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HomeAutomobileStellantis Is Making A $13 Billion Bet On Itself And The U.S.

Stellantis Is Making A $13 Billion Bet On Itself And The U.S.

Stellantis Is Making A $13 Billion Bet On Itself And The U.S.

Stellantis is on the verge of a massive investment in the U.S.: $13 billion over the next four years. That money is set to go toward increasing stateside manufacturing output by 50%, supporting five new vehicles, and a new engine. It’s also supposed to add about 5,000 new manufacturing jobs in Illinois, Ohio, Michigan, and Indiana. 

The Transatlantic automaker is billing this as the largest investment in the company’s 100-year history. Stellantis says it plans to reopen an Illinois assembly plant in 2027, where it will build the new Jeep Compass and Cherokee. It has been offline since 2023. Both vehicles were previously slated to be built outside the U.S. It’s also going to start building Ram pickups in Toledo, Ohio, starting in 2028. Here’s what else the plan holds, from Automotive News:

The plan also calls for factory upgrades to prepare for a new large SUV in Warren, Mich., the next-generation Dodge Durango in Detroit and a new four-cylinder engine in Kokomo, Ind. The UAW previously had expressed concern that Durango production would leave the U.S.

[…]

Stellantis’ $13 billion total includes R&D spending and supplier costs. After Filosa became CEO in June, he set a “clear priority” for his team to grow the company in the U.S., where sales and profits had been declining.

[…]

The product launches announced Oct. 14 “will be in addition to a regular cadence of 19 refreshed products across all U.S. assembly plants and updated powertrains planned through 2029,” Stellantis said.

The company plans to invest $600 million to reopen the Belvidere Assembly Plant in Illinois to produce the Cherokee and Compass for the U.S., with one nameplate starting in 2027 and the other in 2028. This will create about 3,300 new jobs.

Both nameplates were previously made in Belvidere, with the Compass moving to Mexico in 2016 and the Cherokee being discontinued when the plant was idled in 2023.

When Belvidere reopens, Filosa said it will be the primary source of Cherokees and Compasses for the U.S. Stellantis no longer plans to make the redesigned Compass in Brampton, Ontario, after halting work to retool the Canadian plant in February.

This has some folks up north — especially the Canadian Unifor auto union — worried that jobs are going to be lost at the Brampton plant, former home of the 300C, but Filosa says that there are plans for the factory, and they will be shared “upon further discussions with the Canadian government.”

Oh, if you thought I was done laying out all of the planned expenditures, you’ve got another thing coming, buddy.

Nearly $400 million is going toward assembly of the new midsize pickup in Ohio, joining the Jeep Wrangler and Gladiator. Stellantis said it would add 900 jobs in Toledo to make the truck there, and it plans to continue with investments in Toledo that it announced previously.

In Michigan, the Warren Truck Assembly Plant will make a new SUV, available as either a range-extended electric vehicle or a gasoline-powered model, starting in 2028, Stellantis said. The project will cost nearly $100 million and add more than 900 jobs at the plant in suburban Detroit.

The company said it will invest $130 million to prepare the Detroit Assembly Complex – Jefferson plant for the next-generation Durango, reaffirming a commitment from January. Production is expected to launch in 2029.

Stellantis also confirmed a January announcement to make upgrades at several Kokomo, Ind., plants for a new four-cylinder engine to be made starting in 2026. The automaker said it will add more than 100 jobs and invest more than $100 million “to ensure that the U.S. will be the manufacturing home of this strategic powertrain.”

Listen, this all sounds very promising. It’s not like Stellantis was ever going to turn itself around if it didn’t spend big to get itself out of the hole it dug. However, it really needs to focus on the products it puts out now. It needs to build vehicles that people actually want to buy. If it can do that, $15 billion will be more than worth it. If it can’t, well, things could get very rocky.

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