Fiat Chrysler plans investment of $1 billion in Warren

By: Brian Louwers | Warren Weekly | Published January 12, 2018

 The new $1 billion Warren investment, still subject to the negotiation and final approval of state and local tax incentives, will prepare the plant on Mound Road, south of Nine Mile Road, to build the next-generation Ram Heavy Duty truck.

The new $1 billion Warren investment, still subject to the negotiation and final approval of state and local tax incentives, will prepare the plant on Mound Road, south of Nine Mile Road, to build the next-generation Ram Heavy Duty truck.

File photo by Brian Louwers

WARREN — Fiat Chrysler Automobiles will invest $1 billion to modernize its Warren Truck Assembly Plant, adding more than 2,500 new jobs ahead of a planned switch in Ram Heavy Duty truck production to Michigan from Mexico in 2020.

In an announcement Jan. 11, the automaker said the investment will solidify the U.S. “as the global manufacturing hub for Ram products.” The company also plans to offer special bonus payments to 60,000 FCA employees in the United States, moves it said were made possible in part by the passage of U.S. tax reform legislation late last year.

The planned investment comes on the heels of a $1 billion investment in 2017 at plants in Toledo and Warren to produce Jeep products, which created a total of more than 2,000 new jobs; and a $1.5 billion investment at the Sterling Heights Assembly Plant in 2016 to build the company’s next-generation Ram 1500 truck, where 700 new jobs will be added to support production.

“These announcements reflect our ongoing commitment to our U.S. manufacturing footprint and the dedicated employees who have contributed to FCA’s success,” FCA CEO Sergio Marchionne said.

The new $1 billion Warren investment, still subject to the negotiation and final approval of state and local tax incentives, will prepare the plant to build the next-generation Ram Heavy Duty truck, currently made in Saltillo, Mexico. A portion of the separate $1 billion investment, announced last year, will be used to expand FCA’s Jeep product line and prepare the Warren plant, on Mound Road south of Nine Mile Road, to build the Jeep Wagoneer and Grand Wagoneer.

Warren Mayor Jim Fouts hailed the investment as a huge win for the city.

“Bottom line: more jobs and more investment in our older section of the city,” Fouts said in a Facebook post Jan. 11. “That means additional businesses in the south Warren area, and that also means more jobs and more revenue for the city.”

 According to an FCA press release, the automaker has invested $10 billion in U.S. manufacturing operations since June 2009. The new investments, totaling $3.5 billion, will add 3,700 new jobs and involve production shifts at plants in Michigan, Illinois and Ohio.