GM to Produce Diesel Engines in Thailand, new $445 million Investment

Automotive giant, GM, is set to invest up to $445 million in Thailand to update it's current plant, to produce the next generation Colorado pick-up truck, and a brand new facility to manufacture a new range of diesel engines locally.

The engines will be for use in the new Colorado, and will also be exported. The plant is due to begin production in 2010, and with 340 workers is said will have an annual manufacturing capacity of over 100,000 units a year.

The engine capacities to be produced include a 2.5-litre turbo-diesel, and a 2.8-litre turbo-diesel unit replacing the 3.0-litre capacity of the Isuzu-sourced engine currently employed for the higher powered Colorado models.

Both engines are designed and developed by GM in conjunction with VM Motori S.p.A. The Italian firm specialises in the design of diesel engines, and GM recently purchased a 50% stake in the company.

The new GM plant will be located in Rayong, next to GM's vehicle assembly plant where the Colorado, Aveo, Optra and Captiva are all produced.