GM expanding Lansing Lambda CUV plantThu, 30 Oct 2014 11:01:00 EST
Considering that crossovers are a rapidly growing portion of the US auto market, it's not surprising to hear that General Motors is preparing to build even more of them. The company is investing $63 million to expand its Lansing Delta Township Assembly plant that builds Lambda platform CUVs like the Chevrolet Traverse, GMC Acadia and Buick Enclave.
According to GM, the expansion will add roughly 263,000 extra square feet of space to the plant. Of that, 181,000 square feet will be for an updated body shop with cutting-edge robots. There will also be 54,000 square feet of additional room in the paint shop and 28,000 square feet of more area for general assembly.
GM isn't saying as much, but there is the possibility that this extra space could allow for additional models produced at the factory. Cadillac reportedly dropped plans to build a three-row SUV on the Lambda platform earlier this year, however, dealers for the luxury brand were recently pitched the possibility of adding large and small CUVs, an ATS convertible or a sedan below the ATS.
The plant is already GM's newest in North America and is the first auto factory in the world to be a Gold Certified Leader in Energy and Environmental Design. It currently employs 3,295 people and covers 3.4 million square feet, including its stamping area. Scroll down to read the full announcement.
GM INVESTS $63 MILLION IN LANSING DELTA TOWNSHIP ASSEMBLY PLANT EXPANSION
29/10/14 LANSING, Mich
General Motors will start construction on a $63-million expansion of the Lansing Delta Township facility, part of the nearly $300 million in Michigan-based investments that GM CEO Mary Barra referenced in a speech Tuesday at the Detroit Economic Club.
The expansion will add nearly 263,000 square feet to the facility that produces the Chevrolet Traverse, GMC Acadia and Buick Enclave large crossovers.
"Today's announcement is the latest example of our ongoing efforts to strengthen key plant capabilities," said GM North America Manufacturing Vice President Cathy Clegg. "We're committed to producing the highest quality and safest vehicles in the market, which will help us earn customers for life. This is why facility investment is so important."
Opened in 2006, the Lansing Delta Township Assembly is GM's newest plant in North America, blending best practices and the newest technology in one facility. It was the first automotive manufacturing facility in the world to be a Gold Certified Leader in Energy and Environmental Design (LEED).
"UAW members have a proud history of building quality vehicles in the Lansing Delta Township plant and they look forward to the changes and upgrades made possible by what workers and management are able to achieve by working together," said UAW Vice President Cindy Estrada, who directs the union's national General Motors Department. "The investment in the plant and in UAW Local 602 members means workers will have an updated environment in which they can continue delivering quality workmanship for years to come."
The expansion will add roughly 28,000 square feet to general assembly and more than 181,000 square feet to the body shop for the newest generation of robotics and lean flexible tooling. A 54,000-square-feet addition to the paint shop will allow use of improved sealers and coatings to increase corrosion resistance.
Lansing Delta Township by the numbers
Year opened: 2006
Employees: 3,295 (3,058 hourly, 237 salaried)
Union: UAW Local 602
Facility size: 3.4 million sq. ft., including the stamping facility
Since 2009, GM has announced nearly $11.2 billion of investment in U.S. facilities, including approximately $1.1 billion so far this year.
"GM's major investment is yet another exciting chapter in the story of Michigan's economic turnaround," Gov. Rick Snyder said. "We've maintained a laser-like focus on creating an environment in which job providers can grow and thrive. That means more and better jobs for families and long-term opportunities for our children. We appreciate GM's ongoing commitment to Michigan and its contributions to the overall vigor of our auto industry. This announcement is great news for mid-Michigan and our entire state."
Including today's announcement, GM has announced Lansing facility investments of nearly $600 million since 2009. Here is a year-by-year recap:
$190 million for the addition of the Cadillac ATS and 600 jobs
$37 million at Lansing Delta Township Assembly plant for tooling and equipment to enhance the plant's manufacturing capabilities
$88 million for the all-new 2014 Cadillac CTS sedan
Announced Lansing Grand River would produce the next-generation Camaro
$44.5 million and 200 jobs for a new logistics optimization center at Lansing Grand River
Announced a $174-million stamping facility at Lansing Grand River that will create or retain approximately 145 jobs
"I am very proud to say that we are still a GM town and will be for many years to come," said Lansing Mayor Virg Bernero. "Once again, General Motors is doubling down on their commitment to building some of the best cars in the world, right here in Lansing. This terrific new investment at Lansing Delta is yet another testament to the incredibly fruitful partnership between the City of Lansing, Delta Township, GM and the UAW."
About General Motors Co.
General Motors Co. (NYSE:GM, TSX: GMM) and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM, its subsidiaries and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Opel, Vauxhall and Wuling brands. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety, security and information services, can be found at http://www.gm.com.
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By Chris Bruce
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