General Motors will build new small car in idled U.S. factory

Click image above for a high-res gallery of the 2010 Chevy Spark
General Motors announced this morning that it will build a future small car at existing U.S. production facilities beginning at some unspecified date. Also remaining unspecified is the location where the car will be built and the actual product. The announcement comes in the wake of the recently ratified modified contract with the UAW. The press release does say that the new production will raise GM's North American product sourcing from the current 67 percent to over 70 percent by 2013, which runs counter to some recent comments from CEO Fritz Henderson that domestic production share would remain steady. Assembly and stamping facilities will be re-tooled to support production of up to 160,000 small cars annually. It's not known if the car will be the upcoming Chevy Spark, a derivative or something else entirely. When the Spark launches in the U.S. in 2011, it is thought to perhaps be the first GM car sourced from China for U.S. sale.
Gallery: Geneva 2009: Chevy Spark
Gallery: 2010 Chevy Spark
[Source: General Motors]
PRESS RELEASE:
GM Announces Plans to Build Small Car in U.S.
* GM to utilize and retool idled assembly and stamping facility for future production.
* Additional production will help the company deliver outstanding new vehicles to the compact and small car markets and meet future fuel efficiency regulations.
DETROIT, Mich. -- General Motors Corporation (NYSE:GM) announced today it plans to build a future small car in the United States utilizing an idled UAW-GM facility. This vehicle adds to GM's growing portfolio of U.S.-built, highly fuel efficient cars including the Chevrolet Cruze and Volt.
"Small cars represent one of the fastest growing segments in both the U.S. and around the world," said Fritz Henderson, General Motors President and CEO. "We believe this car will be a winner with our current and future customers in the U.S."
The re-tooled plant will be capable of building 160,000 cars annually, which can be a combination of both small and compact vehicles. Selection of the site will be determined in the future.
"I would like to personally thank the UAW for agreeing to work with us to ensure our overall manufacturing competitiveness in the United States," said Henderson. "This vehicle segment, while important today and expected to be more so in the future, is extremely challenging. It takes a special effort by everyone to bring a domestically produced small car to market in a cost-competitive and profitable way - but that is what we are going to do together."
GM already has a strong manufacturing presence in the United States. Currently, about 67 percent of GM cars and trucks sold in the U.S. are built in the U.S. With this announcement, GM anticipates that U.S. production levels will increase beyond 70 percent by 2013, augmenting its already automotive industry-leading U.S. manufacturing footprint.

Reader Comments (Page 1 of 1)
ebow 1:41PM (5/29/2009)
"To take our company in a bold new direction, we plan to build something... some day... somewhere in the U.S."
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Lubbe Lars 5:31PM (5/29/2009)
Hideous. This is uglier than the Aztek. GM needs a new design team. Dr.
Frankenstein & Igor could've done better.
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SMW 3:59PM (6/01/2009)
Amen brother
azdrugtest 9:19PM (5/31/2009)
If it's got anything to do with China, count me out.
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Wm 11:39PM (5/31/2009)
Thanks GM; but no thanks. If it is coming from China, we will buy something else, preferably from a US car manufacturer and made in the states with made in america parts. If no American manufacturer can do this, we will just keep our American made car until it drops. Thanks again GM, spend your American taxpayer bailout wisely.
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JC 11:15AM (6/01/2009)
Made in China! This is a slap in the face of all the workers that GM layed off...with Toyotas and Hondas being made in the U.S. there is no excuse to have that car made anywhere else...
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AH 8:45PM (6/01/2009)
Whatever THAT is, it's hideous, definitely on par or worse than the Aztec design. If it's from China, then count me out, I'll stick with a brand new 2010 VW Golf TDI!!! that gets 50 mpg anyway, or a nice new 2011 Ford Fiesta (at least it's built in Mexico) for 40 mpg, not a hideous mess from China under a GM gauze! That is outrageous
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TB 10:14AM (6/04/2009)
I have about 30 years to live. That being said , I will NOT buy a car made by Obama/UAW (neither Chrysler nor GM). It is up to all Americans to hold the government accountable for its actions or inactions.
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JRS Roadie 12:13PM (6/04/2009)
I am a retired G.M. worker, and I can tell you that we can lay the blame on all of this on our past President Bill Clinton with his free trade act of N.A.F.T.A.
Our quality has been as good as any car out there since 1980, and our gas mileage has inproved over the year's to be as good as any other vehicle.
We just are not a Nation of the small car's like the other Nation's.
Why are Toyota trucks larger than our trucks when they said they would not build full size truck's?
When you go to a classic car show you do not see the Old Jap car's there!!!!!!
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pushrodgraveyard 8:14AM (6/10/2009)
@JRS Roadie
With an attitude of ignorance and borderline racism like that (unfortunately not rare among US auto workers- see the movie "gran torino"), no wonder GM and Chrysler are on the slag heap of history. And yes, Japanese cars are not common at classic car shows, because (1) there weren't many of them until the 70's, and the definition of classic usually means anything before that, and (2) Japanese cars are still out on the road doing their jobs, even after running 100K, or even 200K miles- I doubt any K cars or badge engineered GM stuff can compare.
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