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SORRY UAW: US Automakers Go to Mexico for Electric Vehicle Manufacturing
Posted on 05/01/2021
General Motors (GM), the largest U.S. automaker, decided to have its fifth plant to build its 2023 electric vehicles in Mexico where labor is cheaper and regulations are less cumbersome. General Motors plans to invest more than US$ 1 billion at its manufacturing complex in Ramos Arizpe, Coahuila, Mexico. This is for a new paint shop and innovative technology that will start operations in June 2021. GM will build batteries and electrical components at Ramos Arizpe starting later in 2021. GM sold 2.55 million vehicles in the United States in 2020, but only about 20,000 were EVs, including the Chevy Bolt hatchback. GM thinks it can sell all of its cars with zero emissions by 2035. GMs other EV plants are in: Spring Hill, Tennessee; Factory ZERO in Detroit and Hamtramck, Orion Assembly in Orion Township, and CAMI in Ingersoll, Ontario, Canada.
UAW wants EV tax incentives revised to require U.S. assembly Autoblog 5/1/2021 Reuters
WASHINGTON The United Auto Workers (UAW) union said Friday it wants tax incentives for electric vehicles (EVs) revised to require U.S. assembly for those vehicles to qualify.
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The current $7,500 tax incentive does not require EVs to be made in the United States. The UAW is working with the Biden administration and Congress to make sure that the final legislation extending electric vehicle subsidies are clear that those investments subsidize the jobs of U.S. workers, said UAW Vice President Terry Dittes.
Representative Debbie Dingell, a Michigan Democrat, said electric vehicles must be built here in America by the finest workforce in the world – the American worker. Not one American dollar should support our own jobs being shipped off to Mexico.
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General Motors (NYSE: GM) has generated an angry response in its hometown of Detroit to its $1-billion plan to build electric vehicles in Mexico.
¡Ay, Caramba! The company did not announce the news through its English-language communications channels, but instead dropped word via a Spanish-language press release from its Mexican subsidiary.
The electric vehicles will be built at GM’s Ramos Arizpe production complex. The company plans to begin producing batteries and components for the electric vehicles later this year, with full vehicle production slated to start in 2023.
No Muy Bueno: Closer to GM headquarters, reaction to the news was unpleasant.