TSLA332.1103.62%
GM48.890-4.32%
F11.190-0.12%
RIVN14.1200.42%
CYD23.200-1.51%
HMC30.4100.09%
TM169.990-0.04%
CVNA341.560-0.36%
PAG171.0304.61%
LAD314.4604.32%
AN201.9103.02%
GPI414.6302.67%
ABG233.8202.05%
SAH77.8500.67%
TSLA332.1103.62%
GM48.890-4.32%
F11.190-0.12%
RIVN14.1200.42%
CYD23.200-1.51%
HMC30.4100.09%
TM169.990-0.04%
CVNA341.560-0.36%
PAG171.0304.61%
LAD314.4604.32%
AN201.9103.02%
GPI414.6302.67%
ABG233.8202.05%
SAH77.8500.67%
TSLA332.1103.62%
GM48.890-4.32%
F11.190-0.12%
RIVN14.1200.42%
CYD23.200-1.51%
HMC30.4100.09%
TM169.990-0.04%
CVNA341.560-0.36%
PAG171.0304.61%
LAD314.4604.32%
AN201.9103.02%
GPI414.6302.67%
ABG233.8202.05%
SAH77.8500.67%
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GM boosts U.S. manufacturing with $4B investment amid tariff pressures

Tariffs could cost GM up to $5 billion this year, prompting a major reshoring of vehicle production to U.S. plants.

General Motors (GM) will invest $4 billion in three of its U.S. manufacturing plants as part of a sweeping plan to shift or expand production of two Mexican-assembled vehicles back to American soil.

The announcement, made on Tuesday, follows GM’s recent $888 million investment in its Tonawanda Propulsion Plant in Buffalo. Together, the moves mark a broader reshoring strategy as the automaker adapts to the rising trade tensions and intensifying pressure from President Trump’s 25% tariffs on imported autos.

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General Motors imports the most vehicles into the U.S. among all automakers. According to GlobalData, nearly half of the vehicles GM sold in the U.S. last year were assembled overseas. With little indication of progress in trade negotiations between Mexico and the United States, GM will likely continue to expand U.S. manufacturing to avoid the mounting cost of tariffs, which analysts estimate could cost the company up to $5 billion this year alone.

“We believe the future of transportation will be driven by American innovation and manufacturing expertise,” GM CEO Mary Barra said in a statement. “Today’s announcement demonstrates our ongoing commitment to build vehicles in the U.S and to support American jobs. We’re focused on giving customers choice and offering a broad range of vehicles they love.”

As part of the new investment, GM will relocate production of the gas-powered Chevrolet Blazer to its Spring Hill Assembly plant in Tennessee beginning in 2027. Meanwhile, the Chevrolet Equinox will be added to the Fairfax Assembly plant in Kansas starting mid-2027.

While General Motors did not discuss its plans for the Mexico-based Ramos Arizpe facility, a source familiar with the matter told CNBC that the facility will continue to produce the Chevy Blazer to support other global markets.

Additionally, GM will resume operations at the idled Orion Assembly plant in Detroit. Previously slated to become the automaker’s second-EV exclusive plant, the facility will instead be retooled to produce internal combustion engine (ICE) SUVs and trucks by 2027.

The investment will enable GM to assemble more than 2 million vehicles annually in the U.S. by 2027. While the company’s 2025 capital spending guidance remains unchanged at $10 billion to $11 billion, GM now expects to spend between $10 billion and $12 billion annually through 2027.

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Jasmine Daniel
Jasmine Daniel
Jasmine Daniel is a staff writer and reporter for CBT News. She holds a BFA in Writing from the Savannah College of Art & Design and has over eight years of experience in SEO, digital marketing, and strategic communication. Her storytelling skills bring breaking news to life, delivering timely, impactful stories that resonate with readers.

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