Production of General Motors Corp's hulking Hummer H2 will be halted on Tuesday because of a strike at a key supplier, the automaker said.
This will be the sixth plant shuttered as a result of the week-long strike at GM's former subsidiary American Axle and Manufacturing Holding Inc.
Two more plants – one in Arlington, Texas, and another in Janesville, Wisconsin might have to close by the end of the week, sources said.
Four others were closed last week and a fifth was shuttered on Monday.
Many of the plants affected produce two of GM's best-selling vehicles: the full-size Chevrolet Silverado and GMC Sierra pickup trucks.
But the strike so far has had no impact on sales, as dealers have more than enough vehicles on hand to keep up with customer demand, GM said.
“I don't know how long this thing is supposed to last. But we could go another 60 or 90 days without any impact on sales,” Mark LaNeve, GM vice president of sales, service and marketing, said in a conference call.
“It's not a threat to our daily business. If it persists for a long time it could be.”
GM purchases more than 70 percent of the parts made by its former subsidiary AAM, which turns out heavy axles, drivetrain and chassis systems and related components for light trucks, sport utility vehicles and crossover vehicles.
The United Auto Worker strike against American Axle began February 26 after the company and the union reached an impasse over management's demands for deep cuts in wages and benefits.
So far, efforts to end the strike have gone nowhere.
