General Motors (GM) - Get General Motors Company Report intends to spend over $3 billion to manufacture electric vehicles, including one project from an existing plant in Michigan, sources familiar with the topic told the Wall Street Journal.
The automaker is working on two projects in Michigan to ramp up its electric vehicle production, including one to retrofit its Orion Assembly plant in Detroit to produce electric pickup trucks, the sources said.
This conversion would require an investment of $2 billion or more and would create at least 1,500 jobs at the factory, the sources added.
GM’s electric vehicle strategy also includes the construction of a factory to manufacture battery cells. The factory would be located near an assembly plant in Lansing, Michigan, the sources told the WSJ.
The project would be a joint venture with LG Energy Solutions and each company would own 50% and require an investment of $2 billion total, the sources said.
Executives at GM are discussing tax abatements with local municipalities, which means the plans could be changed, the sources told the WSJ.
“GM is in the initial stages of developing a business case for a potential future investment at several locations, including the Orion Township area,” GM said in a statement. “We are having discussions with the appropriate local officials on potential incentive opportunities.”
GM and other automakers are building their own battery supply plants as more plug-in models are being created.