General Motors says it will move production of the Camaro from its Oshawa operation in Ontario to a plant in Michigan.

The Camaro is currently made at GM's Oshawa flex plant, which employs some 2,000 people and also produces the Buick Regal and soon, the Cadillac XTS.

The Canadian Auto Workers' most recent contract with GM, which was ratified in September, guaranteed production of the Camaro in Oshawa only until the end of the current generation model.

In a statement, General Motors Canada says ``lower capital investment and improved production efficiencies were key factors''
in the move.    

GM also says it will continue to meet production targets agreed to with the federal and Ontario governments in 2009.

Ottawa and Ontario contributed $13.7 billion to help bail out North American automakers GM and Chrysler more than three years ago and combined own about nine per cent of GM's common shares.