GM Sees Surge in Demand for Large SUVs
» Posted November 19, 2021 Resources | Share This Post
This year has been a tough one for GM and other major auto manufacturers. The ongoing semiconductor chip shortage has zapped what was supposed to be a big bounceback in car sales that stalled early in the pandemic.
Yet, while new car sales again slumped for GM in the third quarter, sales of the company’s highest profit vehicles have jumped. The company says more new car buyers are getting behind the wheel of large sport utility vehicles.
Cadillac Escalade sales climbed 123 percent over the quarter, for example, according to The Detroit Free Press. Chevrolet Suburban sales were up a healthy 28 percent, while GMC Yukon sales were up 24 percent and Chevrolet Tahoe sales ticked up by nearly 5 percent.
The SUV sales boost comes amid a 33 percent decline in new car sales across the board at GM. The company has been forced to make tough choices about idling plants during the semiconductor shortage.
“GM has kept the factories that build its highest-profit and most-popular vehicles — big SUVs and pickups — running by cutting production on other models, mostly smaller SUVs and sedans,” the Free Press’ Jamie L. LaRaeu reports.
General Motors is parking 1,000 vehicles per day in a new lot built to hold cars waiting for parts, the news outlet reported in August. That has allowed the company to keep factories at least close to humming, but it also means that many cars coming off of assembly lines are not ready to be shipped to dealers.
"Although the situation remains complex and very fluid, we remain confident in our team’s ability to continue finding creative solutions to minimize the impact on our highest-demand and capacity constrained vehicles," GM spokesman David Barnas told the Free Press.
Stuck With a Lemon? Know Your Rights
Meanwhile, GM and other major auto manufacturers continue to recall millions of vehicles per year because of serious safety defects that put people’s lives at risk.
Fortunately, California car owners and lessors have some valuable rights and protections under the state’s lemon law.
The Song-Beverly Consumer Warranty Act requires carmakers to perform a wide range of repairs on vehicles while they are under warranty. It also forces manufacturers to buy back (or, in some cases, replace) cars that they cannot or will not fix.
How a California Lemon Law Attorney Can Help You
If you are a California car owner stuck with a malfunctioning vehicle, a California lemon law attorney at Bickel Sannipoli APC can help you fight back and hold the manufacturer responsible.
Our firm is pleased to represent clients across the state. You do not need to go it alone: We work aggressively to resolve these cases for the people that we represent.
Our offices are conveniently located in San Diego, Los Angeles and San Francisco. Call us at (888) 800-1983 or contact us online to speak with a California lemon law attorney.