Manufacturing

GM to crank up production of Escalades amid tight supplies

Johan de Nysschen on Escalade production: "Our supplier is challenged to ramp up production quickly." (Omari Gardner)
January 13, 2015 05:00 AM

DETROIT -- Cadillac is boosting production of its Escalade SUV amid strong demand for the redesigned truck, which rolled out last spring.

Cadillac chief Johan de Nysschen said he will be able to squeeze out slightly more than an extra 2,000 Escalades from GM’s Arlington, Texas, assembly plant, which also produces the Chevrolet Suburban and Tahoe and GMC Yukon and Yukon XL.

That would boost Escalade production for the year to about 32,000 trucks, de Nysschen told reporters today on the sidelines of the auto show here. Last year, Cadillac sold 30,469 Escalade and Escalade ESV models, a combination of the outgoing generation and the 2015 that went on sale in April.

Escalade supplies have been tight since the launch. Many dealers have said that customers who bought the SUV waited a month or more for its delivery because the trucks were being held at the plant for quality inspections and last-minute fixes.

GM product chief Mark Reuss told reporters today that GM has taken extra time to get the truck’s hand-stitched interior right.

“We’re learning how to make that at rate with high quality. We’re taking our time,” Reuss said.

De Nysschen also said that axle supply has been constrained, limiting availability. He said Cadillac dealers have about a 15-day supply of Escalades.

“Our supplier is challenged to ramp up production quickly,” he said in an interview Monday. “We are working to resolve this.”

Dealers have said that buyers of the ’15 Escalade -- the model’s first redesign in about eight years -- generally have been paying the full sticker price, which starts at $74,960 for the base model and runs up to $96,865 for a Platinum model.

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