In recent months, General Motors has been facing a supply glut on some of its vehicles, notably its full-size pickup trucks. As a result it has been increasing incentives to enable dealers to reduce supply inventories which were running at more than 130 days. Additionally, the automaker closed the Fairfax, Kansas, assembly plant last week in an effort to reduce supply of the 2013 Chevrolet Malibu sedan and ease the pressure on dealers.
According to Automotive News, as of December 1, GM’s inventory on the Malibu stood at 164 days and although sales have been increasing in recent months, at a growth rate of four per cent they are still significantly behind the industry average (14 per cent).
The 2013 Malibu, which was first introduced in the U.S. back in early spring (initially in Eco form), received mixed reviews from the automotive press and full model availability didn’t happen until the summer, a strategy which some industry analysts said didn’t help the new model gain traction in the highly competitive mid-size sedan segment, especially against key rivals such as new Toyota Camry, as well as the Ford Fusion and Honda Accord, which have also been heavily revised for 2013.
GM’s CEO Dan Akerson said he was aware of the Malibu’s mixed reviews and that the car is scheduled for a mid-cycle update, though declined to give specifics in terms of timeframe.
In the meantime GM says that with the Fairfax shutdown, it will give the automaker “an opportunity to conduct scheduled facility projects aimed at improving the plant’s future competitiveness.”
