GM considers expansion of Texas SUV plantby Drew Johnson
GM is strongly considering expanding its Arlington assembly plant.
General Motors is weighing a $1.3 billion expansion of its Arlington, Texas, assembly plant that would boost production of the company's high-margin, full-size SUV models.
According to documents obtained from the city of Arlington by Automotive News, GM is planning to expand its Arlington plant — which builds the Chevrolet Tahoe and Suburban, GMC Yukon and Yukon XL, and Cadillac Escalade and Escalade ESV — by about 1.2 million square feet. The expansion would also add 589 jobs, bringing total employment at the plant to 3,768.
GM would spend $307 million on the construction of the new facility, with another $986 million going toward new equipment for the plant.
"GM is developing a business case for a potential future investment at Arlington Assembly. An investment would fund facility improvements aimed at strengthening the plant's manufacturing capability. We cannot share details at this time," GM spokeswoman Jennie Ecclestone told Automotive News.
If GM moves forward with the project, the city of Arlington is willing to give the company an 80 percent break for the next 10-years.
Photo by Drew Johnson.