Production at two GM plants in the U.S. is temporarily halted due to Hurricane Helene.

Production at two GM plants in the U.S. is temporarily halted due to Hurricane Helene.
Production at two GM plants in the U.S. is temporarily halted due to Hurricane Helene.
  • Due to the effects of Hurricane Helene on suppliers, GM has temporarily stopped manufacturing large pickups and SUVs at two U.S. factories.
  • Plants in Flint, Michigan, and Arlington, Texas, had their shifts canceled on Thursday and Friday by the automaker.
  • The company is collaborating with affected suppliers to resume operations as soon as possible in a safe manner, as stated by GM on Thursday.

Due to Hurricane Helene's effects on suppliers, Detroit has temporarily stopped production of highly profitable large pickups and SUVs at two U.S. factories.

The automaker canceled shifts at two plants, one in Flint, Michigan, and the other in Arlington, Texas, where heavy-duty trucks and full-size SUVs are produced, respectively.

A spokeswoman for GM declined to provide a specific date for when the plants would resume production as of Friday morning, despite a message to workers in Arlington viewed by CNBC stating that production at that plant was expected to resume on Monday.

GM stated in an emailed message that they are collaborating with their suppliers to resume operations as soon as possible while ensuring the safety of their employees and communities, in an effort to minimize the impact on their plants.

Last week, Hurricane Helene hit Florida and the southeastern United States, causing significant damage in parts of western North Carolina. Over 215 people have died and hundreds are still missing.

GM declined to disclose what suppliers are impacted or where they are located.

On Thursday, Jeffrey Morrison, GM vice president of global purchasing and supply chain, stated that the hurricane and port workers strike were disruptive events for the automaker. The strike ended later that day and dockworkers resumed work on Friday.

Since the pandemic caused disruptions for GM, the automaker has intensified its examination of supply chains to monitor parts and potential problems.

"The pandemic has helped us gain a deeper understanding of our value chain, according to the speaker during a conference for the Rev. Jesse Jackson's Rainbow Push Coalition in Detroit. Prior to Covid, it was more challenging to identify the sub-tiers of our supply chain. However, we now have a comprehensive inventory of these sub-tiers, allowing us to control the material we purchase directly and communicate with all of our suppliers."

Morrison stated that the automaker strives to aid suppliers as much as possible during production disruptions.

by Michael Wayland

Business News