By on February 6, 2014

1M6600-02

General Motors and Isuzu announced that they will be investing $60 million in their joint venture DMAX Ltd., which makes diesel engines for heavy duty trucks. Reuters reports that thw investment in technologies at the Moraine, Ohio plant will make design changes to meet future emission regulations easier. GM says that 500 jobs will be retained due to the expenditure. DMAX has produced almost 1.6 million diesel engines since it started operations in 2000. Isuzu owns 40% of DMAX and GM owns the remaining 60% controlling interest.

The investment brings the total amount the two companies have put into the plant to $760 million. The Moraine facility currently builds the Duramax 6.6-liter turbo diesel engine used in the heavy-duty versions of the Chevrolet Silverado and GMC Sierra pickup trucks as well as the Chevy Express and GMC Savana full-size commercial vans.

GM has announced that starting in the 2016 model year, the Chevy Colorado and GMC Canyon mid-size pickups will offer the 2nd generation Duramax four cylinder diesel in a 2.8 liter turbocharged version and the company is considering offering a diesel option on the the regular duty versions of the Silverado and Sierra. It’s not clear if either of those engines will be assembled in Moraine. A 2.5 liter version of GMs new diesel is currently assembled in Thailand.

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8 Comments on “GM, Isuzu Put Another $60 Million Into Moraine, Ohio Diesel Plant...”


  • avatar
    Onus

    Wait what? GM bought out Isuzu in DMAX awhile ago. Why they heck would they invest is something they don’t own?

    Edit*

    Since when did they own 40% could have sworn gm bought out everything.

  • avatar
    Pastor Glenn

    Does anyone else think the Isuzu Executive has that “aw shoot, we’ve been scr*wed over yet again by Government Motors…” look?

    Look at GM’s history with “partners”.

    Toyota (NUUMI). Suzuki. Isuzu. Saab. Daewoo. Subaru (probably the least abused partner out of all of them, now partnered with Toyota, which is treating Subaru much better).

    Have I forgotten any?

    If there were a global “family court” for corporations, GM would probably have to have a restraining order against it by now, for a pattern of spousal abuse.

    In plain English, any company which “hooks up” with GM deserves what they get. It’s not like they can’t see the handwriting on the wall.

    • 0 avatar
      DC Bruce

      Yeah, you did forget a big one. GM’s deal with Fiat. In 2000, GM bought 20% of Fiat Auto for $2.4B, which, when converted to GM stock, was 6 percent of the company. Part of the deal was the Fiat had the right to “put” the entire company to GM at FMV at the time of the put. Four years later, GM wrote down the value of its holding in Fiat by 90%, because Fiat was in the toilet. A year later, GM paid Fiat $2B to unwind the deal and avoid having to buy the whole stinkin’ company. It was generally considered a disaster for GM.

      Not having any native talent in making smaller diesel engines, GM gets know-how from Isuzu, who does. So, its probably a royalty deal for Isuzu for every engine that leaves the plant to be installed in a GM-branded vehicle. The 6.6 liter “Duramax” diesel that comes from that plant and is installed in GM’s 3/4 and 1-ton pickups has a pretty good reputation. It’s not been trouble-plagued like the two previous versions of the Ford Powerstroke, and its a little more powerful, fuel-efficient and less “earth-shaking” than the Cummins engine sold in the RAM pickup trucks. Although the Cummins probably still wins out in ultimate longevity.

  • avatar
    wmba

    Isuzu and GM have been partners since 1972, so Isuzu know what to expect from egoistic “I’m the greatest!” sociopathic high achiever GM executives.

    Look at those two faces in the photo. One interested in himself, the other just doing a good job, and aware of the glamor. Isuzu knows how to handle GM.

  • avatar
    Carlson Fan

    What not offer that 2.8L diesel in all those 1/2 ton BOF fullsize SUVs you sell?

  • avatar
    OliverTwist

    What became of 4.5-litre Duramax V8 diesel motor with innovative intake and exhaust system? Government Motors pulled the plug on this motor at last minute in 2009 after spending hundreds of millions dollars on getting the factory ready for the production.

    We’re still waiting for the diesel version of Tahoe and Suburban.

  • avatar
    VelocityRed3

    My pops drove past this plant (just east of I-75, just south of Dayton) for 33 1/2 years on his way to the DP&L Hutchinson Station power plant. My ’05 Trailblazer was built on these grounds. Moraine High had a pretty good Marching Band in the early 80′s.

    That’s all I got. LOL


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