Production at General Motors' Wentzville Assembly Plant in Missouri came to a halt July 22 due to a strike at a nearby seat supplier. A day later, GM announced it pushed back the reopening of its Orion Township EV factory in Michigan to mid-2026, citing slower-than-anticipated growth in EV demand.
Supplier Strike Shuts Down Wentzville Plant
GM, which employs about 4,600 people at the Wentzville plant, faced parts shortages after union-represented workers at Lear Corporation's seating assembly plant in Wentzville went on strike late July 21. The GM plant produces midsize pickups and cargo vans and is one of GM's key facilities.
"We can confirm that GM Wentzville Assembly Plant was impacted by part shortages resulting from a labor dispute at one of our suppliers. We hope both sides work quickly to resolve their issues so we can resume our regular production schedule to support our customers," GM spokesman Kevin Kelly told the Detroit Free Press.
Lear Corporation, which employs about 500 union-represented workers at its Wentzville plant, had been negotiating a new collective bargaining agreement with the United Auto Workers (UAW). Despite progress in these negotiations, the union decided to strike, as confirmed in a statement from Lear sent to the Free Press.
"We have negotiated in good faith with the UAW for some time to reach a new collective bargaining agreement for our Wentzville, Missouri, seating assembly plant," Lear said in the statement. "Despite progress in the negotiations, the union informed us late last night of their decision to strike. Lear Corporation stands firm in supporting our employees and the communities in which we operate."
The UAW criticized Lear's approach to the negotiations. Region 4 Director Brandon Campbell said in another statement, "Shame on Lear for failing to come to a fair agreement with the 500 members of UAW Local 282 who are now forced to strike for their fair share. The company has had plenty of time to make things right, but instead spent a billion dollars on stock buybacks and dividends last year. Now Wentzville Assembly is down thanks to Lear's refusal to bargain a fair deal."
GM confirmed no other plants have been impacted by the strike at this time. The automaker hopes for a swift resolution to the labor dispute to resume normal production and minimize disruption for its customers.
Orion Township EV Factory Delayed by Demand Slowdown
GM announced a significant delay in the reopening of its Orion Township electric vehicle (EV) factory, now slated for mid-2026, due to slower-than-expected growth in EV demand.
During a second-quarter earnings call July 23, GM CEO Mary Barra said, "We've decided to reopen Orion Assembly as a battery-electric truck plant in mid-2026. The new timing is six months later than our plan heading into the year. We're confident that we can meet customer demand for standout EV trucks in the interim by leveraging the production capacity and flexibility we have at Factory Zero."
GM had initially planned to retool Orion Assembly for the Chevrolet Silverado EV pickup production this year, but the schedule has been repeatedly adjusted. This latest delay moves the restart from late 2025 to mid-2026. In the meantime, GM's Factory Zero in Detroit and Hamtramck will continue to produce the Chevrolet Silverado EV and GMC Hummer EV models.
This decision follows GM's earlier move to idle Orion Assembly at the end of 2023, halting the production of the previous-generation Chevrolet Bolt and Bolt EUV. The company plans to launch an all-new Bolt using GM's Ultium propulsion technology in 2025, to be built at Fairfax Assembly in Kansas.
The delay also impacts the workforce at Orion Assembly. A WARN notice filed by GM indicated 945 jobs would be cut starting Jan. 1, while approximately 1,000 other workers were transferred to other GM facilities in Michigan. The exact timing for when employees will return to Orion remains undetermined.
Despite the slower-than-expected EV adoption, GM is committed to managing costs and optimizing production. Barra highlighted during the earning call that GM's joint venture, Ultium Cells LLC, is ramping up domestic battery cell supply, which will enhance the profitability of GM's EV portfolio.
Additionally, GM is implementing a "winning with simplicity" strategy to reduce costs and complexity. Barra noted GM has reduced the part count on the 2025 Cadillac LYRIQ by 24% compared to the 2024 model, without compromising features or quality.
