By on July 15, 2015

 

General Motors announced Wednesday it would invest $1.4 billion into its Arlington Assembly Plant, which produces SUVs.

The investment will create a new paint shop, body shop and “general assembly area upgrades” for the plant that produces Chevrolet Tahoes and Suburbans, GMC Yukons and Yukon XLs and Cadillac Escalades.

Construction will take three years and plant operations won’t be impacted, GM said.

GM received tax incentives from Arlington for the plant expansion in April. According to minutes from the Arlington City Council, the plant will add 589 new jobs as a result of the expansion.

The announced $1.4 billion for the Arlington plant comes ahead of GM’s negotiations with the United Auto Workers, which will focus on pay raises for “second-tier” workers hired after the recession.

GM said it will invest $5.4 billion in U.S. manufacturing over the next three years. GM says it has identified $4.5 billion in improvements so far.

 

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