Canadian Manufacturing

GM moves production for Volt drive unit to Detroit

The electric drive unit, a critical component for the plug-in hybrid, is currently being produced in Mexico



GM Canada has knocked about $5,000 off the sticker price of its 2014 Chevrolet Volt. PHOTO General Motors

The Chevy Volt uses electric drive units to power its wheels. PHOTO General Motors

DETROIT—General Motors is moving production of a critical component in the Chevrolet Volt from Mexico to Michigan.

GM CEO Mary Barra is expected to announce the plan today in a speech to the Detroit Economic Club.

The automaker will build the electric drive unit—which powers the Volt’s wheels—for the second-generation Volt at its Warren Transmission Plant in suburban Detroit.

GM won’t hire any new workers to make the part, which had been made at a plant in Ramos Arzipe, in the northern Mexico state of Coahuila.

GM has been making the plug-in hybrid Volt in Detroit since it went on sale in 2010. The second generation of the Volt is expected to go on sale sometime next year.

Barra is also expected to announce $300 million in investments in Michigan between now and the end of this year.

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