GM extending summer factory shutdown as car sales slow

Workers install doors on Chevrolet Malibu and Buick LaCross vehicles at the General Motors plant in Fairfax, Kansas.

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Workers install doors on Chevrolet Malibu and Buick LaCross vehicles at the General Motors plant in Fairfax, Kansas.

General Motors will extend shutdowns at some of its factories this summer as sales slow and inventories fill up, according to the Wall Street Journal.

The GM plant in Lordstown, Ohio, and the Fairfax plant in Kansas City, Kansas, will be off line for up to five weeks in June and July, the Journal said, citing union officials. The Fairfax plant makes the Chevrolet Malibu.

Automakers often shut plants down for a couple of weeks in the summer as they prepare to release new models. But GM is dealing with relatively high levels of inventory after running production lines at high rates, the Journal said.

Neither General Motors nor the United Auto Workers were immediately available to comment for CNBC.

The paper said job cuts may be needed as the workers return, since the assembly lines will be run at a slower pace. There already were layoffs at the Ohio plant.

Ford is also temporarily shutting down some plants. Automakers across the board are seeing some drops in demand, particularly among sedans and smaller cars, after years of record overall sales.

Read the full story in the Wall Street Journal

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