General Motors to invest $4 billion in US-based manufacturing
June 21, 2025
General Motors has announced plans to invest around $4 billion over the next two years in its US-based manufacturing plants. The move will increase US production of both internal combustion engine (ICE) and electric vehicles (EV).
The new investment will support GM’s ability to assemble more than two million vehicles per year in the US. This announcement follows the company’s plans to invest $888 million in the Tonawanda Propulsion plant near Buffalo, New York.
Plants in Michigan, Kansas, and Tennessee will expand finished vehicle production of several of GM’s most popular vehicles:
- Orion Assembly, Orion Township, Michigan GM will begin production of ICE-powered full-size SUVs and light-duty pickup trucks at Orion in early 2027 to help meet continued strong demand. As a result, GM’s Factory ZERO in Detroit-Hamtramck, Michigan, will be the dedicated assembly location for the Chevrolet Silverado EV, GMC Sierra EV, Cadillac ESCALADE IQ, and GMC HUMMER EV pickup and SUV.
- Fairfax Assembly, Kansas City, Kansas Fairfax Assembly will support production of the ICE-powered Chevrolet Equinox beginning in mid-2027. Sales of the recently redesigned Equinox were up more than 30% year-over-year in the first quarter of 2025. Fairfax remains on track to begin building the 2027 Chevrolet Bolt EV by the end of this year. GM expects to make new future investments in Fairfax for GM’s next generation of affordable EVs.
- Spring Hill Manufacturing, Spring Hill, Tennessee GM will add production of the ICE-powered Chevrolet Blazer at Spring Hill starting in 2027, alongside the Cadillac LYRIQ and VISTIQ EVs, and the Cadillac XT5.
“We believe the future of transportation will be driven by American innovation and manufacturing expertise,” said Mary Barra, chair and CEO. “Today’s announcement demonstrates our ongoing commitment to build vehicles in the US and to support American jobs. We’re focused on giving customers choice and offering a broad range of vehicles they love.”
GM has a network of fifty US manufacturing plants and parts facilities in nineteen states, including eleven vehicle assembly plants. Nearly one million people in the US are employed by GM directly or otherwise supported by GM, including employees, suppliers, and dealers.
“Today’s news goes well beyond the investment numbers – this is about hardworking Americans making vehicles they are proud to build and that customers are proud to own,” said GM President Mark Reuss. “As you travel the country, you can see firsthand the scale of our manufacturing footprint and the positive economic impact on our communities and our country.”
GM continues to post strong US sales, gaining market share in both gas and electric vehicles. The company is on track to deliver its sixth consecutive year as the US full-size pickup sales leader, and its fifty-first straight year leading in full-size SUVs. In the second half of 2024, GM became the #2 seller of electric vehicles in the US market, thanks to its diverse portfolio of thirteen EV models from Chevrolet, Cadillac, and GMC. Chevrolet is now the fastest-growing EV brand and #2 among all EV brands in sales.
GM’s 2025 capital spending guidance is unchanged at between $10-11 billion. Going forward, GM expects its annual capital spending to be in a range of $10 billion to $12 billion through 2027, reflecting increased investment in the US, the prioritisation of key programmes, and efficiency offsets.
www.gm.com
