General Motors will announce a $1 billion investment in its factories that will create or keep about 1,000 jobs, an anonymous source told The Associated Press.
The investment has been planned for months.
GM has been criticized by President-elect Donald Trump for building cars in Mexico and selling them in the U.S. Trump specifically threatened to tax GM for doing so with the Chevrolet Cruze compact model. However, most Cruzes are built in Ohio.
General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A.or pay big border tax!— Donald J. Trump (@realDonaldTrump) January 3, 2017
Here's Trump's most recent take on GM.
The CEO's take
Before the Detroit auto show last week, GM CEO Mary Barra said the company has no plans to change where it produces small cars due to Trump's threats. Another source told Reuters the move was not a response to Trump's criticism.
Barra said decisions on where cars are made can be made years in advance. She said the company had more in common with Trump's economic goals than differences. Barra is part of a Trump economic advisory group.
Auto sales in the United States hit a new record in 2016 and have been rising since 2009. Trump made domestic manufacturing jobs a key focus of his campaign and the months following.
Leading car companies have announced large U.S. investments in recent weeks. Toyota recently announced a $10 billion investment in the United States, Fiat Chrysler announced it would spend $1 billion modernizing two midwestern factories, and Ford canceled a $1.6 billion factory in Mexico to spend $700 million at a Michigan plant.
Thank you to Ford for scrapping a new plant in Mexico and creating 700 new jobs in the U.S. This is just the beginning - much more to follow— Donald J. Trump (@realDonaldTrump) January 4, 2017
Trump proudly touted the Ford decision on Twitter.
It's finally happening - Fiat Chrysler just announced plans to invest $1BILLION in Michigan and Ohio plants, adding 2000 jobs. This after...— Donald J. Trump (@realDonaldTrump) January 9, 2017
He had a similar response to the Fiat Chrysler decision.
However, Reuters reports, GM has made thousands of job cuts. It announced plans in November to lay off about 2,000 people at Ohio and Michigan plants. Last month, it said 1,300 jobs would be cut at its Detroit assembly plant.
The Associated Press contributed to this report.