General Motors cutting North American truck production amid semiconductor shortage

General Motors Co said Wednesday it will cut some truck production in North America because of the ongoing global semiconductor shortage.

The largest U.S. automaker said its Flint Assembly plant that builds the Chevrolet Silverado HD and GMC Sierra HD trucks will operate on one production shift the week of July 26.

Several media reports have said that the shortage would cost the global automotive industry an estimated US$110 billion in revenue in 2021, citing estimates from Goldman Sachs and consulting firm AlixPartners.

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GM said its Ft. Wayne Assembly plant in Indiana that builds the Chevrolet Silverado 1500 and GMC Sierra 1500 model trucks will be idled next week. GM’s Silao Assembly plant in Mexico that also builds the Chevrolet Silverado 1500, Cheyenne and GMC Sierra 1500 will also suspend production next week.

All three plants are expected to resume regular production the week of Aug. 2.