General Motors is thinking about selling its medium-duty truck line which includes the Chevrolet Kodiak and GMC TopKick work trucks built in Flint, Michigan. Navistar, supplier of Ford's Power Stroke diesel engines, is one of the front runners.
GM's intentions have little to do with gaining liquidity, it is more of an attempt to hand-over the unit to a company whose focus is more heavier-truck segments. One of the principal consequences of this sale would the freeing-up of the Flint Plant in order to build more light-duty trucks.
Sales of medium-duty trucks fell 8% in the US in the first tree months of this year. This is mostly due to tighter emissions regulations, high inventory (GM has built up a large overstock of medium-duty trucks) and a relative slowing-down of the economy.
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GM's intentions have little to do with gaining liquidity, it is more of an attempt to hand-over the unit to a company whose focus is more heavier-truck segments. One of the principal consequences of this sale would the freeing-up of the Flint Plant in order to build more light-duty trucks.
Sales of medium-duty trucks fell 8% in the US in the first tree months of this year. This is mostly due to tighter emissions regulations, high inventory (GM has built up a large overstock of medium-duty trucks) and a relative slowing-down of the economy.