GM to build new pickups in Missouri, 2 mid-sized models in Tennessee
General Motors plans to build its next-generation mid-sized pickup in Missouri and will reopen its former Saturn assembly plant in Tennessee to build two new mid-sized vehicles, according to details released Tuesday of its tentative pact with the...
GM will find less competition in the market for smaller pickups. Ford is expected to discontinue its compact Ranger later this year. And Chrysler Group recently decided not to replace its Ram Dakota.
Aaron Bragman, an analyst at IHS Automotive, said the market for small and mid-sized pickups has become a tricky one for automakers. The segment has eroded as full-sized pickups have become less expensive and more fuel efficient.
"This is kind of a gamble by GM to say, 'We think there will be a market for something smaller," Bragman says. It also will help GM meet tougher fuel-efficiency standards that will ratchet up through 2025.
Compact and mid-sized pickups accounted for 16.5 percent of the total U.S. pickup market in 2010, according to the Automotive News Data Center.
U.S. sales of the Canyon are up 47 percent this year through August to 7,176 units, and demand for the Colorado has climbed nearly 40 percent to 21,814.