FCA Expanding Jeep Lineup, Adding Capacity

Fiat Chrysler Automobiles NV says it will spend $1 billion to prepare factories in Ohio and Michigan to make Jeep SUVs and an all-new Jeep pickup truck.

FCA will retool its truck factory in Warren, Mich., to revive the Jeep Wagoneer and Grand Wagoneer nameplates with all-new models. The company notes the upgrades also will enable the facility to build Ram heavy-duty pickup trucks, which currently are made in Mexico. FCA didn’t indicate when or if it plans to shift production of that model to the U.S.

The investment plan also will prepare FCA’s assembly complex in Toledo, Ohio, to make the long-rumored pickup truck.

Both plants will switch to their respective new models in 2020, adding a combined 2,000 jobs. CEO Sergio Marchionne notes that the two projects have been under discussion with the United Auto Workers union for many months.

He says the investments will finally give the company capacity to expand Jeep sales internationally, a key part of his growth strategy for the company's U.S. brands.