Dive Brief:
- GE Appliances plans to spend more than $3 billion in its U.S. operations and workforce over the next five years, the Louisville, Kentucky-based company said Wednesday.
- The investment will expand the appliance maker’s air conditioning and water heating portfolio, increase production output and install new automation and capital equipment at its 11 manufacturing facilities and microfactories in the United States, according to the press release.
- Additionally, the funds will create more than 1,000 new jobs. The first phase of the five-year plan will begin at GE’s facilities in Kentucky, Alabama, Georgia, Tennessee and South Carolina.
Dive Insight:
GE Appliances is a subsidiary of Haier Smart Home, a China-based company that specializes in appliances and consumer electronics. The company acquired GE Appliances from General Electric in 2016.
GE Appliances’ investment adds to the $3.5 billion it has spent in its U.S. operations since 2016, as the company has been working to move production back to the country from Mexico and China, according to its 2024 economic report.
“What we’ve done, what we're doing next isn’t just good business, it’s essential,” GE Appliances President and CEO Kevin Nolan said in his remarks during Wednesday’s press conference at the company’s global headquarters and manufacturing campus in Louisville. “It’s essential for our company, it’s essential for our economy, and it’s essential for American manufacturing, providing the goods that people need and the livelihood that they deserve.”
The multi-billion-dollar pledge also builds on previously announced investments and expansions GE Appliances made over the summer. In June, the company completed a $180 million expansion of its subsidiary Roper Corp.’s cooking products manufacturing facility in LaFayette, Georgia. The expansion created more than 600 jobs and installed automated technology such as robotic cells to its production lines, assembling glass cooktops, program control boards and rotate units.
The additions allow the LaFayette facility to expand production capacity to manufacture gas, electric and induction ranges to meet customer demand. The company also plans to ramp up the factory’s production of its gas ranges, which were previously made in Mexico, according to the Aug. 13 press release.
The company also announced in June a $490 million project at its Appliance Park manufacturing campus in Louisville, GE’s largest site, which has five facilities. The money will go toward overhauling and redesigning the facility’s front-load washer production lines as it aims “to become the biggest American washer manufacturer,” according to the release. The funds will also enable the company to reshore production of its GE Profile brand washer and dryer combo and UltraFresh front-load washer line from China, according to Kentucky Gov. Andy Beshear’s June 26 press release.
Furthermore, the Louisville campus will serve as the central location for GE’s research and development, product design and testing, according to Beshear’s Aug. 13 press release.
The recent announcements are part of the company’s “zero-distance” strategy that aims to bring appliances closer to its customers and consumers, Nolan said in a June 26 statement.
“This decision is our most recent product reshoring and aligns with the current economic and policy environment,” Nolan added.
GE’s phase one plan for three other sites aligns with its localized strategy, according to the Aug. 13 announcement. The multi-billion-dollar investment will add electric water heater and Geospring brand hybrid heat pump water heater manufacturing to its gas-powered water heater facility in Camden, South Carolina, according to the press release. Once the project is complete, it will double the plant’s output and employment. The first phase for Camden is set to be implemented in early 2026.
Elsewhere, GE plans to add two new models of its 2-ton Vertical Zoneline brand air conditioners to its air and water portfolio at its factory in Selmer, Tennessee. The facility is operated by GE subsidiary, Monogram Refrigeration.
Additionally, GE’s top-freezer refrigerator plant in Decatur, Alabama, will in-source 22-cubic-foot models to better support customer demand, according to the press release. Production is expected to ramp up by the end of the month.
The appliance maker’s other U.S. facilities are located in Elkhart, Indiana, and Stamford, Connecticut, according to its website.
As GE Appliances installs new technology on its production lines, such as robotics, the changes call for an upskilled workforce.
The company has taken steps to upskill and train current and potential employees over the past few years, according to its website. GE created a Louisville chapter of the Kentucky Federation for Advanced Manufacturing Education, a paid, hands-on work program for recent high school graduates. It also relaunched its apprenticeship program and created GEA2Day, a flexible workforce offering opportunities for high school and college students, as well as others seeking part-time positions, and gaining eligibility for tuition reimbursement up to $6,000 a year.
The new multi-billion-dollar investment will enable the company to do more for its workforce, Nolan said in his remarks on Wednesday.
“The truth is, we need more people in manufacturing,” Nolan said. “We need more programs that train, develop and invest in them.”
“This $3 billion commitment isn't just staying here in Kentucky, it's strengthening our entire American manufacturing footprint,” the CEO added.
