TOLEDO, OH—General Motors is investing $760 million in its propulsion manufacturing operations here to prepare the facility for producing drive units that will be used in future Ultium-based battery electric trucks. Toledo-built drive units are to be used primarily for Chevrolet Silverado EV, GMC Sierra EV, and GMC HUMMER EVs.

Toledo Propulsion Systems will be GM's first U.S. powertrain or propulsion-related manufacturing facility transformed for EV-related production. GM has invested more than $1.9 billion in Toledo since 2011. Renovation work at Toledo Propulsion Systems will begin this month.

Once the plant is converted, it will produce GM's family of EV drive units, which convert electric power from the battery pack to mechanical motion at the wheels. GM's EV drive units will cover front-wheel drive, rear-wheel drive, and all-wheel drive propulsion combinations, including high-performance and off-road capabilities.

The Toledo Propulsion Systems team will continue building transmission products while building drive units simultaneously during GM's EV transition. Purchased by GM in 1956, Toledo Propulsion Systems currently builds GM's six-speed, eight-speed, and 10-speed rear-wheel drive and nine-speed front-wheel-drive transmissions that are used in a variety of Chevrolet, Buick, GMC, and Cadillac products. The facility currently employs approximately 1,500 people.