like they may have a decent sized hit on their hands.

 

[Bignate603]

Originally posted by: LOUISSSSS
cool cool, thats good for them. but didn't GM just shut down so many of their plants? kind of an awkward move, but they probably had no choice but to open another plant.

A plant designed and set up with the required tooling and machinery for one car isn't necessarily easy to convert over to a new vehicle. I'm sure that they'll consider all of their available plants when they try to find a new factory but some of them won't be a good match.

This is good news though, a new plant opening is a huge amount of jobs.

 

[Fenixgoon]

Originally posted by: Bignate603

Originally posted by: LOUISSSSS
cool cool, thats good for them. but didn't GM just shut down so many of their plants? kind of an awkward move, but they probably had no choice but to open another plant.

A plant designed and set up with the required tooling and machinery for one car isn't necessarily easy to convert over to a new vehicle. I'm sure that they'll consider all of their available plants when they try to find a new factory but some of them won't be a good match.

This is good news though, a new plant opening is a huge amount of jobs.

my only concern is what happens if sales slow? they're going to have to idle the plant, or at the very least convert it to another vehicle. a new plant is a huge investment. good luck to them figuring out the best plan of action.

 

[LTC8K6]

The company launched the redesigned Equinox in June.

GM says retail sales of the 2010 Equinox totaled 9,902 through Sept. 15.

Doesn't seem to add up to big sales, and it includes the CARS rush. Either the plant they are using has limited capacity, or they are making a big bet on sales that haven't really shown up yet.

What am I missing here?

 

[Bignate603]

Originally posted by: Fenixgoon

Originally posted by: Bignate603

Originally posted by: LOUISSSSS
cool cool, thats good for them. but didn't GM just shut down so many of their plants? kind of an awkward move, but they probably had no choice but to open another plant.

A plant designed and set up with the required tooling and machinery for one car isn't necessarily easy to convert over to a new vehicle. I'm sure that they'll consider all of their available plants when they try to find a new factory but some of them won't be a good match.

This is good news though, a new plant opening is a huge amount of jobs.

my only concern is what happens if sales slow? they're going to have to idle the plant, or at the very least convert it to another vehicle. a new plant is a huge investment. good luck to them figuring out the best plan of action.

I would think that this is why they didn't start with two plants initially. Hopefully they can find a currently idled plant that will work well. It would drastically lower the needed investment.

 

[Falloutboy]

it wouldn't be a new plant they would just restart another idoled plant and prolly would be GM Springhill, since it seems to make the most sence, its the only plant that is going to be idoled that GM didn't leave in "old gm" also Saturn engine at GM springhill produces the 2.0 I4 that they use in the equinox as well so it would make some sence as well in that respect.


but this is all wishful thinking on my part since my company does a shat ton of buisness at GM Springhill that goes away in november when GM moves the traverse production to Lansing Delta

 

[Strk]

There's also the NUMMI plant that Toyota just shut down.

 

[BassBomb]

If gas prices did the same bullshit they did last year, this would not be the case

 

[Bignate603]

Originally posted by: BassBomb
If gas prices did the same bullshit they did last year, this would not be the case

One of the biggest selling points of the equinox is that its mileage ratings are noticeably better than its competitors, to the point where it is comparable to a decent 4 door sedan. 32 mpg highway is pretty good.

 

[LTC8K6]

Originally posted by: Bignate603

Originally posted by: BassBomb
If gas prices did the same bullshit they did last year, this would not be the case

One of the biggest selling points of the equinox is that its mileage ratings are noticeably better than its competitors, to the point where it is comparable to a decent 4 door sedan. 32 mpg highway is pretty good.

So far, I think only Car and Driver has done a mileage study and they only averaged 18mpg with admittedly aggressive driving. However, they claimed the lack of power and confused transmission caused them to floor it a lot.

C & D reported a similar confused transmission in the new SRX, which also caused them to floor it a lot to get the vehicle to do what they wanted.

The 2.4L is really overwhelmed with the weight of the AWD Equinox, imo.

 

[Falloutboy]

Originally posted by: Strk
There's also the NUMMI plant that Toyota just shut down.

they left that in old gm i beleave.

