GM in $890M engine investment

By Daniel Chubb - Apr 27, 2010

General Motors Co of Detroit have announced that it will be investing $890 million across five of its factories with the aim of upgrading its current V8 power plants. The idea is to manufacture a more eco-friendly fuel efficient engine, this project will in turn create around 1,600 jobs.

According to reports the new engines will have aluminium blocks and more advanced fuel injection systems. This will increase fuel economy on GM’s pickup, sports utility vehicles and performance cars. The large motor manufacturer hopes that this investment will help them meet government economy standards and be effective by 2016.

Tonawanda and St. Catherine’s will be the two main factories where the V8’s will be constructed, while three other plants will make the components. GM aims to achieve 32.7 mpg from its passenger cars by 2012 increasing to 36.9 mpg by 2016. With the increase in demand from hybrid and electric vehicles could this spell the demise of the gas guzzling power plants that we know and love?

Read More: The Associated Press

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