GM Plan For More Than $7 Billion In EV Investments Includes Battery Cell Plant In Lansing
January 26, 2022
by Paul Ciampoli
APPA News Director
January 26, 2022
General Motors Co. on Jan. 25 announced an investment of more than $7 billion in four Michigan manufacturing sites including construction of a new battery cell plant in the public power community of Lansing, Mich., as well as two Lansing-area vehicle assembly plants to upgrade their production capabilities for near-term products.
This is the single largest investment announcement in GM history.
New Ultium Cells Battery Cell Plant At Lansing Site
GM and LG Energy Solution, via their Ultium Cells joint venture, are investing $2.6 billion to build Ultium Cells’ third U.S. battery cell manufacturing plant. This investment is expected to create more than 1,700 new Ultium Cells jobs when the plant is fully operational.
Site preparations will begin this summer and battery cell production is scheduled to begin in late 2024. Ultium Cells Lansing will supply battery cells to Orion Assembly and other GM assembly plants.
The Ultium Cells Lansing site represents GM’s third Ultium Cells battery cell manufacturing site in the U.S., following two Ultium Cells battery cell manufacturing plants being constructed in Ohio and Tennessee.
In addition to the EV-related investments in Michigan, GM is investing more than $510 million in its two Lansing-area vehicle assembly plants to upgrade their production capabilities for near-term products:
- Lansing Delta Township Assembly: Investment is for production of the next-generation Chevrolet Traverse and Buick Enclave.
- Lansing Grand River Assembly: Investment is for plant upgrades.
Vertically integrating battery assembly and converting existing assembly plants are at the core of GM’s strategy for scaling EV production in North America, the company said. GM projects it will convert 50 percent of its North American assembly capacity to EV production by 2030.
“The Lansing Board of Water & Light is thrilled to provide the energy to power GM’s new battery plant in Delta Township,” Dick Peffley, General Manager of Lansing Board of Water and Light (BWL), said in a statement.
“As GM reinvents the auto industry, BWL is proud that we’ll continue providing GM’s utility services, just as we’ve done for more than 100 years,” he said.
“The BWL’s unique position as a publicly owned, hometown utility provided the opportunity to collaborate with General Motors on this transformational project, which will provide unprecedented economic opportunity and growth to the greater Lansing area,” Peffley said. “I want to recognize the talented BWL workforce and commend our state, regional and local leadership that contributed to making this once in a generation opportunity a reality.”
Orion Assembly For Production Of Chevrolet Silverado EV And Electric GMC Sierra
GM is also investing $4 billion to convert the Orion facility to produce electric trucks using the GM-developed Ultium Platform, which gives the company the flexibility to build vehicles for every customer and segment.
This investment is expected to create more than 2,350 new jobs at Orion and retain approximately 1,000 current jobs when the plant is fully operational. GM estimates the new jobs at Orion will be filled by a combination of GM transferees and new hires.
Electric truck production, including the Chevrolet Silverado EV and electric GMC Sierra, will begin at Orion in 2024. The Orion investment will drive significant facility and capacity expansion at the site, including new body and paint shops and new general assembly and battery pack assembly areas, GM said.
Production of the Chevrolet Bolt EV and EUV will continue during the plant’s conversion. Site work will begin immediately.