GM needs a full line of 8-speed transmissions to catch up with competitors and meet fuel economy regulations.
General Motors will invest nearly $332 million in four manufacturing sites to produce more fuel-efficient engines and transmissions. The latest investments, announced today at GM plants in Flint and Bay City, MI, Toledo, OH and Bedford, IN, will support production of a new 3- and 4-cylinder Ecotec small gasoline engine, a new V6 engine, an 8-speed automatic transmission, and tooling for an existing 6-speed transmission.
GM also is increasing a previously announced powertrain investment at plants in Romulus and Saginaw, MI to $646 million, an increase of $46 million, for production of the new V6 engine. Combined, the two investments will “retain” about 1,650 jobs at the six facilities in the sad language used by multinational corporations in the struggling U.S. economy.
GM’s newly announced $331.8 million investment includes:
$215 million in Flint Engine Operations for a new Ecotec gasoline engine, which is part of a new family of engines that includes 3- and 4-cylinder variants with displacements ranging from 1- to 1.5-liters. Details of what variants the plant will build will be announced later. The plant will also upgrade tooling for its current V6 engine.
$55.7 million in Toledo Transmission Operations for increased capacity and tooling to produce an all-new 8-speed automatic transmission and an existing 6-speed transmission. The Toledo-based 8-speed will be used in numerous GM vehicles by the end of 2016. The 8-speed automatic transmission will help improve fuel economy and performance.
$31.7 million in Bay City Powertrain, including $19.2 million to produce components for a new V6 engine and $12.5 million to produce components for the small Ecotec gasoline engine.
$29.4 million in Bedford Castings, including $19 million to produce components for the small gas engine and $10.4 million to produce components for the new 8-speed and existing 6-speed transmissions.
The additional $46 million investment for the V6 project – details coming later – makes a total $646 million including:
- A $41 million increase to $256 million for Saginaw Metal Castings Operations to produce castings for the new V6 engine.
- A $5 million increase to $390 million for Romulus Engine Operations to build the new V6 engines.
The GM Ecotec gasoline engine is part of a global engine family that be made in quantities of more than 2 million engines a year by the end of the decade, based on production in Flint and other locations around the world including Korea and China. GM said the new engines will offer improved fuel economy, higher quality, and better performance and reduced carbon dioxide emissions.
