With the Corvette Assembly Plant shut down over parts shortages in May and June, we’ve been waiting to see how General Motors was going to handle the remaining allocations for the 2021 Corvette model year.
The two choices for the automaker would be to extend the model year to make up for the lost production weeks, or to issue less (or none) allocations and stick to the planned production schedule. Dealers were expecting one more allocation cycle in June, and now GM has decided to call the current model year a wrap and is sticking with its plans to start the 2022 model year in early September.
With that decision now made, we know that the 2021 model year will be seeing fewer Corvettes produced than anticipated.
What that means for current order holders still waiting on their cars is that some of you won’t be receiving a 2021 Corvette. The memo says that GM is committed to building those Corvettes who are at Event Status 3000 and above, and they reiterated that they are not planning on canceling any accepted 2021 Mode year Corvette orders that are at 3000 or above. However, if you are under status 3000, it looks like your Corvette will not be built for the 2021 model year.
In a guidance memo to dealers (reprinted below), the FAQ says that 2021 customers under event status code 3000 “will have to consider placing an order with the dealer for a 2022 model year depending on where they are in the ordering process.”
GM states that the current unplanned parts shortages are not semiconductor chips and refuses to tell dealers specifically the issues affecting the production schedule. The parts shortage has been widely attributed to TREMEC’s supply of the dual-clutch transmission which is assembled in Michigan but requires parts sourced from Mexico and elsewhere. However, that is what we call the “word on the street” and it’s unconfirmed at this time.
In the memo, GM also tells dealers the allocation methodology will be changing in the 2022 model year with the Corvette joining other Chevrolet products that use the Available Days’ Supply (ADS) allocation. What this means to those dealers who have worked to build their volumes over the last few years will remain to be seen. We know that Corvette used the ADM method back in the early C6 days, but at some point, allocations evolved into the “turn and earn” which saw dealers get more cars based on sales. Again, we’ll be taking a closer look at this new allocation strategy at a future date.
So to sum it up, those at 3000 status with their 2021 orders should get a car, but those under 3000 will need to work with their dealers to get a spot on their 2022 lists. As for price protection, I would say that’s not going to happen this time around and as 2022 pricing hasn’t been set yet, we expect there will be some very unhappy folks out there who may end up throwing their arms in the air and will just walk away. I would stress that these shutdowns are not the fault of General Motors, but how they handle customers moving forward is all on them.
Statement MY21 Corvette Production – Withdrawal of June Outlook Guidance
In order to maintain start of production for the 2022 model year Corvette Stingray in late Q3, and as a result of continued unplanned part shortages not related to the industry-wide semiconductor availability issues, General Motors has had to make an adjustment in the number of Corvette Stingrays available for the 2021 model year.
As a result, we are withdrawing our June “Outlook” estimate as published in the most recent allocation guide. We are not planning on canceling any accepted 2021 model year Corvette Stingray orders (event code 3000 and above). Additionally, as we move into the third model year of the mid-engine Corvette, we will evolve to the Available Days’ Supply (ADS) allocation methodology used for all Chevrolet allocation groups, eliminating the need for any special allocation guides.
Q: You have said a few times that you are experiencing temporary part shortages. What parts are affecting production?
A: We’re not going to get into specifics other than to acknowledge this is NOT related to the industry-wide semiconductor shortage.
Q: How many vehicles did you have to remove from the build plan?
A: We do not provide specific volume and production estimates for any of our vehicles.
Q: What does this mean for customers who are below event code 3000?
A: They will have to consider placing an order with the dealer for a 2022 model year Corvette Stingray depending on where they are in the ordering process.
Q: How many customers will have to switch their orders to a 2022 model year Corvette Stingray?
A: Customers are going to have to work with their individual dealer to determine whether they will need to order a 2022 model year Corvette Stingray.
Q: Will MY 22 C8 allocation move to ADS like all other Chevy allocation groups?
A: Yes, for the third model year of the mid-engine Corvette, model year 2022 allocation will evolve into the Available Days’ Supply (ADS) allocation methodology like all other Chevy allocation groups.
Corvette Assembly Plant Completed Three Corvettes Last Week
Corvette Assembly Plant to Close for Second Consecutive Week Amid Parts Shortage
Important Dates Coming Up Regarding the 2022 Corvette Model Year