GM halts development of trucks, SUVs as fuel prices soar

0 Comments | AFP, June, 2008

DETROIT, Michigan (AFP) — General Motors Corp. said Thursday it was halting development of its next-generation pickup trucks and sport utility vehicles amid soaring gasoline prices.

"We are delaying indefinitely work on the next generation of pickup trucks and sport-utility vehicles (SUVs) until we have a better idea of where the market is going to be," said Tom Wilkinson, a GM spokesman.

Sales of fuel-hungry trucks and SUVs have plunged in the United States recently in the face of record-high gasoline prices that have shot up about 25 percent in the past year.

GM's new trucks had not been due to reach the market until 2011 and 2012, according to plans GM released last year during its contract negotiations with the United Auto Workers.

"We think...