General Motors (NYSE: GM) has pledged to invest nearly $7 billion towards boosting production of electric pickup trucks as well as building a new EV battery plant in an effort to overtake rivals Tesla and Ford.
GM on Tuesday announced that it will be allocating approximately $4 billion towards overhauling its Orion Assembly plant in Detroit in order to manufacture electric models of the Chevrolet Silverado and GMC Sierra pickup trucks come 2024. The automaker also plans to invest another $2.6 billion via a joint venture with LG Energy Solution towards building a new battery plant in Lansing in order to supply its Orion production plant.
GM’s EV investments were supported by the Michigan Strategic Fund board, which agreed to provide $824.1 million in incentives towards the automaker’s projects, which are expected to create at least 4,000 more jobs. Moreover, in a separate statement, Michigan Governor Gretchen Whitmer proposed to create a $2,500 rebate towards the purchase of an electric car and subsequent charging accessories.
The latest investments are expected to raise GM’s electric truck output by 600,000 units before the end of 2024, and bring the carmaker’s total North American EV manufacturing output to over 1 million vehicles by 2025.
Information for this briefing was found via Reuters. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.