GM’s heavy investment in electric vehicles
The Michigan State Economic Development Board will approve an incentive package for two GM plants next week, according to Trade News. According to the Associated Press, the Detroit automakers, in a joint venture, have built a battery plant in Lansing with an investment of $ 2.5 billion and 1,700 jobs, and General Motors with an investment of $ 42 billion and 2,300 jobs in Ukraine. After Hemtramek and Spring Hill in Tennessee, Orain Township is the third plant that GM has dedicated to electric vehicles.
According to Sipannews, these geographical locations, which have been selected for the production of electric vehicles, are considered a winner for the US state of Michigan. Compared to General Motors, which has invested in Michigan, Ford has chosen the states of Kentucky and Tennessee.
Orain Township is located 64 miles north of Detroit and currently assembles Chevrolet Bolt hatchbacks and small chassis with 1,100 workers. Electric pickups and pickups are also to be produced in this factory.
However, due to Bolt recall problems, the production of this General Motors hatchback electric car was suspended for some time. GM has also allocated $ 154 million to renovate a dilapidated Buffalo plant in New York, and is set to assemble one of the key parts and assemblies for the production of electric vehicles at the plant.
Electric vehicle sales in the United States currently account for only three percent of total market sales, but forecasts suggest that electric vehicles will replace gasoline vehicles more rapidly in the coming decade. Of the 15 million cars sold in the US market in 2021, only 400,000 were all-electric vehicles.
Consulting and research firm LMC Automotive predicts that by 2022, the number of electric car sales in the US market will reach 763,000 units, and will exceed 1.2 million units per year next year. The research company says that by 2033, more than 44% of the automakers’ production and sales, ie about 7.5 million units per year, are expected to be electric.
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