GM to replace full-sized SUVs

General Motors says it will spend US$331m to update and expand its Arlington plant in Texas. The 3.75 million square foot facility opened as a car plant in 1954 and switched over to building light trucks in 1997.

Arlington currently manufactures the GMC Yukon, Yukon Hybrid and Yukon XL; the Cadillac Escalade and Escalade ESV; as well as the Chevrolet Tahoe, Chevrolet Tahoe Hybrid and Chevrolet Suburban. According to GM's statement, the facility will now be the source of future Chevrolet Tahoes, Suburbans, GMC Yukons and Cadillac Escalades.

"This investment will allow us to continue building award-winning full-size SUVs that offer better fuel efficiency than ever before without sacrificing the features and functionality they've come to expect," GM Manufacturing Manager Larry Zahner said Thursday. "We remain committed to providing customers the utility and capability of our world-class full-size SUVs."

The new investment will primarily be for manufacturing machinery, equipment, special tooling and an expansion of the current facility, GM says. The plant, which built its nine-millionth vehicle earlier this month, was last expanded in 2001.

Arlington currently employes a workforce of 2,400 hourly and salaried employees. Thanks to the new investment, a further 110 positions will be created. The plant is represented by UAW Local 276.