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Fiat Chrysler To Open New Assembly Plant In Detroit

December 06, 2018 - 4:53 pm

DETROIT (WWJ) - Fiat Chrysler is planning on opening a new assembly plant in Detroit at the home of an idled engine plant. 

The Auburn Hills-based auto company is expected to retool the closed part of the Mack Avenue Engine II plant into a smaller assembly plant that would build the three-row Jeep Grand Cherokee. Jefferson North, which makes the current Grand Cherokee, can't do it - they are already running at 130 percent capacity says WWJ Auto Beat reporter Jeff Gilbert. 

"The group would like even more ... SUV volume for the Jeep brand. That all comes into play here when you look at the need for additional capacity and room," says LMC Automotive's Jeff Schuster. 

"We're looking for capacity volumes that are going to be likely below the 100,000 unit level and probably below 50 (50,000) so it's still going to be a relatively small operation but it's something that could expand in the future if needed." 

Any new hiring would likely be in the hundreds due to the smaller size of the plant. 

"It is a continuation of that SUV story, which we are looking at all sizes, price points, and shapes and configurations. That's what consumers want now and that's certainly what FCA is going to give them," said Schuster.   

Chrysler has not officially confirmed the move. 

Earlier in the day, Fiat Chrysler Automobiles announced it's tapping executives from Amazon and Shell Oil Company with previous automotive industry experience to fill its ranks.