Huge changes are coming to Fiat Chrysler Automobiles especially with the automaker’s plans to merge with Peugeot Group (PSA) in the middle of labor negotiations with the United Automobile Workers. However, FCA claims the brands are still on track to build bigger and more profitable pickups from the Jeep and Ram lineup.
According to CEO Mike Manley, FCA is not slowing down on product plans and portfolio overhauls that are already in the works before the proposed merger was brought to the table.
The Jeep brand is in the process of converting its unused Mack Avenue Engine plant in Detroit to an assembly plant to make more models. The facility is undergoing a $1.6 billion overhaul expected to be completed in early 2020. By the fourth quarter of 2020, construction will begin on a new full-size three-row Jeep SUV that will go against the Cadillac Escalade, Ford Expedition, and Lincoln Navigator.
The said plant will also host the production of Jeep Grand Cherokee’s next generation slated for release at the first half of 2021.
The company is also aiming to produce plug-in hybrids in three of its Michigan plants (including the one on Mack Avenue) as well as fully electric Jeeps due in late 2021.
Manley also shared Jeep is looking to release no less than four plug-in hybrid vehicles with the flexibility to produce battery-electric vehicles. The company’s plans for the plug-in hybrids include the Renegade and Compass, as well as a Wrangler and three-row Jeeps with electric motors.
Also on track are plans to start building the next-generation Jeep Wagoner and Grand Wagoneer luxury SUVs. FCA is reportedly investing $1.5 billion to retool its truck plant in Warren, Michigan to accommodate its intensified SUV production in the first half of 2021, including electrified variants of the models.
The automaker is also continuing the production of the Ram 1500 Classic despite 14 weeks of downtime at the Warren plant. The Classic will serve as the company’s budget-friendly entry-level truck in addition to the current Ram 1500.
Big trucks and SUVs mainly cater to the North American market and are also least likely to be affected by the planned FCA-PSA merger.
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