The AP reports, “The increasingly bitter monthlong strike at auto parts maker American Axle and Manufacturing Holdings Inc. is starting to hit General Motors Corp. where it hurts.” The General will be forced to slow production of hot-selling small cars this afternoon. The company “already has fully or partially shut down” 28 plants due to parts shortages, but so far, “the strike had affected only plants that assemble or supply parts for slow-selling pickup trucks and sport utility vehicles.” However, yesterday GM said that “that the strike will force it to idle” one small car plant today, and another on April 4.
The shut-down will slow or halt production of the Buick Lucerne and Cadillac DTS today, and the Chevrolet Cobalt and Pontiac G5 next Friday. The Indianapolis Star reports, “The Cobalt, which gets up to 33 miles per gallon on the highway, has sold well of late. Through February, its sales are up 43 percent when compared with the first two months of last year, according to Autodata Corp.” Sales on Pontiac’s small car “are up nearly 19 percent. DTS and Lucerne sales are down nearly 20 percent for the same period.” This follows an industry-wide trend; as gas prices rise, shoppers have been looking for smaller cars. United Auto Workers leader Jim Graham said “Once [these plants] go down, it should start affecting the dealers very fast.”
GM dealers are already short of the cars. Automotive World adds, “Automotive News claims that GM has a 49-day supply of the Cobalt, with 60 days the industry standard. No numbers for the G5 sedan and coupe are quoted.”
Read about the competition for the Cobalt and the G5 with U.S. News’ rankings and reviews of affordable small cars.

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