GM tries to get a tax abatement of $1.8 million in the following 15 years from the city of Detroit as it plans to build a $121 million logistics center at the Detroit-Hamtramck Assembly Plant.
GM’s request has to be approved by the City Council and Detroit Emergency Manager Kevyn Orr. The Detroit-Hamtramck Assembly Plant currently has 1,600 workers and it builds the Chevrolet Impala, Chevrolet Malibu and the extended-range EV Chevrolet Volt and Opel Ampera.
“GM is committed to Detroit. We are developing a business case for a potential future investment at Detroit-Hamtramck Assembly that would fund facility improvements aimed at strengthening the plant’s manufacturing capability,” GM said in a statement. “The proposed project is necessary to keep the plant competitive long-term.”
GM plans to build two logistics centers on an area of 366,000 square feet and to create 210 new jobs. The US automaker said that for the construction it will hire 165 workers and if that the project will start in November it could be completed by April 2015.
The US automaker is also investing $44.5 million to build a logistics center at the Lansing Grand River Assembly Plant, after Lansing offered a $4 million tax abatement for the new center which will create 200 jobs.