General Motors is a huge corporation, bigger than the economies of many nations, so it’s not surprising that it’s a slow responding, hard to turn behemoth: kind of like the obese vehicles it builds for obese people.

The writing has been on the wall for at least a year for GM to start reducing its fleet of large SUVs or FSPs. Sales of over-sized and eco-unfriendly vehicles began declining some time ago, even as GM and Ford kept pumping out ever-bigger versions of their lineup. Compare  the size of the current Chevy Blazer or Ford Explorer with the original incarnations. They’re totally different beasts.

Now comes the inevitable news that GM will be shutting down production of 4 SUV and truck plants in the US, Canada and Mexico. Not too soon, and maybe too late for a big move into hybrid or electric vehicles.

GM has been touting its Chevy Volt electric concept car for some time but can’t seem to get it into production. It still has battery design performance issues and an undisclosed price rumored to be in the $40,000 plus range. That’s not going to win over many converts, and maybe too long for new car buyers to wait.

Even some of the currently available attempts at alternative fuel models seem tepid attempts at claiming market participation without good solutions for problems we have right now. The Saturn Vue Greenline is no Toyota Prius or Highlander hybrid, and the Ford Escape hybrid is notorious for it’s unimpressive fuel savings.

GM lost $51 billion in the last 3 years and the newly announced phased-in closures will save a claimed $1 billion a year beginning 2010. Even the mucho macho, driven by soccer moms, Hummer, may face the scrap heap.

This is a reminder of the previous gas crisis in 1976 when GM kept making the 8 mpg Chevrolet Caprice. Volkswagen and Datsun already had vehicles selling way before GM could respond, and then only with dreadful cars like the Chevette and badge clones.

There was little warning then of the OPEC action. Now there is little excuse.

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