General Motors plans a $760-millon capital investment to installed manufacturing capability for electric-vehicle drive units at the Toledo (Ohio) Propulsion Systems plant – a project that will start this month, according to a statement. Without detailing the scope or duration of the revamp project, GM explained that the plant will be producing drive units for Ultium-based battery electric trucks, including the Chevrolet Silverado EV, GMC Sierra EV and GMC HUMMER EVs.
Toledo will be GM’s first U.S. powertrain or propulsion-related manufacturing plant to have EV-related production capability.
Electric drive units (EDUs), like a transmission system working with an internal combustion engine, are the means for transferring power from the energy source to the vehicle’s gears, axles, and wheels. Typically, there are three component parts – power electronics, gearbox, and the electric motor – working in combination to power the vehicle.
The Toledo plant will continue to produce six-speed, eight-speed, and 10-speed rear-wheel drive and nine-speed front-wheel drive transmissions for ICE vehicles once the EV drive units are in production, though GM has not indicated when its phase-out of gas-powered vehicles will begin.
The automaker has pledged to introduce 30 EV models by 2025 – and to produce only battery-electric vehicles by 2035.
Since 2020, GM has committed $35 billion to develop and prepare for manufacturing battery-electric vehicles, including investments in the Ultium Cells LLC joint venture with LG Energy Solution that manufactures lithium-ion cells for EV battery packs.
“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,” according to Gerald Johnson, GM executive vice president of Global Manufacturing and Sustainability.
