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GM to Build Escalade, Silverado and Sierra at Orion Assembly in 2027

GM is redirecting part of its $4 billion U.S. investment toward gas-engine models to meet surging demand set off by recent import tariffs.

The GM logo is seen on the facade of the General Motors headquarters in Detroit, Michigan, U.S., March 16, 2021. REUTERS/Rebecca Cook/ File Photo
2025/02/14: Cadillac 2025 escalade IQ presented at the 2025 Canadian International AutoShow. (Photo by Anatoliy Cherkasov/Informa Plus Photo Agency/LightRocket via Getty Images)
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Overview

  • GM will convert its Orion Assembly plant to produce the Cadillac Escalade full-size SUV and Chevrolet Silverado and GMC Sierra light-duty pickups from early 2027 instead of electric vehicles.
  • This move follows GM’s June announcement of a $4 billion investment across three U.S. facilities—including Orion, Fairfax (Kansas) and Spring Hill (Tennessee)—to expand internal combustion engine output.
  • Escalade production will shift from Arlington, Texas, and additional Silverado and Sierra capacity complements ongoing operations at Fort Wayne, Indiana.
  • CEO Mary Barra cited slower-than-expected electric vehicle adoption and strong consumer preference for gas-powered models as drivers of the strategy revision.
  • Retooling domestic plants also helps GM avoid 25 percent tariffs on imported vehicles and auto parts imposed by President Donald Trump.