General Motors North America President Duncan Aldred stated that the high gasoline prices are driving consumers away from expensive pickup trucks and SUVs during a briefing seminar at the Center for Automotive Research in Ypsilanti, Michigan. This change in consumer behavior is happening at a time when GM is preparing to launch its new Silverado 1500 with larger V8 engines.
Aldred said, "I'm not going to sit here and say it's permanent yet. But we are seeing somewhat of a shrinking of pickup trucks, full-size utilities, and some of the heavier vehicles and an increase in the more affordable segments of the industry." He also mentioned that the current situation with gas prices is unique and different from previous spikes, as consumers are taking longer to consider trading in their efficient vehicles.
View Price on AmazonThe sudden rise in gas prices could be exacerbating other affordability struggles, including average new vehicle transaction prices, which ended 2025 at over $50,000 and have risen since then. However, GM does have six models that start under $30,000, including the Chevrolet Trax, Chevrolet Trailblazer, Buick Envista, Buick Encore GX, Chevrolet Equinox, and Chevrolet Bolt.
Aldred admitted, "There's definitely more awareness of affordability. We've seen what's happened with inflation, and we've seen what's happening at the pumps. It's something we do have to watch really, really closely." This shift in consumer behavior could signal that brands may need to pivot away from large vehicles and focus on smaller, more affordable vehicles.
Motor1's Take: Hearing a GM executive admit that gas prices are already starting to impact sales of the company with the highest combined truck sales should be cause for alarm across the industry. It could indicate that brands may be smart to pivot away from large vehicles and focus on smaller, more affordable vehicles at the other end of the market.
Source: motor1.com
