General Motors has sold its powertrain engineering center in Turin, Italy to Belgium-based automotive supply company Punch Group.
The sales of the plant included an “engineering services agreement to support GM’s global product programs through the end of 2021,” the company said in a statement, allowing it to continue to reap the benefits of the Powertrain Torino facility while also continuing to restructure of its international operations.
“We wanted the best solution for our employees and our company – the transfer of ownership to Punch Group, in addition to an engineering services agreement, does just that,” GM’s executive vice president Doug Parks, said in a statement. “The work will continue to support our global operations and allow us to focus our internal efforts on long-term solutions.”
Engineers work at GM Powertrain Torino
“This addition to our global portfolio will help the Punch Group execute our vision to be the leading integrator and manufacturer of driveline solutions,” added Punch Group founder and CEO Guido Dumarey. “The focus of this business will be to deliver world-class engineering services to GM and new clients. This includes developing engine applications for new segments, supporting the manufacturing of engines, and providing both engine and transmission solutions in markets worldwide.”
LH7 diesel engine developed by GM Powertrain Torino
Employees of GM Powertrain Torino are now employees of Punch Group, effective February 26th, 2020. GM says the two companies “will continue to work together to ensure a smooth transition from GM to Punch Group,” for workers at the facility.
GM Powertrain Torino was born out of a failed diesel powertrain collaboration between GM and Fiat. It was responsible for developing the automaker’s 3.0L LM2 inline-six Duramax diesel engine, found in the latest GM trucks and full-size SUVs, and also engineered the 1.6L LH7 diesel engine formerly offered in the Chevrolet Equinox and Chevrolet Cruze. In 2018, Pierpaolo Antonioli, head of the Turin powertrain facility, told Automotive News Europe GM had an “important strategy around diesel,” and that it was “working to keep [U.S. Sales] increasing.” As of 2018, around 750 people worked at the engineering facility.
Comments
Another example of GM fall from worldwide industrial giant company to small US-China regional unit. A little step to transform General Motors to General Motor.
gm_guy
Half the new vehicles sold worldwide are sold in the U.S. and China.
Besides my parents left Europe, GM left Europe, now Britain is leaving Europe. If Europe is such a good place why are so many leaving?
Let’s see. Consulting OICA sales statistics for 2018:
95.055.937 World Total
28.080.577 China
17.701.402 USA
———————–
45.081.979 China + USA
Ratio: 47%, a little less than half.
Leaving Europe:
Your parents: 2 persons
GM: a company whose sales went bad
UK: a ruling class wet dreaming of a lost empire, which wont come back
But miliions of people are waiting on the borders of Fortress Europe to get in.
Dear Peter G,
The part about the Europe is one of the most stupid comment ever.
Please, don’t talk about what you don’t (or can’t) understand.
Regards
Dave
GFY
I was expecting at least one new V8 Duramax generation before the full size went all in on electrification.
Could it be?
Didn’t the Fiat partnership end with Fiat taking the 3.0 V6 diesel then ended up becoming the Ram/Jeep EcoDiesel?
GMs I6 in the 2020 Silverado is a class above the now 3rd gen EcoDiesel, but still, that has to burn giving Ram years of half ton diesel sales.
The engineering on the GM 3.0L I-6 has been done.
Andrew, you are correct. Unfortunately the geniuses in Torino claimed the V6 was low-tech and then GM walked away during bankruptcy, leaving a well developed engine for FCA to sweep up for cheap. 6 years and more than $500 million later, the L6 was introduced with a 1 mpg advantage and 3000 lbs less towing capability than that original V6. Towing is probably more a truck limitation but a 1 mpg advantage ain’t a great technology advantage.
Andrew, you are correct. Unfortunately the geniuses in Turin claimed the V6 was low-tech and then GM walked away, during bankruptcy leaving a well developed engine for FCA to sweep up. 6 years and more than $500 million later, the L6 was introduced with a 1 mpg advantage and 3000 lbs less towing capability than that original V6. Towing is probably more a truck limitation but a 1 mpg advantage ain’t a great technology advantage.
If I remember correctly GM wasn’t impressed with the motor and was at least one of the reasons they didn’t go with it.
the way I see it most automakers will be out of the R&D and parts operations and leave that work to the lowest bidder assembly will be next then they can go back at them for a portion of the warranty expense and limit legacy expense