GM to invest $1bn in EV manufacturing

03 May 2021

On Thursday, General Motors announced that it will invest $1 billion in a manufacturing complex in Mexico that will build electric vehicles. 

The decision was criticised by the union for U.S. autoworkers as it believes that GM could have made use of the union's members in the United States. Currently, the U.S. is looking to create a number of incentives for electric vehicles. 

UAW Vice President Terry Dittes said that it is "unseemly" to accept U.S. government subsidies and proceed to manufacture vehicles outside the United States.

“At a time when General Motors is asking for a significant investment by the U.S. government in subsidizing electric vehicles, this is a slap in the face for not only

UAW members and their families but also for U.S. taxpayers and the American workforce.”

The new high-tech paint shop is expected to start operations from June at the Ramos Arizpe site. Currently, this site assembles conventional internal-combustion vehicles such as the Chevrolet Equinox and Blazer models. 

However, GM soon responded to the UAW statement saying that it "recently announced nearly 9,000 jobs and more than $9 billion in new electric vehicle or battery cell manufacturing facilities in Michigan, Ohio and Tennessee." Hallway through the week, President Joe Biden also called for $174 billion to boost U.S. EV production, sales and infrastructure.

"There's no reason why American workers can’t lead the world in the production of electric vehicles and batteries," Biden said.