FCA is relocating production of its next-generation Ram Heavy Duty truck from a production location in Mexico to an assembly plant in MI, a facility that the automaker is investing more than $1 billion in to modernize as well as add 2,500 new jobs.
Photo of the Ram 3500 Laramie courtesy of FCA. That was a change from original plans to stretch the Jeep Grand Cherokee platform for the high-end Wagoneers.
To support the increased volume at the Warren facility, 2,500 new jobs will be created, above and beyond the jobs announced as part of the January 2017 announcement. At that time, FCA said it would spend $1 billion across two plants: Warren and Toledo where retooling is needed to make a new Jeep Wrangler pickup. The automaker will modernize the Warren plant and prepare it for Ram HD production. This created more than 300 new jobs.
The move also is in keeping with political fears about sourcing outside the U.S. The Warren investment will relocate heavy duty Ram production to Warren in 2020.
Farmers are big fans of heavy duty trucks, but many may not know those machines are built in Saltillo, Mexico, a manufacturing town just south of the border where other companies have plants, including John Deere. The company also announced bonuses for workers thanks to the new tax bill - $2,000 each to 60,000 employees.
"These announcements reflect our ongoing commitment to our US manufacturing footprint and the dedicated employees who have contributed to FCA's success", said CEO Sergio Marchionne in a statement.
FCA noted that the plant investment actions announced this week - the $1 billion for Warren Assembly - are subject to negotiation and final approval of incentives by state and local entities.