Truck parts pickup in St. Cloud
July 22, 2012 by James
A St. Cloud auto parts manufacturer has inked an extended agreement to produce truck parts for General Motors.
Grede Foundries recently announced that a deal to produce parts for the new K2XX truck platform rolled out by GM, which includes Chevy trucks such as the popular Suburban, GMC Yukon, and the Escalade, which is a Cadillac model SUV. Grede has obtained the rights to manufacture at least $150 in auto parts for each unit that comes off the assembly line.
Rob Allerton, a director at Grede for product planning, said the K2XX will represent a very large part of their business. It is expected that the truck platform will result in one million vehicles produced this year by GM. Allerton said:
“We had to re-quote and re-win the opportunity to do more business and, as you might imagine with the part volumes we’re talking about, the chance to be a partner in this was very attractive to foundries all across America. So we had to compete with a lot of people to be able to provide these products.”
With thousands of auto parts required, catalog printing would probably be necessary in this industry to document and track parts for ordering. Some of the parts that will be made by the St. Cloud foundry are calipers for brakes and differentials. No new jobs will be created immediately but Allerton indicated that Grede’s strategic plan would include future growth. Historically manufacturing parts for Ford and John Deere, the St. Cloud facility employs 325 people.