Reports have alleged that the Orion Assembly Plant, which General Motors had previously earmarked for EV manufacturing, isn’t just being retooled to produce all-electric vehicles anymore.
Previously responsible for the Chevrolet Sonic and electrified Bolt EV, Orion has been inactive since 2023. However, the site is currently undergoing a $4-billion revamp so that it can build GM’s all-electric pickups. While the automaker had already delayed plans to Chevy Silverado EV and GMC Sierra EV, demand for those models continues to fall below expectations. The original plan was to have the facility commence manufacturing to accommodate the last batch of 2025 model year trucks. That scheme has since been pushed back to the middle of 2026.
While the brunt of the automaker’s EV manufacturing presently takes place in the Detroit-Hamtramck “Factory Zero,” located in Michigan, assumptions about growing demand for electrics had encouraged it to repurpose Orion for the larger pickups. But that was not the only reason.
With American automakers now snubbing everything modestly sized, the facility needed new products and the State of Michigan was willing to offer a $480 million cash grant to incentivize General Motors to build more EVs there. However, there’s now a lot of speculation that the smaller Detroit-Hamtramck facility has sufficient capacity to meet demand for the Silverado EV, Sierra EV, and Hummer EV. The location has even seen layoffs due as a way to address “market dynamics.”
On Monday, Crain’s Detroit Business reported that the manufacturer is in the process of re-evaluating which vehicles should be assembled at Orion. Sadly, details are slim and apparently not for public consumption. General Motors has stated it won’t speculate on the matter and that the plan to build EVs for the 2026 model year remains in play.
We certainly cannot assume to know what GM has in store for the facility. But it does seem plausible that Orion may soon be expanding its operations to include non-electric vehicles. Demand for the EVs simply isn’t sufficient to dedicate a factory of this size to them. Meanwhile, concerns about tariffs could encourage the manufacturer to onshore production that was previously allocated outside of the United States.
[Images: General Motors]
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