MotorAuthority.com reports that GM has decided to stall the building of a factory in Flint that was set to build a new engine that would be used in the hybrid Chevy Volt:
 

As Washington waffles on the auto industry bailout, General Motors has decided to put construction work on hold at the Flint, Michigan engine plant where the 1.4L turbocharged and naturally aspirated engines that will power the Chevrolet Cruze and extend the range of the Volt plug-in hybrid will be built. If the company gets the government cash infusion it seeks, construction will move forward, but until then, progress is halted.

GM insists the decision to delay construction won’t push back the 2010 retail debut of the Chevrolet Volt. With a planned $350 million outlay for the Flint plant, the cash savings now is more important than getting the plant built early – the Volt and Cruze aren’t due until late 2010, reports Automotive News.

“Steel has been ordered but placed on hold, as have additional orders,” said Sharon Basel, a GM spokeswoman. “This has only to do with the construction of the plant, not the program timing.”