12 Jul 2026, Sun

GM’s $550 Million Investment Turns a Planned EV Truck Plant Into a Gas-Engine Factory

Image via GM

Another Round of Investment in Combustion Production

General Motors is committing another $550 million toward expanding production of gas-powered vehicles, part of a broader $5.5 billion investment plan spread across GM’s U.S. manufacturing footprint. Much of the new spending is concentrated in Michigan and Ohio, reinforcing GM’s continued reliance on combustion vehicle sales even as the broader industry pushes toward electrification.

Parma Gets $250 Million

Ohio’s Parma Metal Center, which already produces more than 100 million stamped parts annually, is receiving $250 million to expand production capacity, positioning the facility to keep supplying parts for combustion-engine vehicles for years to come.

Romulus Keeps Building Transmissions

In Michigan, the Romulus Propulsion plant is receiving $300 million to continue producing 10-speed transmissions used in GM’s high-volume pickups and SUVs, vehicles that remain central to the company’s profitability even as EV development continues elsewhere in the lineup.

Orion Assembly’s Dramatic Reversal

Perhaps the most notable shift involves Orion Assembly, a plant once positioned as the future home of GM’s electric pickup production. That plan has been reversed, and the facility is now being retooled to build gas-powered Chevrolet, GMC, and Cadillac models instead, a clear signal that demand for combustion vehicles has outpaced GM’s earlier EV production timeline for that site.

Blazer Production Moves to Tennessee in 2027

GM also confirmed that Chevrolet Blazer production will relocate from Mexico to the Spring Hill, Tennessee plant starting in 2027, joining the Cadillac models already built at that facility.

A Deliberate Hedge Between Gas and Electric

Taken together, the investments reflect GM’s strategy of maintaining strong combustion vehicle production capacity while continuing to develop electric models elsewhere in its portfolio, a bet that reflects continued consumer demand for gas-powered trucks and SUVs even as EV development remains a long-term priority for the company.

By Shawn Henry

Shawn Henry has been writing about cars long enough that it's less a job than a habit he can't shake. He covers a little of everything—classic machines, the newest tech, and wherever the industry happens to be heading—and he's the type who actually understands what's going on under the hood, not just how to describe it. Mostly, he just likes telling a good car story.