GM plant in Ramos Arizpe: Cadillac production isn't going anywhere.VANGUARDIA
General Motors is not pulling its Cadillac production out of Mexico, although some news reports yesterday might have left that impression.
GM announced yesterday an investment to build small engines in its Spring Hill, Tennessee, factory, as well as produce the Cadillac SRX, currently assembled at its Ramos Arizpe plant in Coahuila.
Later, GM Mexico clarified that SRX production would continue at Ramos Arizpe, which would share production with the Tennessee factory in the long term. The Mexico plant’s output was 52,000 units between January and June, but it wouldn’t say what the production output would be in Tennessee, for competitive reasons.
The Tennessee announcement, said GM Mexico, “will have no impact over personnel now working at the plant in Ramos Arizpe.”
Strong demand for the model is seen by local observers as the reason for additional production capacity being necessary. An unnamed source told Vanguardia that GM was going to produce the maximum number of vehicles possible in Ramos, but as it cannot meet demand, its sister plant will make up the shortfall.
The Tennessee production decision is linked to a 2011 deal GM made with the United Auto Workers to invest as much as US $350 million in the plant. The plan announced yesterday calls for investing as much as $185 million, and will retain about 1,800 jobs.
Union leader Cindy Estrada said the announcement showed “we can achieve great things when workers have a seat at the table and the chance to share their ideas to constantly improve the products we manufacture.”
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