One month after Chrysler announced it would invest $1 billion into a pair of Michigan plants, the car company has said it intends to put nearly that amount of money into its transmission plant in Kokomo, Indiana.
The $843 million will upgrade the plant to allow for production of an advanced front-wheel drive automatic transmission for future Chrysler vehicles and includes installation of equipment and special tooling for the transmission plants and a casting plant. More importantly, the money will allow the plant to retain around 2,250 jobs.
The Kokomo plant builds transmissions for vehicles like the Jeep Grand Cherokee, Jeep Liberty, Dodge Dakota, Ram pickup trucks, Dodge Nitro and Dodge Charger.
“For years, Kokomo has been at the center of our powertrain strategy and the potential of an additional investment reaffirms that position,” Chrysler Chief Executive Sergio Marchionne said about the investment.