On Eve of Detroit show, FCA Announces $1B Investment

Adjust Comment Print

Fiat Chrysler said it would create 2,500 jobs at a factory in Warren, Michigan, near Detroit and invest $1 billion in the facility.

FCA also confirmed on Friday that the Warren Truck Assembly plant will build the new Wagoneer and Grand Wagoneer for Jeep.

Warren Truck now builds the latest Ram 1500 pickup, although production of next year's truck will move to Sterling Heights Assembly Plant, which is also in MI.

Fiat Chrysler plans to move production of Ram heavy duty pickup trucks to MI from Mexico in 2020, adding 2,500 U.S.jobs, the automaker said.

Those investments and related actions involved production shifts at three plants in Illinois, Ohio and MI to gain capacity for the Jeep Cherokee, Jeep Wrangler and Ram Light Duty truck, and the introduction of three new Jeep models at plants in Ohio and MI. Currently, the truck is made south of the border in Saltillo, Mexico.

It is proper that the company's employees are able to share in the tax reform savings and that we acknowledge openly and the improvement in the business environment in the U.S.by investing accordingly in our industrial footprint, said the automaker's CEO Sergio Marchionne through a press release. As per authentic sources, almost twenty-five hundred new jobs will be created by the firm in MI. It designs, manufactures, and sells or distributes vehicles under the Chrysler, Dodge, Jeep®, Ram, FIAT and Alfa Romeo brands, as well as the SRT performance designation.

"Manufacturing is back. Great announcement".

New data from Mexico's auto industry show the country exported 2.33 million vehicles to the U.S in 2017, an increase of 9.4 percent.

That made Fiat Chrysler the third-largest producer of vehicles in Mexico past year, after Nissan Motor Co and General Motors Co.

The United States and Canada are the principal markets for full-size heavy-duty pickup trucks, most of which are produced in the United States by FCA, GM, Ford Motor Co (F.N), Toyota Motor Corp (7203.T) and Nissan Motor Co (7201.T). Approximately 700 new jobs will be added to support production, FCA said. It has been claimed that the tax bill signed into law by the USA president in December 2017 has made it possible for the firm to perform two tasks - firstly, offering incentives to its employees, and secondly, focusing on job creation across the region.

During the campaign, Trump routinely bashed Ford for planning to open a new final assembly plant in Mexico. The automaker said the tax reform will also enable it to provide a $2,000 bonus to each member of its roughly 60,000-strong workforce in the U.S.