GM opens new diesel engine plant in Thailand

(September 12, 2011) RAYONG, Thailand — General Motors last week opened a new state-of-the-art diesel engine plant in Rayong, Thailand. The $200 million facility, which is adjacent to the automaker’s vehicle manufacturing plant, represents GM’s most significant powertrain investment in Southeast Asia.

The new 178,000-square-foot facility, GM’s first diesel engine plant in the region, is the first-in-the-world to produce the all-new family of Duramax four-cylinder diesel engines.



The highly flexible plant has the capability to manufacture approximately 120,000 engines per year for use in vehicles built in Thailand and other global markets. GM expects to source $94 million worth of Thai-built components for the production of engines at its Rayong facility, by 2012.

The first engines to be manufactured by the facility will be installed in the all-new Chevrolet Colorado pickup that will be produced in Rayong following engineering development work and retooling of the vehicle assembly line.

GM Thailand’s new powertrain facility is a key component of the automaker’s Southeast Asia growth strategy. GM’s goal is to become a leading manufacturer of world-class vehicles and engines throughout the region.

The opening of the facility comes a month after GM announced that it will invest $150 million in the reactivation of its Bekasi manufacturing facility in Indonesia for production of a new line of people movers for Southeast Asian markets. The new powertrain facility takes GM’s investment in Thailand to $1.3 billion since 1998.

“GM is committed to growing our footprint and business throughout Thailand and Southeast Asia,” said Martin Apfel, GM Southeast Asia president. “Our engine plant will enable us to deliver on our promise of bringing cleaner, more efficient and higher-performance diesel engine technology to our customers.”

He added, “Producing engines locally strengthens our commitment to the development of a strong Thai automotive industry, which can help guide the growth of the entire Southeast Asian region. It is also a sign of the excellent talent in the local industry and our faith in their capability.”

The new powertrain facility, which will have 500 employees by the end of the year, has a compact manufacturing footprint. It has adopted cutting-edge computer and laser-guided equipment to enhance precision and ensure high build quality. It is extremely flexible, with the ability to switch between production of 2.5-liter and 2.8-liter engine variants in line with changing market demand.

The newly developed 2.5-liter and 2.8-liter diesel engines are the newest members of the Duramax truck-engine family. They feature overhead cams, turbocharging and durable aluminum cylinder heads for high levels of refinement and durability.