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Onix's days numbered? GM halts production of Brazilians' beloved popular car and bets all its chips on a new SUV

Written by Ruth Rodrigues
Published 23/09/2024 ร s 08:58
GM stops production of the Onix in Gravataรญ to adapt the factory to the new SUV line.
Source: Canva

GM stops production of the Onix in Gravataรญ to adapt the factory to the new SUV line.

Last Monday, (16), the General Motors (GM) announced the interruption of production of the Onix at the Gravataรญ plant, located in Rio Grande do Sul. The stoppage is part of a process of adapting the production line, which aims to prepare the unit for the manufacture of a new Chevrolet SUV model, scheduled to be launched in 2026. This move is part of the automaker's strategy to renew its product line and increase its competitiveness in the market.

Changes in GM's production line

The interruption of the production in Gravataรญ will be used to adapt the line to the manufacture of the new compact SUV, which should be a derivative of the popular Onix.

The new platform that will be used is the GEM, which also serves the Onix hatchback and the Onix Plus sedan.

This indicates that the new model will seek to position itself as a direct competitor to vehicles such as the Fiat Pulse, Renault Kardian and a new Volkswagen model, expanding options for consumers.

The production stoppage was confirmed by factory employees and union representatives. The line's readjustment is expected to last until October 11.

During this period, workers at the unit will receive paid time off, ensuring financial security while production is halted.

Investments and commitments

The launch of the new SUV is part of a significant investment package by GM, totaling R$1,2 billion.

This amount will be used to modernize production lines at the GM complex in southern Brazil.

The Gravataรญ factory has already faced challenges recently, including a period of closure due to flooding in the region, which made these investments even more relevant.

The president of GM South America, Santiago Chamorro, highlighted the importance of choosing Gravataรญ for the production of the new model.

According to him, the unit is prepared for high-volume operations, reinforcing GM's commitment to Rio Grande do Sul and the development of the automotive industry in the region.

Details of the new model

Although Chamorro emphasized the strategy behind the production in Gravataรญ, he did not provide many details about the new SUV that will be manufactured.

What is known is that, as part of the Onix family, the new model should maintain the quality and reliability that characterize the brand.

In addition, there are plans for a restyling of the Onix, one of the best-selling hatchbacks in Brazil.

The choice to produce a new SUV is a direct response to changing consumer preferences, who are increasingly inclined to opt for sport utility vehicles (SUVs).

These models have become popular due to their design, interior space and versatility, factors that attract both families and young professionals.

The future of GM in Gravataรญ

The adaptation of factory Gravataรญ marks an important moment for GM, which seeks to update itself and follow the trends in the automotive market.

The temporary halt in production is seen as a necessary step to ensure the automaker can offer more competitive products that are in line with consumer expectations.

With the preparation for the new model, GM is not only investing in the manufacture of an SUV, but is also reaffirming its commitment to innovation and quality.

Expectations are high for the 2026 launch, and many consumers are eager to see how the new SUV will stand out in an increasingly competitive market.

This transition phase also reflects a broader movement in the automotive industry, where many automakers are adapting their production lines to meet the growing demand for vehicles that combine advanced technology and efficiency.

GM, with its significant investment and well-defined strategy, is positioning itself to be a leader in this new scenario.

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Ruth Rodrigues

Graduated in Biological Sciences from the State University of Rio Grande do Norte (UERN), she works as a writer and scientific disseminator.

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