Fiat Chrysler spends 4.5 Billion US Dollars in the Detroit Assembly Plant

Fiat Chrysler Automobiles has confirmed an investment of around 4.5 Billion US dollars for starting an assembly plant in Detroit. This would involve the creation of next-gen SUVs which would create around 6,500 jobs for local people.

The major expansion plant by the Fiat Chryslers would be the addition of a plant in Detroit; they will also increase the capacity of production at 5 already existing factories. The firm openly discussed the expansion of the production of their jeeps over the months in the past, as well as highlighting their tactics for the transition that the idle plant would be converted into a full-time working project. This would allow meeting the increasing demand for the jeeps.

This transformation would cost the firm around 1.6 Billion US Dollars, that would allow the Mack Avenue Engine Complex to turn into the assembly plant that they are looking for the production of next-gen jeeps as well as full-sized three-row SUVs. The plant would be an exemplary one ever since the year 1991, in addition to all this; it would also create over 3,850 jobs for the city.  The expectation of the firm is to add almost a thousand more jobs at Jefferson North assembly plant that they own, as well as over 1500 jobs around the Warren suburb.

The automaker also has additional plans for the addition of 2 brand new models of the Jeep, namely Wagoneer and Grand Wagoneer. This would open the doors to the diversification of the portfolio. Their expansion plans also include the production of plug-in hybrid as well as completely electric kinds of the jeep.

According to the CEO of the firm, Mr. Mike Manley: “Three years ago, FCA set a course to grow our profitability based on the strength of the Jeep and Ram brands by realigning our U.S. manufacturing operations,”

He further added: “Today’s announcement represents the next step in that strategy. It allows Jeep to enter two white PRESS RELEASE space segments that offer significant margin opportunities and will enable new electrified Jeep products, including at least four plug-in hybrid vehicles and the flexibility to produce fully battery electric vehicles.”