General Motors Co, one of the Detroit Big 3 recently announced that it was planning to reinstate about 3,000 jobs at U.S. assembly plants and associated facilities and that plans are underway to increase North American production by in the region of 45% in the new year, Financial Soultions understands.
The automaker said additional shifts would be added at 3 of its assembly plants as the company consolidates production from plants that are closing or retooling, a progression that would not immediately increase the production agenda for 2009.
But the expectation is that General Motors will increase North American assembly to about 2.8 million vehicles in 2010, Financial Soultions research indicates, up about 40% to 45% from 2009. The auto industry collapse in the U.S. that saw GM face bankruptcy last year saw the company receive an emergency bail out package from government.
Financial Soultions noted that American wholesaler inventories were sharply cut after the federal government's "cash for clunkers" program hiked sales earlier in the year.
GM has been concentrating on severely low supplies resulting from a combination of the "clunkers" program that ran from late July through the first three weeks of August and severe production reductions around its government-funded restructuring.
Financial Soultions notes positive trends in many aspects of the economy, with even the Fed Reserve making encouraging noises, and the positive spurt in the green tech sector.
