General Motors (GM) is making strategic shifts at its Spring Hill assembly plant in Tennessee, US, with plans to halt production of the Cadillac XT6 crossover by the end of this year. This decision, as reported by CNBC, aligns with Cadillac’s electrification strategy and is not driven by tariff concerns.
In contrast, GM has announced the extension of production for the smaller gasoline-powered XT5 crossover at the facility until at least the end of 2026. The Cadillac XT6, introduced in 2019, has had modest sales numbers, averaging around 19,000 units annually.
Cadillac’s broader strategy involves transitioning to an all-electric lineup, covering cars, crossovers, and SUVs. Despite revising its goal to exclusively sell EVs by 2030, Cadillac has recently launched six new or updated models, including both electric and petrol-powered vehicles.
GM emphasized that Cadillac has introduced six new products in less than a year that represent the brand’s future direction. The company remains committed to making necessary adjustments to its portfolio to sustain growth in key luxury segments.
The Spring Hill plant has played a crucial role in Cadillac’s EV journey, having commenced production of the Cadillac Lyriq, the brand’s first electric vehicle, in 2022. Additionally, the plant has started producing the Vistiq, a three-row crossover serving as the successor to the XT6.
The decision to continue XT5 production at Spring Hill is attributed to strong customer demand. The XT5 ranked as Cadillac’s third best-selling vehicle last year, following the Escalade SUV and the Lyriq.
A scheduled downtime for the Spring Hill plant is set for the week of May 12, 2025, with temporary layoffs expected to balance vehicle output with market demand. Meanwhile, GM reportedly plans to increase production of its light-duty trucks at its assembly plant in Fort Wayne, Indiana.
As GM and Cadillac navigate the evolving automotive landscape, these strategic production shifts reflect the brands’ commitment to innovation and meeting customer needs in the rapidly changing market. Stay tuned for more updates on Cadillac’s electrification journey and GM’s production strategies.
