General Motors says it will invest $109 million in its Flint and Bay City, Michigan, operations, keeping or creating 96 jobs.
The investment will fund production of engines for the Chevrolet Cruze compact and Volt electric car.
GM says the money is part of a $2 billion investment announced earlier this week that will create or keep more than 4,000 jobs at 17 GM facilities in eight states.
The company says it will spend $84 million at a Flint engine plant to increase production capacity for a 1.4-liter four-cylinder engine. GM will put $25 million into a Bay City factory to build parts for the engines.
GM's sales are up 25 percent this year, led by the Cruze. The company sold more than 25,000 of the compact cars last month.