Pandemic Slows GM Sales in Second Quarter
Photo: Chevrolet
GM sales fell 34 percent in the second quarter, as the COVID-19 pandemic reduced customer demand and triggered plant shutdowns that hurt the automaker’s supply of vehicles.
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Overall, GM delivered 492,489 vehicles for the quarter. Over the first six months of the year, the automaker has sold 1,110,824 units — a 21.4 percent decline.
GM officials are pointing to signs of hope amid the tough numbers. While retail sales were down the most in April, the first month of the quarter, they rebounded slightly in May and June. Model availability is improving, too, as plants ramp back up to regular operations.
“GM entered the quarter with very lean inventories and our dealers did a great job meeting customer demand, especially for pickups,” said Kurt McNeil, GM’s U.S. vice president of sales operations. “Now we are refilling the pipeline by quickly and safely returning production to pre-pandemic levels.”
To encourage customers that it’s safe to shop, GM is emphasizing online shopping options like Shop Click Drive. It’s also instituted CLEAN, a voluntary program in which dealers pledge to abide by CDC and EPA cleanliness and disease prevention standards in their showrooms.
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Photo: General Motors
While sales showed signs of life toward the end of the quarter, GM Chief Economist Elaine Buckberg warned that the situation could change if the COVID-19 virus is not brought under control.
“We expect continued sales recovery as businesses ramp back up, but recognize that the path forward may not be linear, as rising infections in many states may lead to steps backward in the reopening process,” she said.
Here’s a breakdown of how sales for each GM brand fared during the second quarter.
GM second-quarter sales: Chevrolet
Sales leader Chevrolet was down 33.6 percent with 331,917 units moved. A pair of SUV models were the only passenger vehicles to make gains — the Blazer was up 67.6 percent and the Trax was up 3.1 percent. The Silverado HD pickup was nearly flat, losing just 0.7 percent. Chevrolet’s sales leader was the Silverado 1500 truck, which sold 89,465 units but was down 18.6 percent.
GMC
GMC managed 101,756 sales in the second quarter for a 32.9 percent decline. The only GMC model to make gains was the Sierra HD truck at 7.6 percent. The GMC sales leader was the Sierra 1500 pickup, which sold 38,825 units for a 9.5 percent decrease.
Buick
Buick sales, which totaled 35,520, were down 35.9 percent for the quarter. All models posted declines, except for the new Encore GX SUV, which sold 9,256 units in its first full quarter on the market. The Encore SUV led the way with 10,033 sales, a 58.7 percent decrease.
Cadillac
Cadillac sold 23,296 vehicles, a 41.4 percent loss. The XT5 SUV was the brand’s sales leader with 5,783 units moved. However, it was down 55.9 percent. All other Cadillac models posted decreases as well, except for the relatively new CT4 and CT5 sedans and XT6 SUV.
A longtime editor/writer and recently transplanted Hoosier, Caleb Cook lives in Xenia, Ohio. His favorite activities are reading and listening to music, although he occasionally emerges from the heap of books and vinyl records in his basement to stand blinking in the sunlight. Once fully acclimated to the outside world again, he can be observed hanging out with his wife, attempting a new recipe in the kitchen, attending movies, walking the dog, or wandering into a local brewery to inquire about what’s on tap. See more articles by Caleb.