GM Announces Big Investments in Tennessee and Michigan Manufacturing Facilities - Gov. Whitmer Weighs In
CBS Detroit - General Motors announced today they will be making big investments to take the company into its electrically driven future. To get there it is also investing in its gasoline-powered vehicle assembly plants, as their line of trucks and SUVs remain as one of their highest profit lines. GM plans to have 20 electric models out by 2023.
GM said today it plans to expand and invest in manufacturing facilities in Spring Hill Tennesee, as part of a massive $2 billion dollar investment that will eventually build electric vehicles like the Cadillac LYRIQ. The Spring Hill plant will see expansions in their paint and body shops, and upgrades to their general manufacturing which include new machines, conveyors, controls, and tooling according to a recent press release.
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For plants in Michigan, this means $32 million at the Flint assembly plant which makes heavy-duty Chevrolet Sierra and GMC Sierra pickups. GM has reported these two lines of trucks have gained significant market share in North America. The Romulus plant will see $17 million to increase automation in the production of GM's 10-speed truck transmission. Those transmissions can be found in their full-sized pickups, Tahoe, Suburban, Yukon, Yukon XL, and Cadillac Escalade.
At Orion Assembly, $3.5 million will be invested along with $750,000 at their Brownstown charter Township facility. These two investments are being reported as increasing production of the electric Cruise AV test vehicle made at the Orion assembly. In March of 2019, GM announced $300 million into the plant which brought in 400 jobs. Along with the Cruise AV, the new Chevrolet Bolt EV is produced there as well.
According to the Detroit News, Lansing's Delta Township assembly plant is getting $100 million to produce the next generation of the GMC Acadia, which is currently being manufactured in Spring Hill, TN. The Spring Hill plant will continue to make electric and gas driven versions of the Cadillac XT6 and XT5.
GM Chairman and CEO Mary Barra said, "We are committed to investing in the U.S., our employees and our communities," adding "These investments underscore the success of our vehicles today, and our vision of an all-electric future."
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Governor Gretchen Whitmer released a statement today praising the upgrades GM is making to its plants in Michigan. "This is good news for Michigan families and hardworking UAW workers, providing critical momentum to our economic recovery across the state," said Governor Gretchen Whitmer. "Since I was sworn in as governor, we have brought in historic investments to our auto plants, creating more than 12,000 Michigan jobs. I will continue to work closely with GM and every other business that wants to invest in the great state of Michigan."
In January GM already announced it was investing $2.2 billion in its Factory ZERO Detroit-Hamtramck Assembly Center. Configuring the facility to be an all-electric vehicle manufacturing assembly plant. Which will make the GMC Hummer EV and Cruise Origin. The Cruise Origin is a purpose-built electric, self-driving, and shared vehicle. Factory Zero will manufacture other EV's as well, and the GMC Hummer EV pickup is expected to begin production in late 2021.
The impact of Factory Zero in Hamtramck will add 2,200 jobs and bring an additional $800 million in investments into supplier tooling and other projects related to the launch of new electric trucks according to GM.
As part of GM's all-electric future, it has signed a deal with LG Chem to form Ultium Cells LLC. The new venture totaling more than $2.3 billion from both companies will produce batteries and create 1,100 jobs at its Lordstown, Ohio manufacturing facility which is already under construction.
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