GM to invest €9 billion in Europe by 2012

GM to invest €9 billion in Europe by 2012

Despite losing more than $3.3 billion this quarter, GM plans to invest up to €9 billion ($14 billion) by 2012 to increase the market share of its Opel brand. Of the total investment, €6.5 will be spent alone on developing new models and powertrains as well as the expansion and modernization of Opel plants in Ruesselsheim, Bochum and Kaiserslautern, Germany.

The information comes from GM Europe President Carl Peter Forster, who also revealed during a recent interview with the Associated Press that the first stage of investment had already started with the preparation of the Ruesselsheim plant for production of the new Opel Insignia (pictured) in the third quarter of the year.

"We will develop these sites," Forster said, adding that "our significance (in Europe) depends upon the Opel brand name." Some of the new models could include coupe and wagon versions of the new Insignia as previewed in the renderings below.

GM Europe has set a goal of reach a market share of more than 10% in Germany for its Opel brand in the short term, up from current levels of around 8.6%. Opel accounts for roughly 80% of GM sales in Europe, which totaled just 572,000 vehicles since the start of the year.

Opel Insignia Coupe and Estate renderings

2009 Opel Insignia sedan