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GM to Manufacture EVs in Mexico with $1 Billion investment

GM’s earlier announcement on building EVs at Ohio, Tennesse, and Michigan will have more than $9 Billion investment. Furthermore, GM is set to have manufacture EVs in Mexico. 


Image credits- EDI Weekly

The company announced the official statement through their Mexican website. As said by UAW vice president, Terry Ditters, 

“At a time when General Motors is asking for a significant investment by the U.S. government in subsidizing electric vehicles, this is a slap in the face for not only UAW members and their families but also for U.S. taxpayers and the American workforce,” 

So far, it is known that the company is set to build batteries and other required components in its Mexican factory. Their existing factory of GM in Mexico is Ramos Arizpe. 

The US Push towards electric vehicle

Now with Joe Biden’s presidency, things are going different. However, earlier in Trump’s administration the company was threatened. It so happened that, the former president threatened to tax imported vehicles from Mexico. 

As told by Joe Biden to US lawmakers, “there’s no reason why American workers can’t lead the world in the production of electric vehicles and batteries.”

Besides the EV manufacturing, among with their push towards they plan to add high tech paint shop. Located near the same factory in Mexico, this shop will look similar to the fuel and combustion shop. These shops will have batteries and other electronics, for its EV Chevrolet and Blazer models. 

The manufacturing plant 

Furthermore, This Mexican location more or less criticized the US union workers. Instead of working within the country, GM chose to shift to Mexico. However, their manufacturing sectors in America are set to generate around 6,000 jobs already. 

As said by GM to the UAW’s statement, “It has recently announced nearly 9,000 jobs and more than $9 billion in a new electric vehicle or battery cell manufacturing facilities in Michigan, Ohio, and Tennessee.”

Also, the precise details about when the manufacturing will start or the capacity of the segment. However, it is known that this Mexican plant will build two Chevrolet electric SUVs by 2023. Additionally, GM has already been making EVs, with this they are going to expand their manufacturing facilities. 

Development of the region

President of GM’s Mexican unit, Fransico Garza says, “I’m sure this investment will contribute to continuing boosting Mexican manufacturing. While bringing development to the region, the industry, and the country.”

Currently, the fuel-based manufacturing plant had around 5,600 employees, excluding indirect employees. Other than the $1 Billion sectors announced now, it is expected that this will expand even further with time.



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