General Motors announced on Thursday, April 29, that it will be investing $1 billion to produce electric vehicles at a plant in Mexico. GM stated that it would build a new painting facility that is expected to start operating in June at Ramos Arizpe, a city in Mexico.
GM’s plans in the Mexican production site
The building is part of General Motor’s preparation for the production of its own EVs that will begin in 2023. The said site in the Mexican state is a complex that currently has facilities that assemble conventional internal-combustion vehicles such as the Chevrolet Blazer and Equinox SUV models.
As per Reuters, the company’s expansion in Ramos Arizpe will also include provisions to make batteries and other types of electronic parts. The carmaker already has four plants for EV production and these are located in the U.S. and Canada. The expansion in Mexico is also part of GM’s move to halt its sales of gas-powered vehicles by 2035.
"I'm sure this investment will contribute to continue boosting Mexican manufacturing while bringing development to the region, the industry and the country," GM’s Mexican unit president, Francisco Garza, said via webcast this week.
Criticisms over GM’s new investment plan
While this is a big plan for General Motors, it did not get good feedback from the United Auto Workers (UAW). The group criticized the automaker’s decision to build its EVs in Mexico because the company could have employed the members of the union in the U.S. instead.
Moreover, the workers’ group pointed out that the U.S. is planning to implement new incentives for electric vehicle makers in the country, but despite this, GM still opted to operate in Mexico.
“At a time when General Motors is asking for a significant investment by the U.S. government in subsidizing electric vehicles, this is a slap in the face for not only UAW members and their families but also for U.S. taxpayers and the American workforce,” UAW vice president of the GM division, Terry Dittes, wrote in a press release.
He further explained that GM vehicles that are manufactured in Mexico are being sold in the U.S., so it is only right that the production should just be in the country and employ American workers. “That is why our nation is investing in these companies. Taxpayer money should not go to companies that utilize labor outside the U.S. while benefiting from American government subsidies,” Diites concluded his statement.


US Egg Producers Settle Price Manipulation Probe, Agree to Pay $3.3 Million and Donate 53 Million Eggs
Buffett Delays Gates Foundation Donation Pending Epstein Ties Review
Asian Currencies Stay Range-Bound as Investors Eye China Data, RBNZ Outlook and U.S.-Iran Ceasefire
Morgan Stanley Names BAE Systems Top European Defence Stock Despite Lower Price Target
Gold Prices Drop as Fed Rate Outlook and Iran Tensions Weigh on Market
Morgan Stanley Raises Tesla Q2 Delivery Forecast on Strong Europe and China Demand
Trump Threatens 100% Tariffs on Countries Imposing Digital Services Taxes on U.S. Tech Firms
China Factory PMI Seen Returning to Growth in June as AI Export Demand Supports Economy
Gold Price Hits Annual Low as Fed Rate Hike Bets and Sticky Inflation Weigh on Bullion
UBS Raises TSMC Price Target to T$3,400 on Strong AI Chip Demand Outlook
Trump Urges Gasoline Retailers to Cut Prices to $2.50 Per Gallon, Warns of Legal Action
Canada Grants C$7 Million to Greenland Molybdenum Mine to Strengthen Critical Minerals Supply
Yen Falls to 40-Year Low as Markets Watch Japan Intervention and U.S. Jobs Report
Baidu Shares Rally as Kunlunxin Eyes $50 Billion Hong Kong IPO
Trump Suspends Some Morocco Fertilizer Tariffs to Ease U.S. Supply Shortage
US Dollar Slips After PCE Inflation Data as Fed Rate Hike Expectations Stay Elevated
Argentina Economy Shrinks 1.5% in April, Recovery Under Milei Loses Momentum 



