GM Invests $1.3 billion; Mostly For New Transmissions And Engines

General Motors announced it will invest nearly $1.3 billion in five manufacturing sites in Michigan, Ohio and Indiana to produce new fuel-efficient engines and transmissions, enhance vehicle quality and streamline logistics.

The investments, touching GM plants in Detroit, Flint and Romulus, Mich.; Toledo, Ohio and Bedford, Ind., will support production of a new V6 engine, new 10-speed transmission and an existing 6-speed transmission.

GM added investments will also fund assembly plant upgrades, including a new paint shop and logistics optimization center.

“GM is committed to a strong American manufacturing base and creating jobs in dozens of communities throughout the country. Today’s announced plant upgrades continue the momentum of a resurgent auto industry,” said GM Executive Vice President and North America President Mark Reuss. “More importantly, these investments add up to higher quality and more fuel-efficient vehicles for our customers.”

GM detailed the nearly $1.3 billion in investments as follow:

  • $600 million in Flint Assembly for facility upgrades, including a new paint shop;
  • $493.4 million in Romulus Powertrain Operations, which includes $343.4 million for equipment to produce an all-new 10-speed automatic transmission and $150 million to increase capacity of a previously announced new V6 engine;
  • $121 million in Detroit-Hamtramck Assembly for a logistics optimization center;
  • $30.6 million in Toledo Transmission Operations for increased capacity for an existing 6-speed transmission and tooling for a new variant;
  • $29.2 million in Bedford Castings, which includes $22.6 million to produce components for the 10-speed transmission and $6.6 million to produce components for an existing 6-speed transmission.

GM added the 10-speed automatic transmission will contribute to improved fuel economy and performance. Details about this program and the new V6 engine will be announced at a later date.