General Motors
General Motors' Arlington, Tex., Assembly plant for full-size SUVs.

GM Preparing for More New ICE Vehicles

June 8, 2023
A +$500-million project to update a Texas assembly plant for new SUV products is the automaker’s second recent CapEx commitment to internal-combustion-engine vehicles.

General Motors revealed a new capital-investment package worth more than $500 million to prepare its Arlington, Tex., Assembly plant for production of a new series of full-size SUVs powered by internal combustion engines. The news follows GM’s recent announcement of a $1-billion project to update two plants in Flint, Mich., to produce new, ICE-powered heavy-duty pickups.

For the automaker, it’s the third announcement this year by GM indicating plans to continue producing ICE vehicles. In January GM put forth a $918-million program of investments at four plants to produce a future, small block V-8 engine. While GM has committed multiple billions of dollars to develop new battery-electric vehicles, and has pledged to offer only EVs from 2035 forward, it also has maintained it will supply ICE-powered vehicles as long as demand for those products continues to justify the investments.

Like the Michigan projects, the Arlington Assembly plant is due for new tooling and other equipment for metal stamping, body shop operations, and general assembly. No new jobs are expected to follow the investment, though the plant currently employs more than 5,200 workers.

“Preparing the plant to produce future ICE full-size SUVs reflects our commitment to our valued customers and the efforts of the dedicated Arlington Assembly employees, who have been breaking production records this year.”

Currently the Texas plant builds all variants of GM’s full-size SUV portfolio: Chevrolet Tahoe and Suburban, GMC Yukon and Yukon XL, and Cadillac Escalade, Escalade ESV and Escalade-V. The new SUVs to be built following the investment program have not yet been unveiled.

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