General Motors Co would indeed build a new Chevrolet electric vehicle in a project that would require investments of at least $300 million and would be undertaken in a suburban Detroit assembly plant, the company has confirmed. The company also added that about 400 new jobs would be created for the project.
There has been some direct and severe criticism from the United States president Donald Trump of GM, the largest automaker of the country, in recent times following the decision of the company earlier this year to shut down production at its Lordstown, Ohio, assembly plant.
According to officials form GM, the company had finalised plans of the new production and its announcement long before Trump had started his latest series of angry tweets targeting GM on Saturday. The GM CEO Mary Barra was urged on Sunday by Trump over tweeter to go back on the decision of the company to end production at its Ohio plant. The plant is situated in a state which can be crucial for the next presidential election in 2020. And in a speech in Ohio on Wednesday, Trump again attacked the company.
GM is focused on ensuring that all of the hourly workers at Lordstown find new jobs at other plants, said Barra while speaking to reporters following an event at the plant in Orion Township, outside of Detroit, along with Michigan Governor Gretchen Whitmer for the announcement of the new investment in electric cars. However, on the issue of reop0ning of the Lordstown plant, she indicated nothing that it would actually happen and the decision to end production could be reversed.
She also did not say anything when asked whether she believed that there was any increased tension between Trump and the company.
“We want to create jobs, good paying jobs,” Barra said, saying her talks with Trump had a “business focus.” She said GM needs to remain “strong” in order to continue to add jobs.
The plans of the company to bring an end to production at five assembly factories of cars in North American and the termination of about 15,000 jobs was announced by GM last year. That announcement resulted in a wide outrage and a two-day visit to Capitol Hill by Barra to answer questions about the job cuts.
There was also no announcement by GM about the name or timing of the new GM EV. The company however said that the new vehicle the same platform as the existing Chevrolet Bolt EV would be used for building of the vehicle. The company also did not disclose anything about the time of start of production.
The company would be making a total of $1.8 billion in investments in its U.S. manufacturing operations in the current year, GM said, which would create 700 new jobs and would also support another 28,000 jobs across six states.
The company would reveal more information about the product and timing for the new Chevrolet EV when the actual date of production comes closer.
GM “supports” the proposed United States, Mexico and Canada Agreement “and we are making adjustments because we will comply” with the changed regulations that mandate more North American content in cars, Barra said after event.
There were reports earlier that GM was also initially contemplating producing electric vehicles in China.
(Adapted from GulfToday.com)