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GM Cuts 1,900 Jobs in Mexico as Argentina Plant Extends Monthly Production Pauses

Mexico links the move to weaker EV demand after U.S. incentives were withdrawn.

Overview

  • General Motors confirmed about 1,900 layoffs at its Ramos Arizpe plant in Coahuila as it eliminates the second shift and moves to a single daily shift to align output with demand.
  • GM said the adjustment covers unionized and salaried staff and will follow Mexican labor law with severance for affected employees.
  • The company reiterated a $1 billion investment plan in Mexico for 2026–2027 even as it scales operations at the plant.
  • Industry data show the Chevrolet Blazer EV built in Mexico dropped roughly 50% in output in 2025 versus 2024, reflecting softer U.S. demand.
  • In Argentina, GM will keep suspending production one week per month through 2026 at its General Alvear plant, paying about 600 workers 75% of wages as exports of the Tracker SUV slow to key markets.