General Motors, the largest automaker in the US, is set to invest $3 billion in their Detroit-Hamtramck assembly plant. The news comes just months after fellow automotive giant Fiat-Chrysler announced it would be investing over $1 billion in a new Detroit assembly plant on the city’s east side. After long deliberations between the United Auto Workers (UAW) and GM, the two sides finally reached a tentative agreement. The details of the agreement were obtained by the Detroit News, and can be read here.
The GM Detroit-Hamtramck assembly plant has been in operation since the 1970s. Earlier this year, the company announced that the plant would be closing. Under the new agreement reached with the UAW the plant would not only be saved, but 2,225 new jobs would be added. This is major news for the city, as two of its largest companies are set to invest billions of dollars within the city limits.
The plant currently builds the Chevrolet Impala as well as the Cadillac CT6. The investment would include retooling which will allow the plant to start building GM’s electric vehicles. Over the past two years, all of Detroit’s “Big 3” automakers (GM, Ford, Chrysler) have made huge announcements about investing in the city. These investments are especially important because of the thousands of jobs they will create for Detroiters.