First Chevy Equinox off the line at the CAMI plant in Ingersoll, Ontario, February 2004.
General Motors of Canada today announced that it would acquire 100% ownership of CAMI Automotive Incorporated through a transaction to buy shares currently owned by long-time 50% partner Suzuki Motor Corporation.
GM previously ended a link with Suzuki in Asia during November 2008.
No financial details of the latest transaction were released, and it should have no effect on potential customers.
Last June, GM abandoned its pioneering joint venture, NUMMI, with Toyota Motor Corporation in Fremont, California. Toyota has since decided to close the plant located in its largest U.S. market.
GM’s latest move is in keeping with employment agreements with the federal and provincial Canadian governments that were part of the taxpayer financing agreements necessary to bring GM out of bankruptcy in July.
CAMI is the production source GM’s successful North American launch of the all-new Chevrolet Equinox and GMC Terrain. Capacity is now currently being expanded with the addition of a third shift to meet the strong demand for these fuel-efficient, compact-sized crossovers. An additional investment of a Canadian $90 million for a body shop expansion to increase capacity by an additional 40,000 vehicles annually is also underway.
GM’s Oshawa Car plant, also in Ontarian, Canada, has been running at maximum overtime since June 2009 to keep up with demand for the Chevrolet Camaro. Production of the Camaro convertible is also due to start there during the beginning of 2011.
North American production of the all-new 2011 Buick Regal will start at the Oshawa Car Assembly plant beginning in Ontario during the first quarter of 2011
Under the terms of the loan agreements with Canadian taxpayers, GM still needs to name another vehicle that will be built in Canada. GM says this will come at an unspecified future date.
“GM Canada recognizes that the culture and values of the CAMI workforce have played a key role in producing world class vehicles,” said Arturo Elias, president of GM Canada. “Bringing CAMI completely into the GM family is a strong vote of confidence in the people there and builds on the recent positive news at the plant since the highly successful launch of the Chevrolet Equinox and GMC Terrain.”