UAW Deal Brings Two Midsize GM Vehicles to Tennessee Factory

September 21, 2011
Spring Hill Assembly Plant Aerial View
As part of the new labor deal with the United Auto Workers, General Motors will resume production at an assembly plant in Spring Hill, Tennessee. According to the agreement, Spring Hill will be used to build two midsize vehicles that were previously slated for assembly in Mexico.
The UAW says that one of the car programs will bring a $61 million investment and 600 new jobs to Spring Hill, while the other will bring a $358 million investment and 1110 new jobs. Assembly of the new vehicles is expected to begin there in 2012. The UAW-GM agreement will see a total of 6400 jobs either created here or moved from foreign factories to those in the U.S.
The Spring Hill assembly plant has been on standby since 2009. It built Saturn vehicles from 1990 to 2007, and then built the Chevrolet Traverse from October 2008 to November 2009. Currently, Spring Hill builds four-cylinder engines and miscellaneous components for use in other vehicles.
Automotive News reports that the Chevrolet Equinox and GMC Terrain crossovers could be built at Spring Hill. The Tennessee plant would provide spillover capacity for the crossovers, which are currently built in Ontario, Canada. Both have been hot sellers for GM; through the end of August 2011, GMC had sold 56,541 Terrains, up 61.1 percent compared to the same period in 2010. The Chevrolet Equinox recorded 129,538 sales over the same period, up 48.2 percent year-over-year.
Sources: Automotive News 1, 2


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