clear
Wednesday September 20th, 2017 8:55AM

Fiat Chrysler to build 3 new Jeeps, create 2,000 jobs in US

By The Associated Press
Related Articles
  Contact Editor

DETROIT (AP) — Fiat Chrysler will add three new Jeeps to its lineup including a pickup truck as it invests $1 billion in two U.S. factories, furthering its effort to increase production of hot-selling SUVs and pickup trucks and get out of producing small and midsize cars. The expansion will create 2,000 new jobs.

The Italian-American automaker said Sunday it will modernize a factory in the Detroit suburb of Warren, Michigan, to make the new Jeep Wagoneer and Grand Wagoneer large SUVs. A factory complex just south of there in Toledo, Ohio, also will get new equipment to make the new pickup. The company wouldn't provide details of the new products, but said the factory work would be done in 2020.

Consumers worldwide have gravitated toward SUVs and trucks while turning away from passenger cars. Last year in the U.S., car sales fell 7 percent while truck and SUV sales rose 8 percent.

Last year, FCA announced plans to stop production of the slow-selling Dodge Dart and Chrysler 200. Factories that make those products in Sterling Heights, Michigan, and Belvidere, Ill., will get new trucks and SUVs as FCA searches for an automaker that would build small cars under contract.

The factory upgrade in Warren also would allow the plant to make heavy-duty Ram pickups that now are produced in Saltillo, Mexico. But FCA would not say if it has plans to shift production to the north.

Producing vehicles in Mexico and shipping them to the U.S. has become a thorny political issue with the election of Donald Trump as president. Trump has criticized Ford, General Motors and Toyota for building small cars in Mexico and shipping them across the border. He has threatened to impose a big border tax on the companies.

The factory moves expand FCA's capacity to build vehicles in key segments "enabling us to meet growing demand here in the U.S., but more importantly to increase exports of our mid-size and larger vehicles to international markets," CEO Sergio Marchionne said in a statement. Marchionne added that those markets "have historically been denied product due to (factory) capacity constraints."

The new Jeep pickup, which could be a version of the Wrangler SUV, would be the company's first pickup since the mid-1990s.

The moves cap a series of factory changes that FCA announced starting in July, when the company said it would sink $1.5 billion into the Sterling Heights plant so it can be equipped to make Ram pickups. The 3,000-worker plant made the Chrysler 200 midsize car, but it closed as production ended last month.

The Warren plant will keep making Rams until Sterling Heights is updated, then it will close temporarily so it can be retooled to make the large SUVs. The company also said last summer that it would spend $1 billion to retool the Toledo factory for production of a new Jeep Wrangler. That plant's Jeep Cherokee will move to Belvidere, which stopped making the Dodge Dart compact car and Jeep Compass and Patriot small SUVs last year.

FCA said the investments are subject to negotiations and approval of tax incentives by local and state governments. The company would not say how much would be invested in each plant or how many new jobs would go to each.

