agent Entrepreneur logo
MenuMENU
SearchSEARCH

GM Invests in New EVs and ICE Parts Distribution

Investments in replacement parts distribution centers follow double-digit increases in aftermarket parts sales.

May 1, 2023
GM Invests in New EVs and ICE Parts Distribution

More consumers are repairing their vehicles rather than replacing them, leading to an uptick in aftermarket parts sales.

Credit:

Hebert Santos

2 min to read



General Motors is rapidly heading toward an electric-vehicle future and witnessing a big increase in EV sales, even after stopping production of the Chevrolet Bolt, its initial electric offering.

The automaker is also investing in distribution centers for replacement parts intended for internal-combustion engines. GM's sales of after-market parts have grown by double digits each year since the start of the Covid pandemic. Now the company is sinking more than $100 million into modernizing its parts processing center in Burton, Mich.

Ad Loading...

Microchip shortages and supply-chain issues have left many Americans unable to purchase a new vehicle. That had led to robust sales of after-market and GM "original equipment" parts. Many consumers are investing in parts to keep their existing vehicles going.  

GM plans to install new automated storage, retrieval and loading systems and a conveyor system to move parts to employee workstations at the Burton facility, which opened in 2019. The facility, the primary distribution site for GM Genuine and ACDelco parts, employs around 1,460 people and ships approximately 15,000 parts orders daily.

GM also invested in technology upgrades in two other major parts centers, in Ypsilanti, Mich., and Memphis, Tenn. Across the globe, the company has 88 parts-distribution facilities, plus 12 regional or function-focused product distribution centers in key markets within the U.S..

GM’s after-market parts business also may grow as people resist EV vehicles. Many Americans remain wary of EVs and have concerns about their cost. As a result, they invest in parts and repairs to keep their ICE-powered vehicles running well as long as possible.

Originally posted on Auto Dealer Today

More Dealer Ops

Car key, stacks of coins, and a paper car cutout with AutoPayPlus logo, representing auto financing, loan terms, and vehicle affordability trends.
Dealer Opsby StaffMarch 31, 2026

Survey Reveals What Won't Fix What's Breaking Car Sales

AutoPayPlus says extra-long auto loans are trapping consumers and threatening the dealer trade-in cycle, and that the industry is leveraging the wrong tools to combat high MSRPs.

Read More →
Headshots of two male executives
Dealer Opsby StaffMarch 24, 2026

IA American Appoints Two Execs

Senior vice presidents of the company's agent and dealer channels chosen to support general agents and help auto dealers with sales and performance.

Read More →
Dealer Opsby Hannah MitchellAugust 26, 2025

Franchises, Throughput Down in First Half

A handful of states see franchise growth through June, while EV sales per store boost overall business in U.S.

Read More →
Ad Loading...
SalesAugust 25, 2025

How to Build a High-Performance Sales and F&I Team

Performance and profits start with people chosen and led the right way.

Read More →
Dealer Opsby Hannah MitchellAugust 19, 2025

Buy-Sells Up in Q2

Kerrigan metrics show there’s plenty of demand, though many sellers are waiting to pull the trigger.

Read More →
F&Iby StaffApril 2, 2025

DOWC Powers the Future of F&I for NESNA

Company is providing a fully integrated F&I administration model to Nissan Extended Services North America’s dealer network.

Read More →
Ad Loading...
Industryby StaffMarch 26, 2025

March New-Vehicle Sales Healthy

Despite incentive spending not keeping pace with deliveries volume, consumers make their purchases ahead of tariffs impact.

Read More →
Product & Technologyby StaffMarch 13, 2025

New DOWC Program Debuts

Hybrid solution combines benefits of reinsurance and dealer-owned warranty companies.

Read More →
Dealer OpsJanuary 15, 2025

Carryover Rate Important for Auto Retailers

Understanding how it plays into inventory risk management is an important consideration.

Read More →
Ad Loading...
Trainingby StaffJanuary 13, 2025

Dealer Survey Finds Anxieties

Kerrigan Advisors poll shows percentage of retailers expecting lower profits, valuations is on the rise.

Read More →