General Motors is investing $888 million at a western New York plant to expand production of its new V-8 engine for full-size trucks and SUVs. Production will begin in 2027, according to the automaker.
The sixth-generation of GM’s small-block V-8 engine is described as more powerful and more fuel-efficient than the current version, incorporating “combustion and thermal management innovations,” according to a statement.
GM reportedly is seeking a significant reduction in emissions from the small V-8, to meet tighter environmental standards.
The new engine also will be produced at GM’s Flint (Mich.) Engine plant, and adding capacity at the Tonawanda (N.Y.) Propulsion plant may be seen as further recognition by the automaker of the ongoing demand for internal combustion engines.
Reportedly, the project shifts GM’s focus at Tonawanda from producing electric-vehicle drive units, for which it had pledged $300 million.
General Motors continues to maintain its commitment to supplying only electric light-duty vehicles by 2035.
The investment at Tonawanda – which will cover new machinery, equipment, tools, and renovations – will be the largest individual outlay in an engine plant project in General Motors’ history, and follows a January 2023 announcement to invest $918 million at Flint and four other locations to launch the new V-8 program.
New York is offering nearly $17 million in tax credits as an incentive to the project, and state officials indicated the GM investment will support 870 employees’ jobs
“Our significant investments in GM’s Tonawanda Propulsion plant show our commitment to strengthening American manufacturing and supporting jobs in the U.S.,” said Mary Barra, chairman and CEO. “GM's Buffalo plant has been in operation for 87 years and is continuing to innovate the engines we build there to make them more fuel efficient and higher performing, which will help us deliver world-class trucks and SUVs to our customers for years to come.”