General Motors (GM) is set to increase production of its heavy-duty pickup trucks at the Flint Assembly plant in Michigan, responding to robust consumer demand for gas-powered pickups despite a significant rise in fuel prices [1]. Starting in June, GM will operate the Flint facility six days a week, up from the current five, with workers mandated to cover overtime hours to accommodate the additional day of production [1]. The plant, which employs approximately 4,200 hourly workers, manufactures the Chevrolet Silverado and GMC Sierra 2500 and 3500 models [1].
This production boost is part of a broader trend among automakers to expand domestic manufacturing, aiming to avoid tariffs imposed by the Trump administration on imported vehicles, including those produced in Canada [1]. The heavy-duty Silverado is also produced at GM's Oshawa Assembly plant in Ontario, which recently lost a third shift—a move attributed by the Canadian autoworkers union to tariffs [1].
Consumer demand for pickup trucks and SUVs has remained strong, even as gas prices have surged due to supply disruptions caused by the Iran war, which has affected oil shipments through the Strait of Hormuz [1]. The national average price for a gallon of regular gasoline reached $4.06 on Wednesday, marking a 36% increase from $2.98 a month ago. Diesel prices also rose sharply to $5.49 a gallon from $3.76, a nearly 46% jump [1].
GM CFO Paul Jacobson commented that historically, consumers only reconsider their preference for less fuel-efficient vehicles after four to six months of sustained high oil prices. He stated, "Usually it takes four to six months of sustained high oil prices before people start to think, 'Maybe I should go for less mileage, or maybe I should buy down,' I don't think we see that," during a Bank of America conference [1].
CONCLUSION
GM's decision to increase pickup truck production in Michigan highlights persistent consumer demand for heavy-duty vehicles, even as fuel prices climb sharply. The move also reflects automakers' efforts to mitigate tariff risks by boosting domestic output. Despite rising gas and diesel costs, GM executives do not anticipate an immediate shift in consumer preferences away from pickups and SUVs.