GM Plans $4 Billion US Investment to Boost ICE, EV Production

General Motors is investing $4 billion over the next two years to expand production capacity for internal combustion engine (ICE) vehicles at three U.S. plants, signaling a shift from its previous focus on electric vehicles (EVs). The Orion Assembly plant in Michigan will be converted to build gas-powered full-size SUVs and light-duty pickups starting in 2027, while the Detroit-Hamtramck Factory ZERO will specialize in EV production, including the Chevrolet Silverado EV and GMC Sierra EV. GM is also increasing ICE production at its Fairfax Assembly in Kansas and Spring Hill Manufacturing in Tennessee, responding to strong market demand for traditional SUVs and pickups despite earlier commitments to an all-EV lineup by 2035. CEO Mary Barra emphasized that the investment supports American jobs and offers customers a broad range of vehicle choices, highlighting ongoing American innovation and manufacturing expertise. This pivot comes amid poor sales of GM's electric trucks and significant EV losses, despite recent improvements in EV profitability. The move reflects GM's strategy to balance customer demand and profitability while continuing EV development.