General Motors will be opening up a new component stamping facility at its Arlington manufacturing complex in Texas. The new $200 million facility should be operational in 2013, and will create another 180 jobs. However, the new Arlington complex will save the Detroit based auto maker $40 million a year in logistics costs since the assembly facility will now be close by.
“Our investment in GM’s Arlington plant is one more example of GM strengthening the economy and creating jobs throughout the many U.S. communities where GM does business,” said GM Manufacturing Manager Larry Zahner.
With the addition of the Arlington plant GM has, without actually coming out and saying it, confirmed its full-size SUVs will be on the receiving end of some updates. While we don’t know much about the upcoming updates, we do know the SUVs will continue to share its underpinnings with the Chevrolet Silverado and GMC Sierra. As for keeping weight down, the SUVs are expected to encompass more high strength steels and other alloys. Rumors have also been circulating that a new eight-speed transmission and high-tech fuel injection for smaller engines are on their way as well. Don’t count out a revised version of the two-mode hybrid system GM uses, and possibly a four-mode system as well.
Investments in expanding operations around the globe have been a focal point for GM as the automaker has spent over $6.9 billion since 2009. Along with that major investment came 17,600 new jobs.
“Today’s announcement is further evidence that the U.S. auto industry is back. An important goal for the UAW is to increase the number of manufacturing jobs in the United States and we are pleased that General Motors has decided to make this investment in Arlington,” said Joe Ashton, vice president of the UAW representing the GM department. “We look forward to more good news in 2012 as our workers continue to build the world’s best vehicles.”
President Barack Obama dubbed General Motors the world’s number one auto maker again in his latest State of the Union address last week. However recent sales figures may not agree as General Motors sales were down 6.1 percent last month. Stay tuned for full coverage of monthly sales figures.
Do you think GM is spending its money correctly? Would you agree with President Obama’s statement of GM being the world’s number one auto maker again? Tell us what you think in the comment section below.
Source: General Motors