 

[Strk]

Originally posted by: Falloutboy

Originally posted by: Strk
There's also the NUMMI plant that Toyota just shut down.

they left that in old gm i beleave.

The bankruptcy left the plant to Toyota, but Toyota is going to shut down the plant, so who knows what will happen to it.

 

[LOUISSSSS]

good for the economy (not really since GM has already done its part in fucking it up) that they want to open and plant to sell (hopefully) more cars. but i dont think its a good idea. GM hasn't really done a good job in predicting the auto market; it hasn't done so in the past 20 years minus an exception out of a 100 here and there. Now, they're trying to predict that the equinox is worth all this money invested? The market has just gone through the clunkers program which is probably why it sold so high these past months. I think Gm should wait until the year settles down a bit to see if it still sells anymore

 

[exdeath]

I'm noticing that American auto makers have difficulty being liquid with their production changes. It always seems it's either being unable to keep up with demand, or spending millions to open a new plant that will only be needed for two months to over supply and then go underutilized.

How flexible are companies like Toyota and Honda with quickly adjusting production facilities to ensure supply = demand?

 

[thegimp03]

Originally posted by: Strk
There's also the NUMMI plant that Toyota just shut down.

My thoughts exactly...that put like 20-30k workers out of jobs in the south bay. Maybe GM should rehire those people and reopen the plant.

 

[Mermaidman]

Originally posted by: LOUISSSSS
good for the economy (not really since GM has already done its part in fucking it up) that they want to open and plant to sell (hopefully) more cars. but i dont think its a good idea. GM hasn't really done a good job in predicting the auto market; it hasn't done so in the past 20 years minus an exception out of a 100 here and there. Now, they're trying to predict that the equinox is worth all this money invested? The market has just gone through the clunkers program which is probably why it sold so high these past months. I think Gm should wait until the year settles down a bit to see if it still sells anymore

I was thinking the same thing about C4C. A few auto makers have announced increased production recently. Still, the severely depleted inventories need to be replenished even if sales return to 'normal.'

I'm sure it takes a long time to ramp up production, so by the time GM is ready, the market situation will be clearer and they will be ready to do it. Or not.

 

[Ktulu]

Originally posted by: LOUISSSSS
good for the economy (not really since GM has already done its part in fucking it up) that they want to open and plant to sell (hopefully) more cars. but i dont think its a good idea. GM hasn't really done a good job in predicting the auto market; it hasn't done so in the past 20 years minus an exception out of a 100 here and there. Now, they're trying to predict that the equinox is worth all this money invested? The market has just gone through the clunkers program which is probably why it sold so high these past months. I think Gm should wait until the year settles down a bit to see if it still sells anymore

Exactly what was GM's part in fucking up the economy? Can you please tone down your trollishness just a bit?

 

[SammyJr]

Originally posted by: LOUISSSSS
This is good news though, a new plant opening is a huge amount of jobs.

Probably jobs in Canada. Why would GM want to pay American health insurance costs?

 

[LOUISSSSS]

Originally posted by: Ktulu

Originally posted by: LOUISSSSS
good for the economy (not really since GM has already done its part in fucking it up) that they want to open and plant to sell (hopefully) more cars. but i dont think its a good idea. GM hasn't really done a good job in predicting the auto market; it hasn't done so in the past 20 years minus an exception out of a 100 here and there. Now, they're trying to predict that the equinox is worth all this money invested? The market has just gone through the clunkers program which is probably why it sold so high these past months. I think Gm should wait until the year settles down a bit to see if it still sells anymore

Exactly what was GM's part in fucking up the economy? Can you please tone down your trollishness just a bit?

back to a few months ago. when they have the gov't print money, that increases the money supply. which would in turn lower the value of the american dollar. just some basic economics.

Originally posted by: SammyJr

Originally posted by: LOUISSSSS
This is good news though, a new plant opening is a huge amount of jobs.

Probably jobs in Canada. Why would GM want to pay American health insurance costs?

nice, okay i take that back GM won't be making new jobs in america. what GM needs to do is stop hiring UAW workers