General Motors has announced it will invest $US888 million (almost $AU1.4 billion) in its Tonawanda Propulsion plant in Buffalo, New York, to support production of its next-generation of V8 engines.

The move – counter to the global shift toward electrification and zero-emissions vehicles – marks the largest single investment GM has ever made in an engine facility. The funding is set to go towards new machinery, tools and facility upgrades needed to manufacture the sixth generation of GM’s V8 engines used in the company’s full-size trucks and SUVs. 

The updated engines are expected to offer stronger performance, improved fuel economy, and lower emissions, driven by advancements in combustion and thermal management technologies.

“Our significant investments in GM’s Tonawanda Propulsion plant show our commitment to strengthening American manufacturing and supporting jobs in the US,” said Mary Barra, Chair and CEO of General Motors. “GM’s Buffalo plant has been in operation for 87 years and is continuing to innovate the engines we build there to make them more fuel efficient and higher performing, which will help us deliver world-class trucks and SUVs to our customers for years to come.”

Tonawanda becomes the second GM propulsion plant selected to produce the new engine line, following a $500 million investment announced in January 2023 for the company’s Flint Engine plant in Michigan.

While gearing up for the launch of the new V8 engine in 2027, Tonawanda will continue producing GM’s current fifth-generation V8 engines.

The 2023 GMC Yukon and Chevrolet Silverado 1500 in Australia both use a 6.2-litre V8 petrol engine producing 313 kW and 624 Nm, paired with a 10-speed automatic transmission.

In April 2025, General Motors issued a global recall affecting more than 720,000 vehicles – including the Chevrolet Silverado 1500, GMC Sierra 1500, and GMC Yukon – fitted with the 6.2L L87 V8 engine from model years 2021 to 2024.

The recall addressed manufacturing defects in the connecting rods and crankshafts that could lead to engine failure.