While the true, sport utility vehicle market isn’t nearly as large as it once was, the vehicle serves a dedicated market. Not to mention a very profitably market, too.
Ensuring the company stays competitive in the segment, General Motors announced a $1.4 billion investment into the Arlington Assembly plant for various upgrades and improvements. Among them are a new paint shop, body shop and general improvements to the assembly area.
“This super-sized investment reflects GM’s commitment to our full-size SUV customers who expect nothing but the absolute best from us and their vehicles,” said Cathy Clegg, GM North America Manufacturing and Labor Relations vice president. “Today’s investment will contribute to Arlington Assembly’s winning tradition marked by strong customer focus, innovative thinking and teamwork.”
2015 has been a big year for Arlington, as the 60-year old assembly plant produced its 10 millionth vehicle, and provided $100,000 to the GM Foundation for local grants to community organizations. And, Cadillac Escalades continue to be scooped up from dealer lots with plump transactions prices.
“By working together, the UAW and GM are making a difference in communities across the United States,” said UAW Vice President Cindy Estrada, who leads the union’s GM Department. “These investments represent the power of our collaboration to create jobs and improve competitiveness, quality and our manufacturing base in this country.”
The $1.4 billion announcement comes from the $5.4 billion earmarked for General Motors’ U.S. manufacturing operations. With this announcement, $900 million remans to be parsed out by the year’s end.