Massive Presses Make Way to General Motors
By Office of Communication
Posted on March 04, 2013, March 04, 2013

General Motors in Arlington welcomed a big delivery on Friday afternoon.

The first shipment of massive equipment to create parts for GM's new full-size SUVs arrived to fanfare at the Arlington Stamping Plant.

Four presses, pit equipment and two press beds - weighing a total of five million pounds - made the 550-mile trek from the Port of Houston to Arlington.

"This is a great day for GM and a great day for Arlington,' said Paul Graham, GM Arlington plant manager. "This is big news for our local economy.'

Because of the size, two trucks towing 19-wheel trailers drove only during daylight hours along roads that could handle the extreme weight of the equipment.

Three more shipments, totaling about 400 tons, are on their way this year.

The $200 million stamping plant is part of a $530 million investment GM has made in Arlington, which was selected to produce the company's next generation of large sports utility vehicles.

The stamping facility, which is adjacent to the assembly plant, will produce vehicle body panel parts, such as doors, hoods and side panels, for the next generation of SUVs.

Currently, these parts are stamped at several other plants across the county and shipped to Arlington. Having an on-site stamping facility will increase production efficiency and save GM roughly $40 million a year in transportation and logistics costs, Graham said.

To operate the three presses, the plant hired 180 new workers, many of whom are currently being trained to use the equipment. The plant, which opened in 1954, will begin producing parts sometime later this year.

Cranking out more than 1,100 vehicles a day, the Arlington plant is the only one in the country that produces GM's large sports utility vehicles, including the Chevrolet Tahoe, Suburban, GMC Yukon and Cadillac Escalade.

With 3,500 employees, the plant is already the city's largest private employer.

To help lure the stamping facility, the Arlington City Council approved a 10-year, 90-percent tax abatement for GM on new buildings and equipment. The tax break will save GM more than $1 million annually, and Arlington agreed to waive building permit fees and other development fees.

Graham said Friday's delivery is proof of a strong public-private partnership.

"GM has been in Arlington since 1954, and we're still growing,' Graham said. "That speaks volumes about the relationships we have built.'

articles_business_030413

Business, Headlines, News