General Motors to build plant in SA

[ShaneSA]

If you look at General Motors, they are losing money big time, laying off people, closing other factories(plants), and struggling to survive from the onslaught of Toyota. ( as is Ford Motor company).
Unless you see the notice and report from GM itself, I would be wary of any truthfulness to the rumor.
I hope I'm wrong...and I'll have to eat my words, so I made them sweet and nice.

[FastFerrari]

that would be great....if GM or Ford considered building a plant in SA....competative prices on vehicles for SA residences....higherwages....low employment %...other feeder businesses....basically it would add mounds and mounds of cash and spring SA to an economy that would rival that of Houston and Dallas hands down....and another Fourtone 500 company in SA...

[ShaneSA]

IT AIN'T GONNA HAPPEN!!!!! Ford and GM are drowning in labor costs and poor sales. Both are struggleing to survive. They are both laying off workers, closing plants, and cutting costs. The capitol outlay to build a new plant would put them under. There is no demand for US cars. Toyota is a different story.

[banker]

This real estate guy talked about a rumor and that is all it is. GM isn't going to be setting up shop in San Antonio anytime soon. They would expand their Arlington plant before building something new in San Antonio.

[adtobias]

i dont think it will happen either

[adiddasdude19]

What if another Car builder such as Nissan,Honda or Hyundai was looking at SA instead of GM?? I wonder if that is a possiblity?

[oldmanshirt]

GM isn't nearly as bad off as it was a year ago, and I believe they've actually been posting profits recently. Don't lump them in with Ford, who lost billions of dollars last year. GM is doing better and from what I've read of the new vehicles they're putting on the market this year (their new full-size crossovers, for instance), they may need some extra manufacturing capacity. Does that mean they're going to build a new plant in SA? Not necessarily, but GM is on the upswing, and as some have already mentioned, doing business in SA would probably look fairly attractive to them at this point.

[AustinTraveler]

Article in today's paper (Austin):

GM sees profit fall 90 percent in first quarter
Restructuring not enough to offset losses in GMAC's mortgage unit.

http://www.statesman.com/business/content/business/stories/other/05/04/4gm.html (broken link)

[banker]

Originally Posted by AustinTraveler

Article in today's paper (Austin):

GM sees profit fall 90 percent in first quarter
Restructuring not enough to offset losses in GMAC's mortgage unit.

http://www.statesman.com/business/content/business/stories/other/05/04/4gm.html (broken link)

How that should read is "Despite strong improvements and profitability in their global auto manufacturing - the slump in the sub prim mortgage industry causes a 90% fall in profits for the first quarter."

The media would love for folks to see the title of that article and think that GM's core auto business dropped 90% in profit...but that simply isn't the case. GM's automotive turnaround is running full steam ahead. They continue to post gains in retail sales month after month and have some of the best full size crossovers coming on the market. Has anyone seen the all new GMC Acadia or Saturn Outlook? It is the only CUV that offers full three row seating just like a minivan without the "minivan" look. The Buick Enclave is now on sale and is one of the nicest SUV/CUVs out there. Take a look at www.buick.com.

[ShaneSA]

Beat me with a wet noodle. I retract combining GM and Ford. The article makes it clear( if you read it) that the auto segment of GM is making money and it's non auto business is draining the corporation.
I still do not think GM would see it wise to build a new plant. Anyhere. I'm sure it's cheaper to retool what facilities they have. When they get restructered and get rid of the segments draining the profits, then they may consider new plants, but I still think it would take a while.
I'll get the plate and fork ready in case I need to eat my words. No salt please, I reserve that to rub into the wounds.