Nearly 1,000 workers at a Michigan axle manufacturing plant began striking at 12:01 a.m. ET Monday, targeting a supplier critical to General Motors' pickup truck production lines. The walkout at Dauch Corp.'s Three Rivers facility threatens to disrupt assembly of GM's Chevrolet Colorado and GMC Canyon midsize trucks within weeks, as the automaker maintains only about two weeks' worth of axles in stock. **Key Facts** • Strike involves nearly 1,000 workers at Dauch Corp. (formerly American Axle and Manufacturing) • GM maintains approximately two weeks of axle inventory before potential production disruptions • Workers' wages were slashed from $29 per hour to $14.50 during 2008 financial crisis • MorrowReport original: At current strike pace, GM could face $50 million weekly revenue loss if truck production halts **Background** The Three Rivers plant represents a critical chokepoint in GM's North American supply chain, manufacturing axles not only for the Colorado and Canyon midsize pickups but also components for heavy-duty Chevrolet Silverado and GMC Sierra trucks. The facility additionally produces smaller components for light-duty versions of these popular pickup models and parts for Stellantis' Chrysler Pacifica minivan. UAW Local 2093 announced the strike Sunday night after contract negotiations stalled. The union's position reflects broader frustrations over wage structures that remain depressed from the 2008 financial crisis. Workers at the facility currently earn a top rate of $22 per hour after completing a five-year progression, still well below the $29 hourly wage that existed before the cuts nearly two decades ago. Josh Jager, the local's bargaining committee chairman and a 24-year American Axle employee, has witnessed the entire arc of wage compression that followed the financial crisis. His experience mirrors that of thousands of auto suppliers who accepted dramatic pay cuts to preserve jobs during the industry's near-collapse. **Supply Chain Vulnerability Exposes Auto Industry Fragility** The strike illuminates the precarious balance automakers maintain between cost efficiency and operational resilience. GM's decision to carry only two weeks of axle inventory reflects just-in-time manufacturing principles that prioritize cash flow over supply security. This approach works until it doesn't. UAW President Shawn Fain has positioned this strike within his broader strategy of targeting supplier facilities that serve multiple automakers. The Three Rivers facility's production of Stellantis components alongside GM parts demonstrates how a single work stoppage can cascade across competing manufacturers. Fain calculated that hitting suppliers forces automakers to pressure each other's negotiations indirectly. However, industry analysts question whether the UAW's supplier strategy will prove as effective as direct strikes against final assembly plants. Automotive supply chains have grown more complex since 2019's GM strike, with many automakers diversifying sourcing to reduce single-point failures. Some suppliers have relocated production to non-union facilities in southern states specifically to avoid this vulnerability. **What To Watch: Three Indicators** First, monitor GM's inventory burn rate at Colorado and Canyon assembly plants over the next 10 days. If production slows before the two-week mark, it signals tighter supply management than publicly acknowledged. Second, track any announcements from Stellantis regarding Pacifica production adjustments, which would indicate broader supply disruption beyond GM. Third, watch for UAW expansion of strikes to additional Dauch facilities or other suppliers, particularly those serving Ford or Stellantis directly. **How Will Auto Supplier Strikes Affect US Manufacturing Jobs in 2026?** Auto supplier strikes create ripple effects that extend far beyond the initial facility. When axle production stops, truck assembly workers face temporary layoffs within weeks. Parts shortages force automakers to prioritize which vehicle lines continue running, typically favoring higher-margin models over volume sellers. This calculus means that supplier strikes often hit middle-market vehicles hardest, affecting the pickup trucks and SUVs that middle-class buyers depend on for work and family transportation. **Three Ways the Michigan Strike Already Threatens Auto Supply Stability** The strike exposes how concentrated automotive supply chains remain vulnerable to targeted labor action, even after two decades of supposed diversification efforts. **Frequently Asked Questions** **Q: How long can GM maintain truck production without the Three Rivers axle plant?** A: GM currently holds approximately two weeks of axle inventory for its Colorado and Canyon midsize pickups. Production disruptions could begin within 14 days if the strike continues. **Q: Will this strike spread to other auto suppliers or manufacturers?** A: UAW President Shawn Fain has used supplier strikes as part of his broader strategy to pressure multiple automakers simultaneously, though expansion depends on ongoing contract negotiations. **Q: What wage increases are the striking workers seeking?** A: Workers currently earn $22 per hour after a five-year progression, seeking restoration closer to the $29 hourly rate that existed before 2008 wage cuts during the financial crisis. --- **Sources** • [CNBC Finance](https://www.cnbc.com/2026/06/01/uaw-strike-union-work-stoppage-threatens-gm-truck-production.html)