Name of the Project
FCA production capacity expansion.

Location
Detroit, Michigan, in the US.

Project Owner/s
Fiat Chrysler Motors US.

Project Description
The project entails the construction of a new assembly plant and the expansion of five existing Michigan facilities. A total of $1.6-billion will be spent converting the Mack Avenue Engine Complex into the manufacturing site for the next-generation Jeep Grand Cherokee and the all-new three row full-size Jeep sports utility vehicle.

A total of $900-million will be invested in Jefferson North facility to retool and modernise the plant for the continued production of the Dodge Durango and next-generation Jeep Cherokee.

A total of $1.5-billion will be spent on the Warren Truck facility to retool the plant to produce the all-new Jeep Wagoneer and Grand Wagoneer, along with their electrified counterparts, as well as continue the assembly of the Ram 1500 classic. The Sterling and Warren stamping plants will receive more than $400-million in total investment to support additional production.

The Pentastar engine production facility currently at Mack I will be relocated to the Dundee engine plant.

Potential Job Creation
The Mack Avenue Engine Complex will create 3 850 new jobs, the Jefferson North and the Warren Truck facility will each create 1 400, while the Sterling stamping facility is expected to create 80 new jobs.

Capital Expenditure
$4.5-billion.

A total of $1.5-billion will be spent on Warren Truck 2017, $400-million will be spent on the Sterling and Warren stamping plants, and $119-million will be invested in relocating the Pentastar production facility.

Planned Start/End Date
Construction on the new Mack Avenue Engine Complex is expected to start by the end of the second quarter, with the first three-row vehicles expected to roll off the production line by the end of 2020, followed by the
Grand Cherokee in the first half of 2021.

Production from the Warren Truck facility is expected to start in early 2021.

Latest Developments
The project requires the acquisition of property critical to the execution of the Mack project. The additional investments are subject to the successful negotiation and approval of development packages with the state and other local governments.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Fiat Group Automobiles South Africa public relations manager Lesley Sutton, tel +27 10252 5068 or email Lesley.sutton@fcagroup.com.