General Motors will invest roughly $1.5 billion to expand its operations in North America in 2013, according to the automaker’s President of North America Mark Reuss. His comments were delivered at the Automotive News World Congress in Detroit last week.
Even though Reuss didn’t provide specific details, such as where the money will be spent and how many jobs will be created, GM forecasts the industry to sell 15 million to 15.5 million new vehicles in the United States in 2013. The increase in sales will require an increase in production capacity to keep up with demand.
Since exiting bankruptcy in 2009, General Motors has created nearly 18,000 hourly jobs. Last Tuesday, UAW President Bob King told the Detroit Free Press that he expects GM to add jobs in the United States “very shortly”. He also said that the figure will eventually top 20,000.
Most recently, The General has expressed interest in opening negotiations early with members of the CAMI plant in Ingersoll, Ontario to determine the financial feasibility of proudcing the next-generation Chevy Equinox and GMC Terrain crossovers. The plant produces the current generations of each vehicle.
GM also has announced plans to move production of the next-generation Chevrolet Camaro from its plant in Oshawa, Ontario to Lansing Grand River assembly. The next-generation Camaro will utilize GM’s Alpha architecture that underpins the Cadillac ATS and next-generation CTS. As such, the move is part of the automaker’s global platform consolidation strategy, which seeks to cut the amount of platforms and engines in half by 2018, thereby decreasing complexity and increasing the company’s profitably.