  • Associated Categories: U.S. News, Business News, Local/State News, Associated Press (AP), AP Business, AP Business - Corporate News, Submitted News
© Copyright 2017 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
The Latest: Clerk just happy to have touched winning ticket
The 20-year-old Massachusetts store clerk who sold the winning $758.7 million Powerball ticket says she got excited just knowing she touched a ticket worth so much money
1:21AM ( 3 minutes ago )
Changes coming to US protected lands, but details unknown
Tribes, ranchers and conservationists know that none of the national monuments ordered reviewed by President Donald Trump will be eliminated, but the changes in store for the sprawling land and sea areas remain a mystery.
12:47AM ( 37 minutes ago )
More evacuations as Hurricane Harvey bears down on Texas
More evacuations as Hurricane Harvey bears down on Texas
10:52PM ( 2 hours ago )
U.S. News
Pace of US home sales in July reached lowest level of 2017
US home sales tumbled 1.3 percent in July as shortage of properties on market worsened.
5:28PM ( 7 hours ago )
Wells Fargo wants lawsuits tossed in favor of arbitration
A group of Wells Fargo customers who say they were victims of unfair overdraft practices want their claims heard in court, but the bank wants the disputes handled through arbitration
3:57PM ( 9 hours ago )
Greater Hall Chamber of Commerce visits Riverside Military Academy for first meeting of the year
Greater Hall Chamber of Commerce President Kit Dunlap joined Col. William Gallagher at Riverside Military Academy Thursday morning for a Pass and Review ceremony.
1:43PM ( 11 hours ago )
Business News
Hall County names Interim County Administrator
The Hall County Commission meeting Thursday was a time of expressing appreciation for a job-well-done as commissioners thanked County Administrator Randy Knighton for his service.
8:59PM ( 4 hours ago )
Watson draws praise from Saints after joint practice
When asked if Deshaun Watson looked like a rookie during joint practices with New Orleans, veteran Saints safety Kenny Vaccaro nodded affirmatively.
7:04PM ( 6 hours ago )
Harvey intensifies to hurricane, likely a major Texas storm
Tropical Storm Harvey intensified Thursday into a hurricane and forecasters said it would become a major hurricane to hit the middle Texas coastline
4:08PM ( 9 hours ago )
Local/State News
Flash, bang, and blood: Hiker tells harrowing lightning tale
There was no sign of danger before the white flash and loud bang of a lightning bolt threw an Austrian teacher to the ground as he hiked 9,000-feet up in the mountains of Northern California
1:18AM ( 6 minutes ago )
Thai court to issue arrest warrant after ex-PM doesn't show
Thailand's Supreme Court will issue an arrest warrant for former Prime Minister Yingluck Shinawatra after she failed to appear for a trial verdict in which she could face 10 years in prison
12:34AM ( 49 minutes ago )
Taylor Swift releases new song 'Look What You Made Me Do'
You can finally shake it off: Taylor Swift has released her new single
12:30AM ( 54 minutes ago )
Associated Press (AP)
California death penalty fight shifts to execution method
Supporters of capital punishment in California claimed victory after the state Supreme Court upheld a voter-approved measure to speed up death sentences, but they still have to clear a major obstacle before executions can resume.
11:49PM ( 1 hour ago )
Thai court to issue arrest warrant for ex-PM, delays verdict
Thailand's Supreme Court will issue an arrest warrant for former Prime Minister Yingluck Shinawatra after she failed to show up for a contentious trial verdict in which she could face a 10-year prison term
11:39PM ( 1 hour ago )
The Latest: Thai court to issue arrest warrant for former PM
Thailand's Supreme Court says it will issue an arrest warrant for former Prime Minister Yingluck Shinawatra after she failed to show up for a contentious trial in which she could face a 10-year prison term
11:15PM ( 2 hours ago )
AP Business
Amazon to cut prices on Whole Foods staples like eggs, beef
Amazon will close $13.7 billion Whole Foods buyout, plans price cuts on groceries
6:43PM ( 6 hours ago )
Up, down, back again: Stocks dip after meandering again
Stocks flipped between modest gains and losses Thursday trading, the latest meandering course for a market that's been pushed in many directions the last few weeks
5:01PM ( 8 hours ago )
Amazon to close on Whole Foods buyout Monday
Amazon will close $13.7 billion Whole Foods buyout, plans price cuts on groceries
2:45PM ( 10 hours ago )
AP Business - Corporate News
Site work begins for new Catholic church, school in Gainesville
Site work has begun on the west side of Gainesville where the Achdiocese of Atlanta plans to construct a Catholic church and school.
6:00AM ( 4 days ago )
Hall chamber's annual Healthcare Reform Seminar set for Aug. 31
The Greater Hall Chamber of Commerce’s 6th Annual Healthcare Reform Seminar is Thursday, August 31 from 8:00 am-11:30 am at the Brenau Downtown Center.
5:00AM ( 5 days ago )
Jarrard named liaison between UNG and state government
After working almost three years for Gov. Nathan Deal, Ben Jarrard is putting his political experience to work for the University of North Georgia.
11:00AM ( 6 days ago )
Submitted News
The Latest: Clerk just happy to have touched winning ticket
The 20-year-old Massachusetts store clerk who sold the winning $758.7 million Powerball ticket says she got excited just knowing she touched a ticket worth so much money
1:21AM ( 3 minutes ago )
Changes coming to US protected lands, but details unknown
Tribes, ranchers and conservationists know that none of the national monuments ordered reviewed by President Donald Trump will be eliminated, but the changes in store for the sprawling land and sea areas remain a mystery.
12:20AM ( 1 hour ago )
More evacuations as Hurricane Harvey bears down on Texas
More evacuations as Hurricane Harvey bears down on Texas
10:52PM ( 2 hours ago )
Hostage situation ends in Charleston after gunman shot
Hostage situation ends at Charleston, South Carolina, restaurant after police shoot and wound a gunman
10:20PM ( 3 hours ago )
Florida executes convicted double-murderer using new drug
Florida puts man to death with anesthetic never used before in a U.S. lethal injection, carrying out its first execution in more than 18 months on inmate convicted of two murders.
10:07PM ( 3 hours ago )