Friday, March 28, 2008

American Axle Strike Starting to Hurt GM
Lines to Screech to a Halt for the "Dogs of Lordstown"


Word came yesterday that the ongoing strike at American Axle threatens to shutdown its first GM car assembly factory. Up till now, the idled facilities built trucks and suvs, models that had excess inventory anyway. Now it's GM's small car factory that is facing the hurt.

The Lordstown, Ohio factory that builds the Chevrolet Cobalt and Pontiac G5 may soon shut down due to lack of brake parts. Apparently American Axle supplies a key part to a subcontractor that provides brake assemblies to the Lordstown plant.

The Cobalt and the G5 are not superstars. They are competent if unspectacular performers, but they are among GM's largest selling auto models, always in the top 10 in Canada. Demand for fuel-efficient models is increasing, and GM can ill-afford to lose the CAFE credits that the Cobalt/G5 provide.

Primary Source:thetruthaboutcars.com

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