GM to invest $3 billion to ramp up EV production: Reuters

• Reuters reported that GM would invest in two EV manufacturing units

• Automakers are investing heavily to set up EV manufacturing facilities

General Motors plans to invest nearly $3 billion in electric vehicle facilities in Michigan. 

On Friday, Reuters reported that GM would invest in two EV manufacturing units, one of which would be in partnership with LG Energy Solutions. The report mentioned that GM intends to build a battery plant worth $2 billion near Lansing with partner LG. 

The automaker is also planning a $2 billion overhaul of its Orion Township assembly plant north of Detroit. The assembly plant would be converted to build products using GM's Ultium EV platform. Currently, the plant builds the Chevrolet Bolt.

ALSO READ: GM raises full year earnings guidance amid better chip supply

In October, GM had revealed its plans to build two battery plants in the U.S. through a joint venture called Ultium Cells LLC in partnership with LG. The plants in Ohio and Tennessee were to supposedly produce GM’s next-generation batteries called Ultium.

In a statement released on Friday, GM said that it was "developing business cases for potential future investments in Michigan," but that "these projects are not approved and securing all available incentives will be critical for any business case to continue moving forward."

Last week GM raise its 2021 earnings guidance due to strong demand and better supply of semiconductor chips.

ALSO READ: GM intends to double its revenue to $280 billion by 2030

Automakers are rushing to set up EV manufacturing facilities taking cognizance of the innumerous opportunities in the sector. 

Ford Motor said it would boost its hiring to increase the production capacity of its electric vehicle, F-150 Lightning pickup, and invest an additional $250 million for the same.

READ MORE: Ford to boost hiring to double production of all-electric F-150

Wall Street Journal reported that Toyota Motor Corp. plans to invest $1.25 billion on a new battery plant in rural North Carolina.

Picture Credits: Fortune

Inputs: Reuters