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Released May 30, 2025 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--Although the automaker still plans to produce electric vehicles (EVs), General Motors Company (NYSE:GM) (Detroit, Michigan) said recently it was investing $888 million to support production of gasoline- and-diesel-powered V-8 engines.
The newly announced project--which will kick off later this year--entails installing new machinery, equipment and tools, as well as performing minor renovations, at an operational plant in Tonawanda, New York. The sixth-generation V-8 engines will be used in full-size trucks and SUVs, with first production expected in 2027.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project and Plant databases can click here for a detailed project report and here for a plant profile.
GM noted the $888 million investment marks its largest single investment ever in an engine plant.
The new project would replace a $300 million project at the plant aimed at producing drive units for EVs, according to news accounts. Subscribers can click here for the project report.
Other internal combustion engine (ICE)-related projects include an expansion and retooling underway at GM's Flint Truck Assembly Plant in Michigan, which will allow it to assemble ICE heavy-duty trucks. The $788 million project, which entails constructing a body shop building and expanding the conveyor system, is expected to wrap up next year. Subscribers can click here to read the project report.
Also underway is a $920 million expansion at the Brookville Diesel Engine Block Head Machining Plant in Ohio, to produce diesel-powered V-8 engines (known as DMAX). In February, Brookville City Manager Jack Kuntz told the Dayton Daily News the project was projected to finish ahead of schedule and operate at full capacity by the middle of the year. Subscribers can click here for the project report.
This comes as GM said late last year that it agreed to sell its stake in a joint-venture EV battery plant in Michigan to partner LG Energy Solution (Seoul, South Korea). For more information, see December 4, 2024, article - GM to Sell Stake in Battery Plant to Ultium Cells Joint Venture Partner.
GM initially planned to reach a production capacity of 1 million EVs by the end of 2025 and phase out gas- and-diesel powered engines and go all-electric by 2035, but GM Chief Executive Officer Mary Barra has indicated that is not practical due to a slowdown in the EV market.
Despite any of GM's moves that represent a shift away from EV production, Barra, one day after announcing the new project, told attendees at the Wall Street Journal's Future of Everything conference the automaker still believes in an all-electric future and remains committed to the EV market.
"We have more EVs in the market right now than anyone else in this country," she said. "We're growing market share. I see a path to all electric vehicles. It depends on getting the infrastructure ready, but I think we'll get there because electric vehicles are better."
GM still is building a $3.5 billion EV battery plant in New Carlisle, Indiana, which will begin ramping up to production of 30 gigawatt-hours (GWh) of batteries annually when completed in late 2027. Subscribers can learn more by viewing the project report.
This comes at a time when U.S. politics pose a threat to the EV market.
The U.S. House of Representatives has passed the "One Big, Beautiful Bill," which was championed by President Donald Trump's administration and aims to eliminate federal EV tax credits by the end of next year, although there is no guarantee the bill will move through the Senate in its current form; it also introduces a federal annual registration fee for EVs and hybrid vehicles.
In addition, under the Congressional Review Act, which can be used by Congress to overturn federal agency rules, the U.S. Senate recently voted to block California's EV mandates--which includes a goal of phasing out new gas- and-diesel-powered passenger vehicles by 2035--by revoking the state's three federal waivers previously granted by the U.S. Environmental Protection Agency (EPA). Trump is expected to sign the resolutions, although Governor Gavin Newsom (D) and Attorney General Rob Bonta have said they plan to file a lawsuit challenging the matter.
GM had backed the Senate vote regarding California's EV mandate, with Barra noting the mandate requires 37% of new vehicle sales to be electric, but in April, the national average for new EV sales was 7%.
"I've always said we need one national standard so car companies can develop the technology more efficiently and more effectively ... we tried to work at both the state and federal level, but what happened in Congress last week was necessary to protect the customer," Barra said.
Subscribers to Industrial Info's GMI Database can click here to view reports for all of the projects discussed in this article and click here for the related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).
The newly announced project--which will kick off later this year--entails installing new machinery, equipment and tools, as well as performing minor renovations, at an operational plant in Tonawanda, New York. The sixth-generation V-8 engines will be used in full-size trucks and SUVs, with first production expected in 2027.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project and Plant databases can click here for a detailed project report and here for a plant profile.
GM noted the $888 million investment marks its largest single investment ever in an engine plant.
The new project would replace a $300 million project at the plant aimed at producing drive units for EVs, according to news accounts. Subscribers can click here for the project report.
Other internal combustion engine (ICE)-related projects include an expansion and retooling underway at GM's Flint Truck Assembly Plant in Michigan, which will allow it to assemble ICE heavy-duty trucks. The $788 million project, which entails constructing a body shop building and expanding the conveyor system, is expected to wrap up next year. Subscribers can click here to read the project report.
Also underway is a $920 million expansion at the Brookville Diesel Engine Block Head Machining Plant in Ohio, to produce diesel-powered V-8 engines (known as DMAX). In February, Brookville City Manager Jack Kuntz told the Dayton Daily News the project was projected to finish ahead of schedule and operate at full capacity by the middle of the year. Subscribers can click here for the project report.
This comes as GM said late last year that it agreed to sell its stake in a joint-venture EV battery plant in Michigan to partner LG Energy Solution (Seoul, South Korea). For more information, see December 4, 2024, article - GM to Sell Stake in Battery Plant to Ultium Cells Joint Venture Partner.
GM initially planned to reach a production capacity of 1 million EVs by the end of 2025 and phase out gas- and-diesel powered engines and go all-electric by 2035, but GM Chief Executive Officer Mary Barra has indicated that is not practical due to a slowdown in the EV market.
Despite any of GM's moves that represent a shift away from EV production, Barra, one day after announcing the new project, told attendees at the Wall Street Journal's Future of Everything conference the automaker still believes in an all-electric future and remains committed to the EV market.
"We have more EVs in the market right now than anyone else in this country," she said. "We're growing market share. I see a path to all electric vehicles. It depends on getting the infrastructure ready, but I think we'll get there because electric vehicles are better."
GM still is building a $3.5 billion EV battery plant in New Carlisle, Indiana, which will begin ramping up to production of 30 gigawatt-hours (GWh) of batteries annually when completed in late 2027. Subscribers can learn more by viewing the project report.
This comes at a time when U.S. politics pose a threat to the EV market.
The U.S. House of Representatives has passed the "One Big, Beautiful Bill," which was championed by President Donald Trump's administration and aims to eliminate federal EV tax credits by the end of next year, although there is no guarantee the bill will move through the Senate in its current form; it also introduces a federal annual registration fee for EVs and hybrid vehicles.
In addition, under the Congressional Review Act, which can be used by Congress to overturn federal agency rules, the U.S. Senate recently voted to block California's EV mandates--which includes a goal of phasing out new gas- and-diesel-powered passenger vehicles by 2035--by revoking the state's three federal waivers previously granted by the U.S. Environmental Protection Agency (EPA). Trump is expected to sign the resolutions, although Governor Gavin Newsom (D) and Attorney General Rob Bonta have said they plan to file a lawsuit challenging the matter.
GM had backed the Senate vote regarding California's EV mandate, with Barra noting the mandate requires 37% of new vehicle sales to be electric, but in April, the national average for new EV sales was 7%.
"I've always said we need one national standard so car companies can develop the technology more efficiently and more effectively ... we tried to work at both the state and federal level, but what happened in Congress last week was necessary to protect the customer," Barra said.
Subscribers to Industrial Info's GMI Database can click here to view reports for all of the projects discussed in this article and click here for the related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).
