x
Breaking News
0

GM, suppliers to invest $500 million in Argentina to produce new model

Stock MarketsOct 12, 2017 02:10PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. The GM logo in Warren Michigan

BUENOS AIRES (Reuters) - General Motors Co (N:GM) and its suppliers will invest a total of $500 million in Argentina operations through 2019 to prepare to produce a new Chevrolet model in 2020, the company said in a statement on Thursday.

The company will invest $300 million while its supplier network will invest $200 million at the Alvear plant in Argentina's Santa Fe province. The company invested $740 million in the plant between 2014 and 2016.

The investment announcement comes as automobile production in Latin America's No. 3 economy begins to rebound, following a sharp decline amid recessions last year in Argentina and neighboring Brazil, a major export destination.

Attracting investment from major multinationals like GM is a priority of market-friendly President Mauricio Macri. But investments have been slow to arrive since he took office in December 2015, in part due to a tax code and labor regulations that businesses say are in need of reform.

In March, the government reached a deal with labor unions aimed at increasing car production to 1 million per year by 2023, part of the government's strategy of negotiating more competitive labor arrangements sector-by-sector rather than through wholesale reform like Brazil.

The investment will include an increase in GM's operations at the port of Rosario, with the aim of doubling the volume of containers it moves in and out of the country each year, the company said.

GM, suppliers to invest $500 million in Argentina to produce new model
 

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

 
Are you sure you want to delete this chart?
 
Write your thoughts here
 
Replace the attached chart with a new chart ?
Post
Post also to:
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
 
Replace the attached chart with a new chart ?
Post 1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email