Potentially huge news here. The State and GM are in talks about a possible billion dollar expansion at GM Wentzville.
https://www.stltoday.com/news/local/gov ... op-story-1
https://www.stltoday.com/news/local/gov ... op-story-1
Yes there is.
The article strikes me as a negotiation tactic. I think the State fed it to the Post prematurely to 1) excite public expectation of a deal putting GM on the spot to act 2) lawmakers saying they're wary of incentives to let GM know that it's not a blank-check handout. GM responded that they 'frequently communicate with communities' (or something like that) but I think they're too far down the road for casual conversation.
Maybe I've been watching too much Game of Thrones...
The article strikes me as a negotiation tactic. I think the State fed it to the Post prematurely to 1) excite public expectation of a deal putting GM on the spot to act 2) lawmakers saying they're wary of incentives to let GM know that it's not a blank-check handout. GM responded that they 'frequently communicate with communities' (or something like that) but I think they're too far down the road for casual conversation.
Maybe I've been watching too much Game of Thrones...
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^Could also be a way for the governor to put pressure on legislators in the area to vote in favor of fast track, or for other legislators elsewhere to put pressure on the governor or regional legislators trade their signatures for other priorities. I don't suspect the thing will do much to move GM. They can always pick up and move to Kentucky or Tennessee. Or Canada. But it might move a few votes in Jefferson City. Especially after constituents start writing in.
Can definitely see GM saying to Gov that they would make the investment at a different plan to get some more incentives out of the deal. I'm also curious if the investment, or retooling part of the plant is part of GM to bring on a line hybrid and electric fleet of trucks. Someone can correct me but isn't Wentzville a light duty truck plant, has a line on such.symphonicpoet wrote: ^Could also be a way for the governor to put pressure on legislators in the area to vote in favor of fast track, or for other legislators elsewhere to put pressure on the governor or regional legislators trade their signatures for other priorities. I don't suspect the thing will do much to move GM. They can always pick up and move to Kentucky or Tennessee. Or Canada. But it might move a few votes in Jefferson City. Especially after constituents start writing in.
On previous post, meant Fisker Automotive instead of Fiske. Wonder if state can put together a sorta of global package so Fisker can utilize incentives if they were to pick MO for their proposed electric auto plant as well.
Update from the PD. ~$50 million in incentives on the table.
https://www.stltoday.com/news/local/gov ... the-latest
https://www.stltoday.com/news/local/gov ... the-latest
Looks like a $1.5 billion expansion to the Wentzville Plant will move forward if the UAW and GM ratify their new contract.
https://www.bizjournals.com/stlouis/new ... s_headlineThe investment would include a new paint department and expansion to the body shop at the plant, according to UAW 2250 President Glenn Kage Jr. In addition, the proposal promises to retain 2,000 hourly jobs for at least four years. GM declined to comment on negotiations. The Wentzville plant, which has about 4,000 hourly workers, manufactures the Chevrolet Colorado and GMC Canyon mid-size pickup trucks as well as the Chevrolet Express and GMC Savana full-size vans.
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^We got so badly gutted after 2008 it's about time someone expand something.
Interesting that they are only promising to keep about half the number of workers they have now. Sounds like that $1.5 billion is gonna include a heck of a lot of automation.
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STL Biz Journal: GM says it will invest $1.5B in Wentzville, keep 4,000 jobs
- $1.5BB total investment, with about $1BB directly into the plant itself, including upgrading the paint shop, body shop, and general assembly
- Retention of about 4,000 jobs
- State subsidies have pretty good prerequisites for their allocations
- Timeline not given
Through this investment, General Motors is making a firm commitment to the State of Missouri, the City of Wentzville and the GM Wentzville team. This is part of our comprehensive strategy to invest in growth areas and strengthen our U.S. manufacturing base. GM sells more pickups than any other automaker and we have aggressive plans to build on our strengths.
- Mark Reuss, President, General Motors
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so what is the news here? the investment was known since last month and keeping 4000 jobs was how the $50 incentive was passed in May...or did i have a dream of all of this already happening?gone corporate wrote: ↑Dec 13, 2019STL Biz Journal: GM says it will invest $1.5B in Wentzville, keep 4,000 jobs
- $1.5BB total investment, with about $1BB directly into the plant itself, including upgrading the paint shop, body shop, and general assembly
- Retention of about 4,000 jobs
- State subsidies have pretty good prerequisites for their allocations
- Timeline not given
Through this investment, General Motors is making a firm commitment to the State of Missouri, the City of Wentzville and the GM Wentzville team. This is part of our comprehensive strategy to invest in growth areas and strengthen our U.S. manufacturing base. GM sells more pickups than any other automaker and we have aggressive plans to build on our strengths.
- Mark Reuss, President, General Motors
GM never committed to the proposal the state offered. They made it official today.dbInSouthCity wrote: ↑Dec 13, 2019so what is the news here? the investment was known since last month and keeping 4000 jobs was how the $50 incentive was passed in May...or did i have a dream of all of this already happening?gone corporate wrote: ↑Dec 13, 2019STL Biz Journal: GM says it will invest $1.5B in Wentzville, keep 4,000 jobs
- $1.5BB total investment, with about $1BB directly into the plant itself, including upgrading the paint shop, body shop, and general assembly
- Retention of about 4,000 jobs
- State subsidies have pretty good prerequisites for their allocations
- Timeline not given
Through this investment, General Motors is making a firm commitment to the State of Missouri, the City of Wentzville and the GM Wentzville team. This is part of our comprehensive strategy to invest in growth areas and strengthen our U.S. manufacturing base. GM sells more pickups than any other automaker and we have aggressive plans to build on our strengths.
- Mark Reuss, President, General Motors
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I see that the 4K jobs will be retained, but will jobs be added?
Will this $1.5B investment be over 10 years or over a lesser period of time. While any major investment should not be scoffed at, the number will be much less impressive if stretched over a decade or more.
Will this $1.5B investment be over 10 years or over a lesser period of time. While any major investment should not be scoffed at, the number will be much less impressive if stretched over a decade or more.
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nobody is scoffing, just saying do we have to be excited about something this month that we were excited about when it was announced last monthDogtownBnR wrote: ↑Dec 13, 2019I see that the 4K jobs will be retained, but will jobs be added?
Will this $1.5B investment be over 10 years or over a lesser period of time. While any major investment should not be scoffed at, the number will be much less impressive if stretched over a decade or more.
I don't believe any jobs will be added from my readings, understandings of reporting.DogtownBnR wrote: ↑Dec 13, 2019I see that the 4K jobs will be retained, but will jobs be added?
Will this $1.5B investment be over 10 years or over a lesser period of time. While any major investment should not be scoffed at, the number will be much less impressive if stretched over a decade or more.
I do think it is a snapshot of recent past, current and future of manufacturing in the US. It will NOT be about gaining jobs plain and simple. It will be about investment to retool and upgrade, automate a factory on whether a community will have a factory or not.