Is GM Running Short of 2014 Chevy Silverados?

Reports suggest that one of GM's suppliers is having trouble keeping up. Is the Silverado's launch in trouble?

John Rosevear
John Rosevear
May 30, 2018 at 3:59PM
Industrials

Demand has been brisk for the all-new 2014 Chevy Silverado. But is GM having trouble keeping up? Photo credit: General Motors.

General Motors (NYSE:GM) made a tremendous effort to ensure that its launch of the all-new Chevy Silverado and GMC Sierra pickups -- GM's most important products -- would go smoothly. All appeared to be going exactly as GM planned -- but now, there are reports that the 5.3-liter V8 engines used in the new pickups may be in short supply.

Sales of GM's pickups were down last month, and Ford (NYSE:F) was able to gain market-share ground. That's a big problem for GM, but it may not be a GM problem: Bloomberg has reported that the problem lies with a supplier that hasn't been able to keep up with demand. 

But as Fool contributor John Rosevear points out, it doesn't matter where the problem lies -- in the face of stiff competition from Ford and Chrysler, GM needs to get it fixed before its new pickup's strong sales momentum stalls.