General Motors Announces $1.3 Billion Investments in Five Facilities
Key Investments Include Flint Truck Plant, Six-, 10-Speed Automatic Transmissions
If there was any doubt that General Motors was on the throttle after last week's announcement of the Treasury Department's sale of its last remaining shares, and the announcement of Mary Barra as the GM's new CEO, and the first and only female chief executive of a major global OE manufacturer in history, the company today announced a $1.3 billion investment in five key facilities around the upper Midwest. Although specifics on models and applications were somewhat vague, in context, many of these investments could include GM's line of full-size and possibly upcoming midsize trucks.
The largest single investment is $600 million in the Flint Assembly plant, which builds the Silverado and Sierra HD models, and has the capacity to build the 1500-series trucks as well. Headlining the upgrades for Flint include a new paint shop.
Romulus Powertrain receives a $493.4 million investment to tool up for assembly of a new 10-speed automatic transmission being jointly developed with Ford. Both transverse and longitudinal versions of the transmission are in development, with possible use on GM's full-size trucks and SUVs.
Toledo Transmission gets at $30.6 million investment for increased capacity for an existing six-speed transmission, and tooling upgrades for a new variant. Toledo currently builds six-speed automatic transmissions for use in both transverse and longitudinal applications.
GM's Bedford Castings facility, which makes transmission castings, as well as produces block castings for the small-block V-8, gets a $29.2 million upgrade in preparation of the new 10-speed transmission, as well as an additional investment for existing six-speed transmissions.
Finally, the Detroit-Hamtramck facility gets a $121 million investment for a logistics optimization center. Today's investments are in addition to $1.5 billion of cumulative investments announced by GM earlier in 2013.
Source: General Motors