General Motors announces plans to invest $1 billion in USA factories

The 2017 Chevy Cruze Hatchback is revealedĀ at the 2016 North American International Auto Show in January 2016. Trump has called on GM to stop building the car in Mexico
WSJ: GM to Invest $1 Billion in US Factories
Author

18 January, 2017

Within a half-hour of GM's announcement Tuesday, Mr. Trump posted a Twitter message claiming credit for the auto industry's recent string of US manufacturing commitments.

"The reason that we are not building the new plant, the primary reason, is just demand has gone down for small cars", Fields said. The investments are on top of a further US$2.9 billion investment announced past year.

Barra noted that the company brought back more than 6,000 IT jobs that were previously outside of the USA, and streamlined its engineering operations from seven to three facilities.

GM encourages its suppliers to locate near its USA facilities - a longtime strategy used by most in the industry because of the savings it provides in logistics and transportation. The group is considering building a new factory in the U.S. and may produce Hyundai Motor's upscale Genesis vehicles and a US-specific SUV in the country, said the executive, who also oversees the strategic planning for Kia. Kia opened a new $3 billion, 200,000 unit-a-year production line in Mexico two months before the USA presidential election.

General Motors has announced a $1 billion investment into its USA manufacturing facilities just a week after being called out by President-elect Donald Trump. Conversely, Trump has called out GM and other carmakers for producing vehicles in Mexico and has suggested they will pay a "big border tax" for shipping Mexican-made vehicles to the United States.

GM declined to comment on the reports it will be adding jobs.

Scott Paul, president of the Alliance for American Manufacturing, said there's "no question that businesses realize there's an upside to announcing new jobs and investments in America right now".

The company did not mention the local GM Assembly Plant in Lordstown where more than 1,200 jobs are to be cut next week as the plant's third shift is eliminated.

Army chief urges soldiers not to raise grievances directly
Seniors should address these issues and even if then the jawan is not satisfied, he is free to explore other channels, Rawat said. General Rawat also requested soldiers to come directly to him rather than restoring their grievances on social media.

The 7000 figure includes the 450 jobs on axle production, 1500 jobs tied to the US$1 billion announcement and more than 5000 new jobs tied to engineering, GM Financial and advanced technology.

"I hope that General Motors will be following and I think they will be", Trump said Wednesday at Trump Tower in Manhattan.

GM said the factory investment has been in the works for years and will create or keep around 1,500 jobs at unspecified factories.

The moves have been in the works for some time and are not being made in response to Trump's criticism, one of the people familiar with the announcement said, but the automaker is going public with them now to show its commitment to the U.S.

"The U.S. market is strategically important for us", he said. The auto maker imports more vehicles from Mexico than does Ford and in recent months has announced plans to lay off more than 3,000 factory workers in MI and OH, citing waning demand for passenger cars.

On Jan. 8, Fiat Chrysler said it would invest $1 billion at plants in Warren and Toledo so it can build three new Jeep models - the Jeep Wagoneer, Jeep Grand Wagoneer and Jeep Pickup.

The automaker has been under pressure from President-elect Donald Trump to end manufacturing operations in Mexico or face a "big border tax" on parts and vehicles imported to the United States. BMW sees " no reason" to change plans, said Peter Schwarzenbauer, who heads the automaker's Mini and Rolls-Royce brands and its car-sharing business. However, Ford still plans to move production of the Ford Focus from its plant in Wayne to its plant in Hermosillo, Mexico.


More news


  • Texas family blame Apple's FaceTime in suit over fatal crash

    The almost 5,000-pound SUV tore into the Camry, then rode up over the driver's side. Due to some police activity on the road ahead, traffic had all but stopped.
    Razer Announces Project Valerie Triple-Monitor Gaming Laptop, Teaser Revealed

    Razer Announces Project Valerie Triple-Monitor Gaming Laptop, Teaser Revealed

    So that Razer is rolling out a laptop that's eleven pounds and twice as thick as their Razer Blade Pro is a bit counterintuitive. Of course, it isn't a Razer these days without Chrome lighting, which also extends under the displays for that extra wow factor.
    Vehicle  prices to start rising after pound slump

    Vehicle prices to start rising after pound slump

    However, alternatively fuelled vehicles (AFVs) experienced a strong uplift in demand, up 22.2% across the year. Petrol cars accounted for 49.0% of the market, while diesel-powered cars made up the remaining 47.7%.
  • Close but no cigar for M&S boss as sales nudge ahead

    His turnaround plans will also see the group open 200 new Simply Food stores as it shifts away from disappointing fashion sales. In the United Kingdom , we saw our eighth consecutive quarter of volume growth and delivered a third successful Christmas.
    U.S.  navy fired 'warning shots' at Iranian patrol boats

    U.S. navy fired 'warning shots' at Iranian patrol boats

    Navy ship fired warning shots at several patrol boats belonging to the Iranian Revolutionary Guard in the Gulf, the U.S. The Mahan was transiting with the San Diego-based amphibious assault ship USS Makin Island and the USNS Walter S.
    Windows 10 Increases In Popularity On Steam

    Windows 10 Increases In Popularity On Steam

    Though the migration of users to Windows 210 slowed down a bit in the recent months, and the free upgrade ended last July.
  • Oil Prices Fall...Yet Again

    Oil Prices Fall...Yet Again

    Brent crude futures, the global benchmark for oil prices, were trading at $55.20 per barrel at 0827 GMT, up 25 cents, or 0.45 percent, from the previous close.
    Samsung aims to ship 60 million Galaxy S8s

    Samsung aims to ship 60 million Galaxy S8s

    The phone is likely to be released in Mid-April (possibly by the third week) to consumers, as new reports suggest . The Galaxy S3 had actually recorded no less than 65 million sales during the year of its launch .

    ExxonMobil, Rex Tillerson Reach Deal to Cut Ties

    President-elect Trump's personal business ties have been the subject of much controversy during the presidential transition. Bob Corker, R-Tenn., praised Tillerson's conduct ahead of what could be a gruelling confirmation process.
  • Woman kidnapped as newborn in Florida 18 years ago is alive

    Woman kidnapped as newborn in Florida 18 years ago is alive

    The grandmother added that she always felt that her granddaughter was alive and that whoever she was with was taking care of her. She will be extradited to Jacksonville to face charges of kidnapping and interference with custody.
    Day to thank law enforcement

    Day to thank law enforcement

    The number of law enforcement officers in MI has dropped by 18 percent since 2001, falling from 22,500 to 18,500 officers. Enter your email address in the box below .
    Snap Sued, Accused Of Faking Growth By Ex-Employee

    Snap Sued, Accused Of Faking Growth By Ex-Employee

    Snap and Facebook are locked in battle for the attention of consumers and advertisers. We reached out to Snap for a comment but did not immediately receive a response.