Stellantis Invests $13 Billion to Revitalize Jeep and Dodge in the U.S. | Carscoops

Stellantis Invests $13 Billion to Revitalize Jeep and Dodge in the U.S. | Carscoops

      A variety of new products is on the way, including a mid-size truck and a large SUV.

      16 hours ago

      by Michael Gauthier

      Stellantis is pouring billions into the U.S. to introduce five new vehicles.

      The Belvidere Assembly will reopen to manufacture the Jeep Cherokee and Compass.

      A mid-size truck will be produced in Ohio, while the new Durango will come from Detroit.

      Stellantis has faced challenges in their North American operations, but they’re making efforts to rectify the issues left by Carlos Tavares. We’ve already started to see changes, such as Ram reintroducing the Hemi while discontinuing their fully electric pickup.

      The revival plan is gaining momentum as the automaker has announced a substantial $13 billion (£9.8 billion / €11.2 billion) investment in the U.S. Stellantis claims it's the "largest single investment in [the] company’s 100-year history, benefiting all U.S. assembly plants."

      The investment will facilitate the launch of five new vehicles in "key segments" and the production of a brand-new four-cylinder engine. Furthermore, this funding is expected to create over 5,000 new jobs at plants across Michigan, Ohio, Illinois, and Indiana.

      These new models will be additional to "19 refreshed products" planned for production at U.S. assembly facilities, along with "updated powertrains" scheduled for rollout by 2029.

      New Products And A Return To Belvidere

      The previously idled Belvidere Assembly Plant in Illinois will restart operations in 2027, producing the new Cherokee and Compass for the U.S. market. This move aims to sidestep tariff issues and is anticipated to generate around 3,300 jobs.

      Although Belvidere was initially set to manufacture a new mid-size truck, Stellantis has opted to transfer its production to Toledo, Ohio, which is logical as Toledo Assembly currently produces the Jeep Gladiator and Wrangler.

      The unnamed model, thought to be the successor to the Ram Dakota, is expected to debut in 2028. Adding it to the Toledo plant will create a new shift, resulting in approximately 900 positions.

      Michigan comes out ahead with several products on the way. The Warren Truck Plant will produce an entirely new large SUV featuring both an internal combustion engine and a range-extended powertrain.

      Production is slated to commence in 2028, with speculation that this could be the next-generation Jeep Grand Wagoneer or a variant of that model. This has yet to be confirmed, but Stellantis plans to invest nearly $100 million (£75 million / €86 million) in retooling, potentially adding over 900 new jobs.

      Meanwhile, in Detroit, Jefferson Assembly will manufacture the next-generation Dodge Durango, set to go into production in 2029, backed by a $130 million (£98 million / €112 million) investment.

      Lastly, Stellantis is channeling funds into Kokomo, Indiana to develop an all-new GMET4 EVO engine, which is expected to begin production next year and is labeled as a “strategic powertrain.”

Stellantis Invests $13 Billion to Revitalize Jeep and Dodge in the U.S. | Carscoops Stellantis Invests $13 Billion to Revitalize Jeep and Dodge in the U.S. | Carscoops Stellantis Invests $13 Billion to Revitalize Jeep and Dodge in the U.S. | Carscoops

Other articles

Subaru has hinted at a return of the STI with two new hatchback models. Subaru has hinted at a return of the STI with two new hatchback models. Subaru announced that the WRX STI will make a comeback in an electrified form. It will showcase two electrified performance concepts at the Japan Mobility Show. Subaru Hints at Two New STI Concepts, But Only One Seems Problematic | Carscoops Subaru Hints at Two New STI Concepts, But Only One Seems Problematic | Carscoops A duo of exciting new ideas introduced in Tokyo suggests a change in Subaru's performance approach. This Pontiac Trans Am Revival Delivers Greater Power Than a Bugatti Veyron | Carscoops This Pontiac Trans Am Revival Delivers Greater Power Than a Bugatti Veyron | Carscoops A Florida shop produced only 50 examples of the retro-inspired Camaro and is currently offering two of them for sale. TikTok Star Evaded Police for Over a Year Believing He Was Immune Following McLaren Incident | Carscoops TikTok Star Evaded Police for Over a Year Believing He Was Immune Following McLaren Incident | Carscoops HSTikkyTokky, who was involved in a McLaren crash, abandoned his injured companion and escaped from the UK, has now been apprehended. Recent data reveals that average transaction prices have reached an unprecedented level, largely due to robust sales of electric vehicles (EVs) and increased demand for luxury models, leaving more budget-conscious buyers out of the market. 

