GM's plant in Ramos Arizpe.
General Motors announced Thursday that it is investing more than US $1 billion to open a new paint plant in Coahuila this June and to prepare to manufacture electric vehicles in the same state starting in 2023.
The company said in a statement that it will open a new paint plant with “innovative technology” at its manufacturing hub in Ramos Arizpe, located just north of the state capital Saltillo. It also said that it will upgrade general infrastructure at the 40-year-old plant, including dining areas, medical services and recreational spaces.
GM said that part of the “initial investment” of more than $1 billion will go to an expansion of the same manufacturing complex that will allow it to become the company’s fifth electric vehicle production site in North America. The existing plants that manufacture electric vehicles are located in Spring Hill, Tennessee; Detroit-Hamtramck, Michigan; Orion, Michigan; and Ontario, Canada.
“General Motors Ramos Arizpe has begun the construction work on its new facilities within the [manufacturing] complex, where GM-brand electric vehicles will be manufactured starting in 2023. Batteries and electric components will also be produced starting in the second half of 2021 with the manufacture of ‘Drive Units’, the propulsion system that drives electric vehicles,” the statement said.
Francisco Garza, president and general director of GM México, said the Mexican subsidiary is “very proud” to contribute to the company’s “zero crashes, zero emissions and zero congestion” vision with the manufacture of electric cars.
“We’re grateful to the federal government and the Coahuila government for driving this investment. It’s great news,” he said, adding that it is indicative of the company’s commitment to Mexico.
Garza also said that he was confident that economic conditions will eventually allow GM to increase its workforce at its Coahuila plant and add an additional shift in some areas.
In addition to making electric vehicles, the Ramos Arizpe plant, which currently employs 5,600 people, will continue to manufacture Chevrolet Equinox and Chevrolet Blazer SUVs, GM said. The plant currently makes vehicles for the domestic market and more than 40 export markets.
GM has been operating in Mexico for more than 85 years and employs more than 21,000 people here. In addition to Coahuila, the company manufactures vehicles in Toluca, México state; Silao, Guanajuato; and San Luis Potosí city. It has corporate offices in Mexico City.
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