Located in the Lone Star state, the GM Arlington plant is currently responsible for the production of General Motors’ entire lineup of body-on-frame full-size SUVs – which includes the Chevy Tahoe, Chevy Suburban, GMC Yukon and Cadillac Escalade. Now, it appears as though this manufacturing facility is the most profitable plant in the world.
According to a report from Reuters, the GM Arlington plant in Texas is considered by some analysts as the most profitable manufacturing facility across the globe. This development comes as General Motors announced new plans to continue building ICE-powered SUVs at the plant through 2035, at which point GM has claimed it will feature a zero-emissions vehicle lineup.
While the Arlington plant continues to generate massive profits for The General, the Detroit-based automaker has noted that it will slowly reduce annual production of SUVs at the facility as it gradually introduces all-electric alternatives. In fact, recent forecasts show that annual production at the Texas-based plant could drop to around 200,000 vehicles by 2030. However, even this reduced scale has the potential to yield at least $2 billion.
It’s worth noting that the Arlington plant generated roughly $25 billion in revenue over the course of the 2022 calendar year.
In the interim, General Motors isn’t done investing in an ICE-powered future for the Arlington plant just yet. As GM Authority recently reported, GM announced a new $500 million investment into the manufacturing facility to facilitate production of The General’s next generation of full-sized SUVs. This investment will provide new tooling and equipment in its stamping, body shop and general assembly areas.
Notably, GM has invested more than $31 billion into U.S. manufacturing and parts distribution facilities since 2013. More specifically, the Arlington plant has received nearly $2 billion during the same timeframe.