GM invests $76 million in two plants to support production of pickups

By Jamie L. LaReau - Detroit Free Press (TNS)

DETROIT — General Motors is investing $76 million in two plants that make engines for the automaker’s full-sized pickups.

GM will invest $70 million in its Tonawanda Engine Plant near Buffalo, N.Y., and another $6 million in Parma Metal Center near Cleveland, Ohio. These investments support continued strong demand for the full-size Chevrolet Silverado and GMC Sierra pickups.

GM’s investment in Tonawanda will allow it to boost the number of engines it can build. At Parma, the investment will pay for four new metal assembly cells to support increased production of pickups. In the U.S., GM makes its full-size pickups at Flint Assembly and Fort Wayne Assembly in Indiana. It builds its mid-sized pickups at Wentzville Assembly in Missouri.

“GM continues to invest to strengthen our core business and respond to growing customer demand for our full-size pickups,” said Phil Kienle, GM vice president of North America Manufacturing and Labor Relations.

In 2016, GM invested $295.9 million in the Tonawanda plant for future engine production.

At Tonawanda, GM makes the Ecotec 2.0-liter Turbo and 2.5-liter engine for the Chevrolet Camaro, Malibu and Impala cars, Chevrolet Colorado midsize pickup, Chevrolet Equinox and Traverse SUVs. Also, engines for the Buick Regal sedan, GMC Canyon midsize pickup, GMC Acadia and Terrain, and Cadillac ATS, CTS cars.

Beyond that, it makes several engines for the hot-selling Chevrolet Silverado and GMC Sierra full-size pickups and the full-sized Chevrolet, GMC and Cadillac SUVs.

There about 2,000 union workers between the two facilities, 1,100 work at Tonawanda.

The UAW said GM’s investment secures jobs for its members and builds on the consumer demand for GM products built “by the women and men in Tonawanda and increases investment in Parma production as well,” said Terry Dittes, vice president and director of the UAW General Motors Department. “Today’s investment rewards that quality and success with a commitment to increased production.”

By Jamie L. LaReau

Detroit Free Press (TNS)

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