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General Motors slowing production, cutting more jobs due to microchip shortage

Production has halted at GM's Grand River Assembly Plant
Production has halted at GM's Grand River Assembly Plant(General Motors)
Published: Apr. 8, 2021 at 3:07 PM EDT
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DETROIT, Mich. (WJRT) - General Motors is cutting production at six North American factories, citing the ongoing global semiconductor shortage.

Many of the automaker’s highly-profitable trucks and SUVs use around 150 chips each. Without this technology, GM can’t continue producing vehicles at the current pace.

The latest round of production slowdowns affect the Delta Township Assembly plant near Lansing, along with facilities in Mexico, Canada, Tennessee and Kansas.

The Lansing Grand River Assembly plant stopped all production in March due to the semiconductor shortage while the Flint Engine Operations plant slowed production in February, which led to about 160 indefinite job cuts.

GM is working with suppliers to obtain enough microchips and resume full production levels. The automaker has not said how long the production slowdowns and job cuts will last.

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