GM is adding 700 jobs at its Spring Hill, Tennessee plant to build more Cadillac XT5 and GMC Acadia crossovers.

The on-again, off-again third shift at General Motors plant in Spring Hill, Tennessee, is on again, this time producing more crossovers as well as an Acadia vehicle for the company’s Australian brand, Holden.

The third shift is expected to begin production in September 2018 and add 700 new jobs. Industry wide, customers are increasingly purchasing crossovers, trucks and SUVs over sedans. Crossovers make up nearly half of the U.S. retail market (48.5%), according to GM.

Crossovers are booming for GM too as the GMC Acadia and Cadillac XT5 are posting strong results. Acadia retail sales were up more than 15% for the first quarter of 2018 on a year-over-year basis. Total Acadia sales were up 3%, marking the best first quarter ever for Acadia sales for both retail and total.

Total sales of the Cadillac XT5 were up 10% in the first quarter 2018. XT5 is Cadillac’s best-selling vehicle in every market where it’s sold around the world, according to GM, which noted it is the second-best-selling vehicle in its class in the U.S.

(GM cutting 1K jobs at Tennessee plant. Click Here for the story.)

The Spring Hill plant will also build Acadias for the company's Australian brand, Holden.

This move is in addition to a $294 million investment for another new Cadillac small crossover and plant upgrades that were announced in late 2017.

“This shift addition is not only an indication of the popularity of these GMC and Cadillac crossovers with customers but is testament to the great work being done by the Spring Hill Assembly team,” said Ken Knight, Spring Hill Manufacturing Plant executive director.

“Their commitment to building quality vehicles is visible every day. It also demonstrates the strong spirit of teamwork between GM and our UAW partners, as we work together to satisfy our customers.”

(Click Here to see more about GM’s previous layoffs in Tennessee.)

The Holden Acadia, which will go to Australia and New Zealand, is part of five-vehicle launch aimed at energizing the brand. The move is crucial as Holden shut down its last manufacturing plant in Australia last year after nearly a century of building cars in the country.

“The vehicles we’ve revealed reinforce our commitment to introduce the finest global vehicles for Australian customers,” said Holden Chairman and Managing Director Mark Bernhard.

“The Acadia will be sourced from the U.S., the Astra from Europe, and the Barina, Trax and Trailblazer from Asia. Holden is in a unique position where we can provide our customers with the best of the best from around the GM world.”

(Cadillac to slash sedan line-up, shift focus to SUVs. For the story, Click Here.)

Last fall, the plant laid off 1,000 workers as sales slowed and GM made production moves to match demand. GMC had enough Acadias at the time to supply dealers for 105 days of sales, while Cadillac had a 68-day supply of XT5s. Automakers consider a 70-day supply to be optimal.