GM Stock (NYSE:GM)
On Tuesday, General Motors (NYSE:GM) announced plans to spend $920 million to expand operations at its Ohio diesel engine facility to manufacture future internal combustion engine (ICE) heavy-duty truck powertrain items. Despite it, GM stock declined.
However, while promising to end sales of new gasoline and diesel-powered cars by 2035 in favor of electric vehicles, the biggest U.S. carmaker announced more than $3.2 billion in expenditures to sustain next-generation ICE manufacturing in June.
More than quadrupling the current size of the facility, which manufactures Duramax diesel engines for the Chevrolet Silverado HD and the GMC Sierra HD, General Motors announced on Tuesday that it would build a 1.1-million-square-foot expansion of its diesel engine facility in Brookville, Ohio, and install new technology and equipment.
General Motors has chosen not to discuss the specifics of its upcoming HD truck powertrain products or provide an estimated delivery date.
Along with the announcement of a new generation of its ICE heavy-duty trucks, GM stock has announced plans to invest over $1 billion in re-tooling two manufacturing sites in Flint, Michigan, and over $500 million in its Arlington, Texas, assembly plant, to get ready for production of next-generation ICE full-size SUVs.
Next-generation internal combustion engine (ICE) full-size trucks will cost General Motors $632 million at its Fort Wayne, Indiana plant and C$280 million in its Canadian Oshawa Assembly.
California and the EPA have stricter and stricter pollution rules, and GM, like other manufacturers, must comply. It will have to increase sales of zero-emission cars and improve the efficiency of internal combustion models to comply with stricter requirements.
According to a Reuters article from earlier this month, General Motors paid $128.2 million in fines for the 2016 and 2017 model years for failing to fulfill the Corporate Average Fuel Economy (CAFE) program standards.
GM’s website did not announce the $920 million investment in Ohio. Still, a press release was emailed to Reuters after Ohio Senator Sherrod Brown published a statement praising the proposal.
Featured Image: Freepik
Author Shariq Khan 
