Business & Tech

General Motors To Create 7,000 U.S. Jobs With $1B Investment

The automaker also said it is moving pickup axle production from Mexico to Michigan. A supplier is also shifting jobs back to U.S.

DETROIT, MI — General Motors said Tuesday it is investing $1 billion in U.S. manufacturing operations, a move that will create 7,000 jobs. The Detroit-based automaker also said it will begin moving its axle production for its next generation of full-size pickups from Mexico to the United States, a move that will create 450 Michigan jobs.

Additionally, another supplier has committed to move jobs from Mexico to the United States to make other components for the automaker’s next generation of full-size pickups, GM confirmed. About 100 U.S. jobs will be gained in that transition.

In a statement, GM Chairwoman and CEO Mary Barra said that as U.S. manufacturing becomes more competitive, “we are able to further increase our investment, resulting in more jobs for America and better results for our owners.

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“The U.S. is our home market and we are committed to growth that is good for our employees, dealers, and suppliers and supports our continued effort to drive shareholder value,” Barra said.

The new announcement comes on the heels of $2.9 billion U.S. investment announced in 2016. The company said it has invested $21 billion in U.S. operations since 2009.

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The automaker has been under pressure from President-elect Donald Trump to end manufacturing operations in Mexico or face a “big border tax” on parts and vehicles imported to the United States. Trump was specifically talking about production of Chevrolet Cruze Hatchback models in Mexico, but at the North American International Auto Show in Detroit last week, Berra told reporters the company has no plans to shut down production of the Cruze in Mexico, The Detroit News reported.

“This is a long-lead business with high capital-intensive investments, decisions that were made two, three and four years ago,” Barra said.

Other models of the popular vehicle are manufactured in Lordstown, Ohio.

In tweets Tuesday, Trump didn’t specifically take responsibility for the GM announcement but said people are seeing the “big stuff” even before he takes office. Trump will be sworn in as the nation’s 45th president on Friday, Jan. 20.

Photo by Andrea_44 via Flickr Commons

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