GM Factory Zero Grand Opening - Full Event
1Factory ZERO – a showcase of GM’s competitive advantage
GM retooled Factory ZERO for EV production for two-thirds the capital required to build a greenfield plant, making the facility a model for future GM facility renovations. As the company continues its transition for an all-electric future, GM will avoid up to $15 billion in capital costs by 2030 through the renovation of existing manufacturing facilities versus ground-up construction. The figure grows to $20 billion to $30 billion at 100 percent transition of GM’s manufacturing facilities to support EV production. That capital can be redeployed more strategically for additional customer-facing products, services and technologies.
Along with the capital advantages, GM’s commitment to renovating its existing network of manufacturing facilities during the EV transition also saves time. An accelerated launch and production start allow the company to get new, innovative EVs to customers sooner. Pre-production of the 2022 GMC HUMMER EV pickups began at Factory ZERO this fall and the first GMC HUMMER EVs are on track to be delivered to customers by the end of the year.
“To meet our ambitious EV transition, GM’s North American EV vehicle assembly capacity will reach 20 percent by 2025, and then 50 percent by 2030,” said Gerald Johnson, GM’s executive vice president of Global Manufacturing and Sustainability. “Factory ZERO serves as a model for transitions that will take place at other factories around the world in the coming years.”
Using virtual tools and working in parallel with production engineering teams, GM cut the manufacturing launch time in half – from two years to less than one – creating a competitive advantage. By comparison, greenfield assembly plant planning and construction could take up to four years, from site selection to vehicle production.