GM’s ‘green’ EV plant will also make gas-powered trucks and SUVs

GM had big electric dreams for its Orion Assembly plant, but now it’s preparing to build gas-powered trucks and SUVs instead.

Backed by $4 billion in planned investment and nearly half a billion dollars in state funds, the automaker was set to transform the site into an EV-making powerhouse.

But instead of mass-producing electric pickups, the plant is shifting gears toward a more familiar formula.

It’s now being retooled to churn out some of GM’s most powerful – and fuel-hungry – combustion models.

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GM shifts focus to gas-powered trucks and SUVs at Orion

From 2027, GM’s Orion facility in Michigan will begin building the gas-powered Cadillac Escalade, Chevrolet Silverado, and GMC Sierra – three of its most iconic and high-profit vehicles.

That’s a big pivot from its original goal: transforming the factory into a clean-energy hub producing EV versions of the Silverado and Sierra.

The reason for the change? 

EV pickup sales have been slower than expected, forcing General Motors to rethink its approach. 

Now, the company says it’s simply responding to ‘continued strong customer demand’ for its combustion engine lineup.

It’s a bold move, especially considering GM received $480 million in state grants specifically to support EV production at the site. 

But despite the shift in plans, Michigan officials say GM is still in compliance with its incentive deal.

The company hasn’t explained why production won’t start until 2027, but it likely needs time to retool the plant for gas-powered vehicles. 

Switching from EVs to full-size trucks isn’t as easy as flipping a switch – it’ll take time to install new equipment and restructure the plant.

Either way, a plant once slated for electric vehicles will now be producing some of the most in-demand gas-powered trucks.

Orion’s role in GM’s expanding truck strategy

This move isn’t about swapping one plan for another – it’s about scaling up.

The Orion plant isn’t replacing truck production elsewhere. Instead, it’s being added to the lineup, alongside GM’s existing facilities in Texas, Indiana, Mexico, and Canada.

That means more capacity for gas-powered trucks and SUVs at a time when they’re still leading sales.

The Escalade, Silverado, and Sierra remain some of GM’s most popular and profitable vehicles, so increasing output where demand is strongest makes business sense.

It also highlights where the industry is right now. The transition to electric is still underway – just not at the pace many predicted.

Bringing Orion back into the fold for gas-powered models gives GM a way to stay competitive today, while still keeping one eye on the electric future.

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