Stellantis announces $13 billion U.S. investment plan

DETROIT — Stellantis, the parent company of Chrysler, Jeep and other auto brands, plans to invest $13 billion in U.S. manufacturing operations over the next four years, as the company executes a domestic turnaround under CEO Antonio Filosa.

The trans-Atlantic automaker on Tuesday said the investments will add more than 5,000 jobs to its domestic workforce and increase domestic production by 50%. The plans include bringing new vehicles to plants in Michigan, Illinois, Indiana and Ohio through 2029.

U.S.-listed shares of Stellantis rose more than 5% in after-hours trading Tuesday. The company’s stock is off 24% this year.

The announcement comes amid President Donald Trump’s efforts to create more manufacturing jobs in the U.S. through the use of aggressive tariffs, especially for the automotive industry. The company said the plans expand those Stellantis Chair John Elkann detailed to Trump in January.

“Since day one, me and the team set out a clear priority that was to grow in the largest market that we operate, which is the U.S.,” Filosa, who led the company’s North American operations before starting as CEO on June 23, told CNBC on Tuesday. “We know what we need to do to grow this market.”

The company’s U.S. sales peaked in 2018, when it was known as Fiat Chrysler, at more than 2.2 million vehicles. Sales last year were down 42% since then as the company and its former CEO Carlos Tavares, who was ousted late last year, focused on profits over volumes.

Stellantis’ new vehicles under the investments include a midsize truck for a plant in Toledo, Ohio; two new Jeep vehicles for a shuttered facility in Belvidere, Illinois; and a next-generation version of the Dodge Durango SUV and “an all-new range-extended EV and internal combustion engine large SUV” at plants in Michigan.

Other investments include research and development and supplier costs to execute the company’s new product strategy, as well as additional investments in the company’s U.S. powertrain hub in Kokomo, Indiana.

Filosa said the investment decisions were a result of discussions with the company’s new leadership team as well as stakeholders such as the company’s franchised dealer network. He downplayed tariffs as a main driver for the decisions, saying automakers need to make long-term plans.

It’s not immediately clear how many of the investments and jobs are new or how many have been previously announced as part of the company’s 2023 contract with the United Auto Workers union that included $18.9 billion in new investments by April 2028.

But there are some differences. For example, a midsize truck was previously planned for Stellantis’ Belvidere Assembly plant in Illinois through a $1.5 billion investment. That vehicle, or a different midsize truck, is now expected to be added to the company’s plant in Toledo through a $400 million investment.

The investments cover most of the company’s main U.S. manufacturing plants. Stellantis’ U.S. footprint includes 34 manufacturing facilities, parts distribution centers and research and development locations across 14 states. The operations employ more than 48,000 people, according to the company.