Last month, the average transaction price reached a record $50,080, reflecting a 3.6% increase compared to the previous year and crossing the $50,000 mark for the first time. This surge in prices is attributed to strong sales of EVs and luxury cars.

Kelly Blue Book (KBB) highlights that "new-vehicle prices have been steadily increasing for over a year, with the acceleration in recent months." The average transaction price increased by 2.1% from August and 3.6% from the same month last year.

Additionally, average manufacturer suggested retail prices (MSRPs) also set a new record at $52,183, marking a 4.2% rise compared to the previous year.

The surge in numbers may be partly due to a rush on tax credits for EVs, with KBB estimating that 11.6% of last month’s sales were electric vehicles, also a record. The average transaction price for an EV was $58,124.

It's anticipated that sales may decline following the removal of the clean vehicle tax credit, although automakers have started offering substantial incentives themselves.

KBB pointed out that automakers allocated 7.4% of average transaction prices toward incentives, approximately $3,700. This figure represents the highest percentage seen this year and has slightly increased from 7.2% in August, maintaining parity with the 7.3% rate from September 2024.

Tata, the owner of Jaguar Land Rover, reported the highest average transaction price at $102,096 last month, followed by Mercedes at $75,700 and BMW at $69,924. In contrast, Subaru had the lowest average transaction price at $36,092, just ahead of the Renault-Nissan-Mitsubishi Alliance, which recorded $36,547.

Erin Keating, executive analyst at Cox Automotive, remarked, “Prices tend to rise over time, and today’s market is a clear indication of that. While many affordable options exist, numerous price-sensitive buyers are opting to either stay inactive or explore the used-vehicle market.” 

Consequently, the market is being largely supported by wealthier households with access to capital and favorable loan rates, thereby sustaining the higher end of the market. Keating also mentioned that while tariffs are contributing to rising costs, the primary driver of September’s pricing trends was the favorable mix of EVs and luxury vehicles pushing the new-vehicle average transaction price to new heights. Recent data reveals that average transaction prices have reached an unprecedented level, largely due to robust sales of electric vehicles (EVs) and increased demand for luxury models, leaving more budget-conscious buyers out of the market. Last month, the average transaction price reached a record $50,080, reflecting a 3.6% increase compared to the previous year and crossing the $50,000 mark for the first time. This surge in prices is attributed to strong sales of EVs and luxury cars. Kelly Blue Book (KBB) highlights that "new-vehicle prices have been steadily increasing for over a year, with the acceleration in recent months." The average transaction price increased by 2.1% from August and 3.6% from the same month last year. Additionally, average manufacturer suggested retail prices (MSRPs) also set a new record at $52,183, marking a 4.2% rise compared to the previous year. The surge in numbers may be partly due to a rush on tax credits for EVs, with KBB estimating that 11.6% of last month’s sales were electric vehicles, also a record. The average transaction price for an EV was $58,124. It's anticipated that sales may decline following the removal of the clean vehicle tax credit, although automakers have started offering substantial incentives themselves. KBB pointed out that automakers allocated 7.4% of average transaction prices toward incentives, approximately $3,700. This figure represents the highest percentage seen this year and has slightly increased from 7.2% in August, maintaining parity with the 7.3% rate from September 2024. Tata, the owner of Jaguar Land Rover, reported the highest average transaction price at $102,096 last month, followed by Mercedes at $75,700 and BMW at $69,924. In contrast, Subaru had the lowest average transaction price at $36,092, just ahead of the Renault-Nissan-Mitsubishi Alliance, which recorded $36,547. Erin Keating, executive analyst at Cox Automotive, remarked, “Prices tend to rise over time, and today’s market is a clear indication of that. While many affordable options exist, numerous price-sensitive buyers are opting to either stay inactive or explore the used-vehicle market.” Consequently, the market is being largely supported by wealthier households with access to capital and favorable loan rates, thereby sustaining the higher end of the market. Keating also mentioned that while tariffs are contributing to rising costs, the primary driver of September’s pricing trends was the favorable mix of EVs and luxury vehicles pushing the new-vehicle average transaction price to new heights. A hands-free tailgate reportedly activated at an inopportune moment, resulting in serious injuries to one woman. New Car Prices Have Exceeded A Figure We Never Expected To Reach | Carscoops New Car Prices Have Exceeded A Figure We Never Expected To Reach | Carscoops Recent data indicates that average transaction prices have reached an all-time high, propelled by robust electric vehicle sales and strong demand for luxury items, which has sidelined more price-sensitive buyers.

Stellantis Invests $13 Billion to Revitalize Jeep and Dodge in the U.S. | Carscoops

A variety of new products will be released, featuring a mid-size truck and a large SUV.