GM to Halt Production of Hummer EV, Escalade IQ at Detroit Factory Until October

• GM will halt production at Factory Zero from Sept. 2 to Oct. 6 due to EV market shifts.

• GMC Hummer EV and Cadillac Escalade IQ manufacturing will be paused during the shutdown.

• About 360 workers are affected, with temporary layoffs and possible subpay under the GM-UAW contract.

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General Motors will temporarily suspend production on both the first and second shifts at its Factory Zero electric vehicle plant in Detroit-Hamtramck beginning yesterday, the company confirmed. The shutdown will pause manufacturing of the GMC Hummer EV and Cadillac Escalade IQ models. Production is expected to resume on Oct. 6.

A GM spokesperson said the change is part of routine adjustments made to align vehicle output with current demand and inventory levels.

“Factory Zero is making temporary adjustments to production to align to market dynamics,” GM spokesman Kevin Kelly said in a statement. “General Motors updates schedules as part of our standard process of aligning production to manage vehicle inventory.”

The temporary move will impact approximately 360 employees. GM noted that workers impacted by the production pause will be placed on temporary layoff status and may be eligible for subpay and benefits in line with the terms of the GM-UAW national contract.

The decision follows earlier workforce adjustments at Factory Zero. In April, GM announced roughly 200 job cuts at the same facility, citing reduced consumer demand for electric trucks and SUVs, including the GMC Hummer EV, Chevrolet Silverado EV, Sierra EV, and Escalade IQ.

Factory Zero, which employs about 4,000 people, is GM’s retooled plant for electric vehicle production in southeast Michigan.

The odd part is that GM is currently in second position in the US, behind Tesla, and in first place in Canada as the best-selling EV automaker. Demand remains relatively stable, but clearly, it’s not the case for these ultra-expensive flagship electric vehicles.

Source: Detroit Free Press