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GM Shifts SUV & Truck Production to Michigan Amid Tariffs & EV Strategy

GM Shifts Gears: michigan to Produce Cadillac Escalade and Key Pickup Trucks Amidst Evolving Market Demands

General Motors announced tuesday a important production shuffle, bringing the popular Cadillac Escalade and Chevrolet silverado and GMC Sierra light-duty pickup trucks to its Orion assembly plant in Michigan. This strategic move, slated for early 2027, aims to capitalize on sustained robust customer demand for these gasoline-powered vehicles.

Currently, the Escalade rolls off the assembly line in Arlington, Texas. The Silverado and Sierra trucks are manufactured in Fort Wayne, Indiana, a facility that will continue its production of these models.GM’s decision to bolster truck output at Orion Assembly underscores the strong market appetite for these vehicles.

This production expansion aligns with GM’s broader commitment to invest $4 billion in U.S.manufacturing facilities, a plan unveiled in June.This investment strategy follows the implementation of 25% tariffs on imported vehicles and numerous auto parts by President Donald Trump earlier this year.

The move also signals a continued emphasis on GM’s gasoline-powered vehicle portfolio.The Orion Assembly plant, undergoing a transition to accommodate gasoline-powered production, was previously earmarked as the company’s second U.S. facility dedicated exclusively to electric vehicles.

While GM CEO Mary Barra stated in 2021 that the automaker intended to exclusively offer electric vehicles by 2035, recent market dynamics have prompted a recalibration. Slower-than-anticipated customer demand for EVs has led GM to adjust its strategy, prioritizing the production of vehicles that align with current consumer preferences.

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