The company’s CEO and chairman, Rick Wagoner announced this morning that GM will have to close four of its truck and SUV plants located in Canada, USA and Mexico. This comes as a consequence of the shift in preferences from big cars to smaller ones because of the increase in gas price.

The four factories that will close are a truck plant in Oshawa, Ontario, a SUV factory Moraine, Ohio as well as one in Janesville, Wisconsin and a mid-size pickup plant in Toluca, Mexico. The decision will affect about 2,500 workers in each of the plants.

General Motors officials believe that the crisis that exists on the SUV and truck markets is not one that will pass, and as such, the company does not plan to restart the activity at any of the four factories. What is more, the Hummer series’ future will be discussed and there is a good chance that it will be discontinued.

The company will focus more on manufacturing smaller cars and SUV. GM has approved the construction plans for Chevrolet Volt, a car powered by electricity that needs only a small engine to recharge its batteries. The production of the car will take place in Lordstown, Ohio. General Motors hopes the revolutionary car will hit the showrooms in 2010.

GM’s decision of closing the four factories comes right after the company has announced that it has managed to convince 19,000 workers to opt for early retirement. The move will make the car producer cut its cost with about $1 billion starting with 2010 and is part of its plan to return to profitability once again.