Chevrolet Malibu Production Safe Despite Supplier Strike
By Michelle Krebs April 16, 2008General Motors said the UAW strike against supplier American Axle & Manufacturing Inc.
will not stop production of the hot-selling Chevrolet Malibu, as had been feared.
Bo Andersson, GM's group vice president of global purchasing and supply chain, told reporters in Detroit that the company has “a good plan,†details of which he would not disclose, to keep up production of the Malibu. "We have been able to produce vehicles in all of our car plants, besides one. I don't see anything changing from where I sit," he told reporters.
Negotiations are continuing between American Axle and the union.
Malibu sales were up 31 percent for the first quarter and supplies are low at about half the supply that is normal.
GM did cut production at a plant in Mexico that makes the Chevrolet HHR in order to shift parts for that vehicle to U.S. plants, the Detroit Free Press reported. The plant is continuing to make the Saturn Vue.
Meantime, the American Axle strike by 3,650 workers is in its seventh week. It has forced the closure or cutbacks in production at about 30 GM plants. Some production has resumed, including truck-making in Indiana and Ontario. Currently 27 factories are affected.
Negotiations are continuing between American Axle and the union.
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