GM Invests in New Automatic Transmission
General Motors is allocating $40 million for the production of a new eight-speed automatic transmission. This investment is aimed at modernizing the Toledo Propulsion Systems plant. The new transmission is designed for front-wheel-drive vehicles and will become the standard for future models.
Major Changes for Chevrolet Equinox and GMC Terrain
According to new data, the 2027 Chevrolet Equinox model will completely abandon the continuously variable transmission (CVT) in favor of an eight-speed automatic. This applies to both front-wheel-drive and all-wheel-drive versions. Similar updates are expected for the GMC Terrain model, which shares a platform with the Equinox.
The plant is receiving a new variant of an 8-speed automatic transmission for front-wheel-drive vehicles… This is part of a strategic plan to support the company’s overall needs.
Reasons for Switching to the New Transmission
No official explanation for abandoning the CVT has been provided by General Motors yet. However, experts suggest that the new eight-speed automatic transmission could improve the fuel efficiency of the 1.5-liter turbocharged four-cylinder engine producing 175 horsepower. There is also a possibility of increasing the maximum trailer weight for front-wheel-drive versions, which currently can tow only up to 363 kg.
Other Expected Changes in the Models
The full launch of sales for the updated 2027 Chevrolet Equinox and GMC Terrain has not yet been announced. According to internal sources, in addition to replacing the transmission, the vehicles will undergo minor updates. In particular, the Cacti Green body color may be replaced with a new Autumn Harvest Metallic, and for RS versions, the interior stitching color may change from Santorini Blue to Torch Red. Details are expected to be released in the coming weeks or months.
The switch to a traditional automatic transmission can be seen as a response to criticism from some buyers who are skeptical of continuously variable options due to their operational characteristics. This step also demonstrates GM’s strategy of unifying technical components across its crossover lineup, which could contribute to optimizing production and logistics. In a sense, this is a return to proven solutions in a segment where reliability is often valued higher than technological experiments.

