PONTIAC – General Motors announced Thursday it will invest nearly
$800 million at three Michigan plants in Pontiac, Warren and Lansing – part of
a $5.45 billion U.S. manufacturing upgrade over the next three years.
GM and UAW executives met for a news conference to announce the investments
at GM’s Pontiac Metal Center, which is getting $124 million facelift. The plant
was among those that faced closure around GM’s bankruptcy but today has around
430 employees.
Another news conference at GM’s Lansing Delta Township Assembly Plant
announced GM will invest $520 million in tooling and equipment for future
vehicles, retaining 1,900 jobs. The automaker said it also will spend $139.5
million for a new body shop and stamping plant improvements at its
Pre-Production Operations plant in Warren.
“These investments are evidence of a company on the move, strategically
investing in the people, tools and equipment to produce cars, trucks and
crossovers that are built to win in the marketplace, with stunning design,
quality and breakthrough technologies,” GM North America President Alan
Batey said in a statement.
GM said all major body panel dies will be pre-tested at its Pontiac site,
which will allow stamping plants to produce parts quicker and pre-production
vehicles tested in Warren will bring to light issues before regular production
begins. GM did not immediately say if new jobs are connected to the investments
in Pontiac and Warren.
“The common thread among our investments is the focus on product
improvements that benefit customers,” said Cathy Clegg, vice president of
GM North America manufacturing, in a statement.
GM did not immediately specify the $4.6 billion in remaining investment but
said it would provide details and identify the other plants involved in the
next several months.
Earlier this year, GM said it planned to boost capital spending in 2015 to
about $9 billion, up from about $7 billion spent in 2014. GM Chief Financial
Officer Chuck Stevens said GM over the next few years will boost spending for
vehicle launches, including next-generation Chevrolet Malibu and Chevrolet
Cruze sedans, next generation compact and midsize crossovers and new Cadillacs.
Part of Pontiac Metal Center’s announcement could be tied to a new press,
which it received a tax abatement for from the city of Pontiac last fall. GM
said the $32 million project included $30.3 million for a new press-bay
addition. The city, in a memo, said the investment is expected to add 15 new
jobs within two years after completion.
GM’s Lansing Delta Township plant is home to the Buick Enclave, Chevrolet
Traverse and GMC Acadia SUVs, which are due for next-generation models within
the next few years. GM last fall announced a $63 million expansion there,
including in the body shop for new robots and flexible tooling and in assembly
and the paint shop.
