Steel Markets
FCA US Plans $1 Billion Investment in Michigan and Ohio
Written by Sandy Williams
January 10, 2017
Another major automaker says it will invest in U.S. facilities and add jobs to the industry. Fiat Chrysler Automobiles US said on Sunday that it will invest $1 billion at plants in Michigan and Ohio to produce new Jeep vehicles in a plan that was originated long before the presidential election.
The investment is the final phase of FCA’s industrialization plan to full utilize available capacity in response to market demand for SUVs and will expand the Jeep and Ram brands. It is also a significant part of the contract FCA negotiated with the UAW in 2015.
The Warren Truck Assembly Plant in Michigan will be retooled and modernized to produce the new Jeep Wagoneer and Grand Wagoneer. The Toledo Assembly Complex in Ohio will be upgraded to build an all-new Jeep pickup truck.
Completion of the projects is expected by 2020 and will require an additional 2000 jobs to be added to support the production of the new models. Warren will also have the capability to produce the Ram heavy duty truck, currently produced in Mexico.
“The conversion of our industrial footprint completes this stage of our transformation as we respond to the shift in consumer tastes to trucks and SUVs, and as we continue to reinforce the U.S. as a global manufacturing hub for those vehicles at the heart of the SUV and truck market,” said CEO Sergio Marchionne in a statement. “These moves, which have been under discussion with Dennis Williams and the rest of the UAW leadership for some time, expand our capacity in these 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.”
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
HVAC equipment shipments slow in December but strong annually
Shipments of heating and cooling equipment in the US fell to an 11-month low in December, according to the latest data released by the Air-Conditioning, Heating, and Refrigeration Institute (AHRI).
Apparent steel supply rebounds in December, but 2024 total at 4-year low
Apparent US steel supply rebounded in December, but 2024 was still the lowest level for supply since 2020.
Trump officially orders sweeping 25% tariff on steel, aluminum
The new version of Section 232 goes into effect on 12:01 am ET on March 12, according to the executive order. The latest iteration of Section 232 removed quotas, exemptions, and other carve outs that had accumulated over years.
Tampa Steel Conference: Two weeks to go!
With just two weeks to go, we have over 400 registered so far for the 36th annual Tampa Steel Conference. Join us and hundreds of industry executives at the JW Marriott Tampa Water Street from Sunday, February 2, through Tuesday, February 4.
Galvanized buyers see glimmers of optimism amidst the chaos
Reflecting on 2024 and looking ahead to the new year, galvanized steel buyers on this month’s HARDI call expressed a mix of cautious optimism with lingering uncertainties.