GM promises production of electric vans as part of a union strike negotiation

GM union employees are currently on strike following a bargaining dispute and the automaker is using the promise of electric pickup truck production at a Detroit plant that is scheduled to close in 2020.

The Auto Workers Union protested GM's previously announced plans to close several plants and let thousands of employees leave.

After the UAW announced that its 50,000 union members who are GM employees would go on strike, the Detroit-based automaker claims to have submitted a bid involving $ 7 billion in investments, as well as undisclosed solutions for several plants to close, increases in employee compensation, including profit sharing.

Now, Automotive News reports that GM's proposed plan for factories includes the production of electric pickup trucks and battery cells:

"GM's offer to the UAW would award an electric pick-up to the Detroit-Hamtramck assembly plant and battery cell manufacturing in Lordstown, according to one familiar with the case."

The Detroit-Hamtramck assembly plant is the factory where GM is currently manufacturing the Cadillac CT6 and the Chevrolet Impala, but the automaker announced earlier this year that there would be no more vehicle allocation from of 2020.

In several comments over the past year, GM has tentatively discussed the construction of electric vans.

As for Lordstown, this is the factory that GM is supposed to sell to Workhorse so that the start-up can build its own electric vans.

However, the publication reported:

"The manufacture of battery cells in Lordstown will not affect the sales potential at Lordstown Motors," said the person, who asked not to be identified in private discussions. The newly formed company, led by former President and CEO of Workhorse Group Inc., Steve Burns, is working on the purchase of the plant. "

GM and UAW said they are back at the negotiating table.

Electrek's Take

For Detroit-Hamtramck, it's not surprising.

It is not new for GM to threaten to close factories in collective bargaining, and it's not like they're not going to build electric vans.

They are basically forced to do so after Tesla, Rivian and Ford have all announced their intention to market electric trucks.

I am more surprised about the manufacture of battery cells.

It would be a brand new venture for GM, but I would not be surprised that Automotive News or its sources are confusing with the manufacture of battery packs, which would make more sense.

What do you think? Let us know in the comment section below.

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