Stellantis has announced a $13 billion investment in the United States over the next four years to expand its manufacturing capacity, with the aim of boosting U.S. vehicle production by 50% and creating over 5,000 new jobs. The world’s fourth-largest carmaker plans to introduce five new vehicles, including a Dodge Durango to be manufactured in Detroit and a midsize truck in Toledo, Ohio. The additional positions will be distributed among plants in Illinois, Ohio, Michigan, and Indiana.
The investment is part of Stellantis’ efforts to offset the impact of 1.5 billion euros in tariffs on cars from Canada and Mexico by enhancing North American profitability through new model releases like the discontinued Jeep Cherokee. The company also revealed plans for 19 refreshed products and updated powertrains across all U.S. assembly plants through 2029.
CEO Antonio Filosa stated, “This investment in the U.S., the largest in our company’s history, will drive our growth, reinforce our manufacturing network, and bring more American jobs to our communities.” The move comes amid challenges in the Canadian auto industry due to U.S. tariffs, which aim to increase domestic vehicle production.
Stellantis currently operates 34 manufacturing plants, parts distribution centers, and research and development sites across 14 states in the U.S. In Canada, the company has plants in Windsor and Brampton, Ontario, along with a casting facility in Toronto. Of the 16 million cars produced by Stellantis for the U.S. market, 8 million are manufactured domestically, with an additional four million from Canada and Mexico, all containing a significant proportion of U.S. components.
To further its U.S. revival, Stellantis is reintroducing models that were previously discontinued, such as the Jeep Cherokee and the Dodge Charger, catering to dealer and customer demand. Despite reporting losses of 2.3 billion euros in the first half of the year, the company is optimistic about its future plans. However, shares in Stellantis experienced a decline in after-hours trading following a 4.8% drop in regular trading on Tuesday.