LaNeve wasn’t willing to predict when and by how much car prices will rise but said a number of rival carmakers had already boosted prices and GM would have to be competitive in its pricing. The increase doesn’t necessarily mean a higher sticker price. Instead, they could be factored in by lowering incentives or increasing transaction prices, LaNeve explained to Automotive News.
GM, along with a number of other carmakers, have seen revenues drop because of poor economic conditions, a decline in truck sales, higher commodity prices and the cost to develop technology to meet CAFE and other regulations. In April alone GM truck sales fell 26.5%. Unsurprisingly, 13 out of 14 launches GM is planning in the next 18 months will be either cars or car-based crossovers.