GM Invests $888M in Western New York Engine Plant

General Motors is investing a company-record $888 million in its Tonawanda Propulsion Plant in Western New York. The new machinery and equipment will enable production of a next-generation V8 small-block engine, which will power trucks and SUVs. This investment demonstrates the company’s commitment to American manufacturing and job creation.

The plant, which has been operational for 87 years, currently employs over 870 people, including those at risk due to other factory closures in the area. Governor Kathy Hochul hailed the announcement as a significant step forward, citing public-private partnerships that will support jobs in Upstate New York. Empire State Development’s president, Hope Knight, also praised GM’s move, stating it is a huge win for Western New York’s automotive industry.

Union leaders welcomed the news, noting the investment will help retain hundreds of production and skilled trades jobs. The announcement comes as Tonawanda and Erie County leaders are still grappling with the impact of other factory closures in the area. The new upgrades to the plant are expected to be completed by 2027, coinciding with the launch of the next-generation engines.

Source: https://www.btpm.org/local/2025-05-27/general-motors-makes-company-record-engine-plant-investment-in-tonawanda