Editor's note: An earlier version of this story misstated the required minimum employment level at GM's Arlington, Texas, assembly plant following a planned expansion.
ARLINGTON, Texas (Reuters) -- General Motors is mulling a $1.3 billion expansion of its Arlington, Texas, assembly plant to boost production of big SUVs, according to documents from the city.
GM assembles the Cadillac Escalade and Escalade ESV; Chevrolet Tahoe and Suburban; and GMC Yukon and Yukon XL at the plant.
The company will add 1.2 million square feet of space to the plant, adding 589 jobs and raising the plant's required minimum employment level to 3,179, the city said. The plant currently employs 4,125, more than the required level, the city said.
The company, which is among the top 10 employers in Arlington according to the city's website, will spend $307 million on the physical expansion and $986 million on new equipment.
"GM is developing a business case for a potential future investment at Arlington Assembly. An investment would fund facility improvements aimed at strengthening the plant's manufacturing capability. We cannot share details at this time," GM spokeswoman Jennie Ecclestone said in a statement.
The city council is scheduled to hold a public hearing on April 14 to consider establishing a reinvestment zone at the location.
The city has also proposed reducing taxes by 80 percent for 10 years on the expanded plant and its equipment and waiving building permit and development fees, according to a city staff report.
GM had said it would begin construction to expand its Lansing Delta Township assembly plant in Michigan in a $63 million project last October.
If the Arlington council approves the reinvestment zone on April 14, it could vote on incentives as soon as April 28, the report said.