The central American country seems to gradually become the center of automotive production on the continent, with many automakers adding new locations there.
After major announcements from BMW, Mercedes-Benz and Nissan to Kia brought investments of billions of dollars in the country, General Motors decided to reveal it plans to shift some production from Mexico back to the US.
The Cadillac SRX crossover will have the manufacturing process moved from a plant in Mexico to the company’s Spring Hill, Tennessee factory – where the defunct Saturn models were once built. According to Dennis Williams, the United Auto Workers union president, the move to relocate jobs back to the US “is a big victory.”
GM added that besides the SRX the plant will also cater for the production of a yet to be named GMC model – adding in the process around 1,800 unionized hourly workers. A company spokesperson declined to say how many jobs would be lost in Mexico due to the SRX production transfer.
The Spring Hill location was last year awarded a $350 million investment for the production of two new vehicles, with the factory now only building the Chevrolet Equinox crossover. The facility is also the production site for GM engines, with the automaker saying a further $185 million investment would allow the plant to build the new small gasoline engines from the “Ecotec” family – one of six locations globally to do so.