General Motors (GM) is looking to boost production of sport-utility vehicles (SUVs) with a $1.3bn expansion at its Arlington assembly plant in Texas, US.
The company intends to add 1.2 million ft2 of space to the existing facility over the next three years, and is expected to create 589 new jobs which will complement the existing 3,179 roles.
As part of the investment, GM will use $307m for physical expansion and $986m for new equipment.
GM spokesperson Jennie Ecclestone said: "GM is developing a business case for a potential future investment at Arlington Assembly.
"An investment would fund facility improvements aimed at strengthening the plant's manufacturing capability."
The Arlington city council intends to establish a reinvestment zone at the location, and is preparing to hold a public hearing on 14 April.
If the reinvestment zone is approved, the council is expected to vote on incentives as soon as 28 April.
For the planned expansion, GM would receive more than 80% abatement in real-estate and property-tax abatements over ten years.
At the Arlington plant, GM produces full-size SUVs, including GMC Yukon, Chevrolet Suburban and Tahoe and Cadillac Escalade.
Last year, the company opened a $200m stamping plant in Arlington to produce next-generation large SUVs.
Image: General Motors Arlington, Texas assembly plant. Photo: courtesy of General Motors.