GM to Build Ecotec Engines in the US

General Motors will build greener engines, as the US car manufacturer will invest $494 million in Bay City, Defiance, Ohio, and a in plant in New York that will support two next-generation, fuel-efficient engines, says detnews.com. This also means that the automaker will recall 550 jobs.

The new Ecotec engines will have lower fuel consumption and lower CO2 emissions. The investment is being celebrated by GM with events in Bay City and Tonawanda, N.Y.

The money will be used for renovating plants, and installing new machinery, equipment and special tooling at the three factories. GM refused to say which cars of its line up will use the new engines.

"GM is transforming its product portfolio to reduce fuel consumption and emissions, and the next generation Ecotec engine is an integral part of that transformation," said Denise Johnson, GM's vice president of labor relations.

"The investment in state-of-the-art, four-cylinder engines is another example of GM's commitment to replace larger-displacement engines with more compact, advanced four-cylinder engines that optimize fuel savings and performance. We look forward to working with our union partners at these three plants to make this investment a success."

The Tonawanda plant will get $425 million and 470 workers being recalled. In Bay City, GM will invest $10.5 million and 15 people will be called back to work. The plant will produce the Ecotec connecting rod. In Defiance, GM is going to pay $59 million for upgraded equipment and will recall about 80 people.