ShareThis Page
Fiat Chrysler to add 6,500 jobs in Detroit area with $4.5B investment | TribLIVE.com
U.S./World

Fiat Chrysler to add 6,500 jobs in Detroit area with $4.5B investment

Associated Press
804231_web1_ptr-fiatjobs-022719
AP
Fiat Chrysler on Tuesday announced a $4.5 billion investment plan it said would increase its workforce in Detroit and the surrounding suburbs by about 6,500 jobs to build all-new or next-generation SUVs.

DETROIT — Fiat Chrysler on Tuesday announced a $4.5 billion investment plan it said would increase its workforce in Detroit and the surrounding suburbs by about 6,500 jobs to build all-new or next-generation SUVs.

Under the plan, the company said it would reopen a shuttered engine plant in the city and convert another in the same complex into a future assembly plant for the Jeep Grand Cherokee and a new, three-row, full-size Jeep SUV and plug-in hybrid models for all.

The Motor City was once home to about a dozen massive auto production plants, but a rash of closures helped to push Detroit’s unemployment rate to a peak of around 25 percent in 1990. Unemployment was down to about 8 percent last fall.

The new Chrysler plant would be the first to be built in the city since 1991 and is expected to add 3,850 jobs. The company said in a news release that it would add another 1,100 new jobs at its Jefferson North Assembly plant, and roughly 1,500 new jobs at facilities in the neighboring suburb of Warren.

Officials say the SUVs remain in demand, with strong sales and growth potential both domestically and in some overseas markets, such as the Middle East. The company’s chief financial officer told investors in June that trucks and SUVs would account for 80 percent of revenue by 2022.

Fiat Chrysler said the additional investments are subject to tax incentive packages it’s working out with the city and state of Michigan. The automaker would need to acquire property for the project.

If those deals are approved, construction is expected to start later this year and the first new vehicles could be in production by the end of 2020.

The automaker’s injection of money and jobs into the Motor City contrasts sharply with news from rival General Motors Co., which announced plans to shutter its Detroit-Hamtramck plant next year and plans to close four others in the United States and Canada.

Categories: Business | News | Top Stories | World
TribLIVE commenting policy

You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.

We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.

While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.

We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers

We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.

We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.

We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.

We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.