FCA Growing Michigan Production Plants for New Jeeps

Fiat Chrysler Automobiles is investing $4.5 billion to build a new plant in Detroit and expand five plants throughout Michigan to produce new Jeep models and meet the demand for existing Jeep and Ram vehicles. The new Jeep models produced will be the Wagoneer and Grand Wagoneer, plug-in hybrid models and next-generation Grand Cherokee.

More and more people are driving SUVs and trucks instead of sedans. FCA has recognized that so they and stopped making compact cars and started revamping their plants in Illinois, Ohio and Michigan in 2016. Those plants are now producing the all-new Jeep Wrangler, all-new Ram 1500 and will soon be producing the 2020 Jeep Gladiator pickup. The Gladiator was first announced in 2017 along with the Wagoneer and Grand Wagoneer as part of a $1 billion investment in manufacturing as well as the creation of 2,000 new jobs.

Jeep does not currently produce a three-row SUV or any hybrid models, so this investment will allow them to produce the Wagoneer, Grand Wagoner and their hybrid counterparts. Production on those vehicles is expected to begin in early 2021.

FCA CEO Mike Manley made the announcement Tuesday, Feb. 26 about the upcoming expansion.

“Three years ago, FCA set a course to grow our profitability based on the strength of the Jeep and Ram brands by realigning our U.S. manufacturing operations,” Manley said in a statement. “Today’s announcement represents the next step in that strategy. It allows Jeep to enter two white space segments that offer significant margin opportunities and will enable new electrified Jeep products, including at least four plug-in hybrid vehicles and the flexibility to produce fully battery-electric vehicles.