Toledo GM to Produce EV Drives

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Toledo Propulsion Systems

Automaker $760 million investment to create and maintain jobs

By Terry Troy

General Motors Co. (NYSE: GM) is investing $760 million at its Toledo, Ohio propulsion manufacturing operations to prepare the facility for production of drive units that will be used in future Ultium-based battery electric trucks, including the Chevrolet Silverado EV, GMC Sierra EV and GMC HUMMER EVs. Toledo Propulsion Systems will be GM’s first U.S. powertrain or propulsion-related manufacturing facility transformed for EV-related production. 

This investment is another example of GM’s intention to create job opportunities and to bring employees along in the company’s EV transformation. With today’s announcement, GM has invested more than $1.9 billion at Toledo since 2011. Renovation work at Toledo Propulsion Systems will begin this month.  

Once the plant is converted, it will produce GM’s family of EV drive units, which convert electric power from the battery pack to mechanical motion at the wheels. GM’s EV drive units will cover front-wheel drive, rear-wheel drive and all-wheel drive propulsion combinations, including high-performance and off-road capabilities. 

“Our Toledo team has a long, proud history of building great products and they have worked hard to earn this investment,” said Gerald Johnson, GM executive vice president of Global Manufacturing and Sustainability. “This investment helps build job security for our Toledo team for years to come and is the next step on our journey to an all-electric future.” 

Ultium Cells, Warren 

The Toledo Propulsion Systems team will continue building world-class transmission products while building drive units simultaneously during GM’s EV transition. 

“Our Toledo team will continue to play a key role as we work to strengthen our current truck and SUV dominance, while also playing an important role in our EV growth transition,” Johnson added. 

“This investment is a recognition that UAW Local 14 members bring the skills, know-how and drive that make GM successful,” said UAW President Ray Curry. “UAW members look forward to being a part of shaping the future of General Motors.” 

GM currently employs more than 4,480 employees in seven facilities in Ohio. In total, the company has invested more than $4.5 billion in the state since 2009. GM also maintains relationships with more than 489 suppliers in Ohio and plans to spend more than $3 billion with those suppliers this year. 

Purchased by GM in 1956, Toledo Propulsion Systems currently builds GM’s six-speed, eight-speed and 10-speed rear-wheel drive and nine-speed front-wheel drive transmissions that are used in a variety of Chevrolet, Buick, GMC and Cadillac products. The facility currently employs approximately 1,500 people. 

GM is focused on advancing an all-electric future. At the heart of its strategy is the Ultium battery platform that is manufactured in Warren. It will power everything from mass-market to high-performance vehicles.