$1 billion investment by Fiat in Michigan and Ohio plants

Automotive - Mohit Shah - Jan 09,2017

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1 billion investment by fiat in michigan and ohio plants

 

On Sunday, the U.S. wing of automaker Fiat-Chrysler, FCA, declared to invest $1 billion in plants located in Ohio and Michigan; this effort will lead to 2000 new jobs.

The U.S. arm of Fiat-Chrysler, FCA, said that this step is basically the second phase of the plan which was made public a year ago.

This news has come days after Ford Motor Company decided to quit their plan for a facility in Mexico and instead invest in a plant based in Michigan.

FCA said that this action is an extension of the efforts already underway to increase production volume in the U.S. on “trucks and SUVs to match demand". It also added that the firm would work to solidify the U.S. as an international manufacturing hub.

These extended plans would directly lead to the outburst of jobs in the United States. It is estimated that with the investments in the Michigan and Ohio plants, around 2000 new jobs will turn up.

The company also announced that it would retool and renovate the Warren Truck Assembly Plant for the production of a new Jeep and Grand Wagoneers; while, the facility in Toledo would focus on the creation of a new Jeep pickup truck. These plans will be put in place by 2020, as confirmed by FCA.

However, Fiat marked it would still continue to manufacture at least one line, the Ram heavy-duty truck, in Mexico.

FCA cleared that, the addition benefits of the investments in Warren focuses that the plant will produce Ram heavy-duty truck, which is currently manufactured in Mexico.