GM Invests $760M for EV Propulsion Transformation at Toledo Plant

General Motors Co. in Detroit announced it will invest $760 million at its Toledo propulsion manufacturing operations to prepare the facility for production of drive units that will be used in future Ultium-based battery electric trucks, including the Chevrolet Silverado EV, GMC Sierra EV, and GMC Hummer EVs.
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GM is investing $760M in its Toledo operation to prepare it for the production of drive units that will be used in future Ultium-based battery electric trucks. // Courtesy of GM
GM is investing $760M in its Toledo operation to prepare it for the production of drive units that will be used in future Ultium-based battery electric trucks. // Courtesy of GM

General Motors Co. in Detroit announced it will invest $760 million at its Toledo propulsion manufacturing operations to prepare the facility for production of drive units that will be used in future Ultium-based battery electric trucks, including the Chevrolet Silverado EV, GMC Sierra EV, and GMC Hummer EVs.

Toledo Propulsion Systems will be GM’s first U.S. powertrain or propulsion-related manufacturing facility transformed for EV-related production.

“Our Toledo team has a long, proud history of building great products and they have worked hard to earn this investment,” says Gerald Johnson, executive vice president of global manufacturing and sustainability at GM. “This investment helps build job security for our Toledo team for years to come and is the next step on our journey to an all-electric future.”

This investment is part of the company’s plan to create job opportunities and to bring employees along in the company’s EV transformation. With today’s announcement, GM has invested more than $1.9 billion at Toledo since 2011. Renovation work at Toledo Propulsion Systems will begin this month.

Once the plant is converted, it will produce GM’s family of EV drive units, which convert electric power from the battery pack to mechanical motion at the wheels. GM’s EV drive units will cover front-wheel drive, rear-wheel drive and all-wheel drive propulsion combinations, including high-performance and off-road capabilities.

The Toledo Propulsion Systems team will continue building transmission products while building drive units simultaneously during GM’s EV transition.

“Our Toledo team will continue to play a key role as we work to strengthen our current truck and SUV dominance, while also playing an important role in our EV growth transition,” says Johnson.

Purchased by GM in 1956, Toledo Propulsion Systems currently builds GM’s six-speed, eight-speed, and 10-speed rear-wheel drive and nine-speed front-wheel drive transmissions that are used in a variety of Chevrolet, Buick, GMC, and Cadillac products. The facility currently employs approximately 1,500 people.

“This investment is a recognition that UAW Local 14 members bring the skills, know-how and drive that make GM successful,” says Ray Curry, president of UAW. “UAW members look forward to being a part of shaping the future of General Motors.”

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