Photo: Fiat Chrysler Automobiles
Fiat Chrysler Automobiles will invest $1.48 Billion in one of its facilities in North America, located in Michigan.
The Sterling Heights Assembly Plant will receive this massive investment in the form of a retooling so that it will make the next generation of the Ram 1500 pickup truck.
Currently, the facility builds the Chrysler 200, but the model will be discontinued, and FCA has decided to shift its Ram 1500 production from Warren to Sterling Heights as part of a bold investment plan.
Fiat Chrysler Automobiles is not at its first investment announced in recent weeks, as the automaker has pledged to improve some of the facilities it operates in Ohio and Illinois. According to FCA, their total investment in the USA has risen to $8.3 billion since June 2009, and nearly 25,000 jobs were created in the process.
In the case of the Sterling Heights plant, FCA previously announced it would discontinue the Chrysler 200, so employees were wondering what the future will bring for them, in spite of the fact the automaker disclosed plans of a production shift towards Sterling Heights. The last Chrysler 200 is set to leave the Sterling Heights Assembly facility at the end of December 2016.
Once the last 200 leaves the production line, FCA will have its employees and contractors prepare the transformation of the factory to suit the Ram 1500. Today’s announcement brings the size of the investment, as well as the timeframe in which it will be operated.
FCA has underlined the fact that the production action is subject to the formal approval of state and local entity incentives. The decision was announced today, after the Michigan Strategic Fund board has approved a tax break valued at $11.38 million over a 15-year period.
Fiat Chrysler Automobiles will announce its plans for the Warren Truck Assembly Plant, also located in Michigan, at a later date. The factory currently builds the Ram 1500, but it is expected to receive a different model.
Currently, the facility builds the Chrysler 200, but the model will be discontinued, and FCA has decided to shift its Ram 1500 production from Warren to Sterling Heights as part of a bold investment plan.
Fiat Chrysler Automobiles is not at its first investment announced in recent weeks, as the automaker has pledged to improve some of the facilities it operates in Ohio and Illinois. According to FCA, their total investment in the USA has risen to $8.3 billion since June 2009, and nearly 25,000 jobs were created in the process.
In the case of the Sterling Heights plant, FCA previously announced it would discontinue the Chrysler 200, so employees were wondering what the future will bring for them, in spite of the fact the automaker disclosed plans of a production shift towards Sterling Heights. The last Chrysler 200 is set to leave the Sterling Heights Assembly facility at the end of December 2016.
Once the last 200 leaves the production line, FCA will have its employees and contractors prepare the transformation of the factory to suit the Ram 1500. Today’s announcement brings the size of the investment, as well as the timeframe in which it will be operated.
FCA has underlined the fact that the production action is subject to the formal approval of state and local entity incentives. The decision was announced today, after the Michigan Strategic Fund board has approved a tax break valued at $11.38 million over a 15-year period.
Fiat Chrysler Automobiles will announce its plans for the Warren Truck Assembly Plant, also located in Michigan, at a later date. The factory currently builds the Ram 1500, but it is expected to receive a different model.
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