Stellantis Invests $406 Million In Three Michigan Plants To Drive EV Innovation

News

Stellantis Invests $406 Million In Three Michigan Plants To Drive EV Innovation

Major Funding Will Support Production Of Ram 1500 REV, Ram 1500 Ramcharger, And Future Jeep Wagoneer Models

2 min read

By Michael Phoon • September 11, 2024

The body and chassis of a Ram 1500 officially join together for the remainder of the assembly process at the decking station in Stellantis’ Sterling Heights, Michigan plant. (Image: Stellantis)

Stellantis has announced a substantial investment of over $406 million across three Michigan plants to transform the company’s manufacturing capabilities and position it at the forefront of the electric vehicle (EV) industry.

Investments Across Three Plants

According to Stellantis, the investment is strategically distributed among three key plants:

Sterling Heights Assembly Plant (SHAP): Receiving the lion’s share at $235.5 million, SHAP is slated to become Stellantis’ first U.S. plant to produce fully EVs. The plant will manufacture the Ram 1500 REV, the company’s first battery-electric light-duty pickup truck, alongside the range-extended 2025 Ram 1500 Ramcharger. Notably, these electric models will be built on the same production line as the gasoline-powered Ram 1500, showcasing Stellantis’ goal to manufacturing flexibility.
Warren Truck Assembly Plant (WTAP): An investment of $97.6 million will prepare WTAP for the production of future electrified Jeep Wagoneer models. This move aligns with Jeep’s plan to launch four EVs globally by the end of 2025.
Dundee Engine Plant (DEP): Over $73 million will be allocated to DEP for battery tray production and beam machining, supporting Stellantis’ STLA Frame and STLA Large architectures. These components are crucial for future EV production while maintaining the plant’s capability for gas engine assembly.

Innovative EV Lineup

Ram 1500 REV (Image: Stellantis)

The investment will support the production of these EVs including the Ram 1500 REV, which is built on the new STLA Frame architecture. This model promises an exceptional range of up to 500 miles when equipped with the optional 229 kWh battery pack.

In addition, the 2025 Ram 1500 Ramcharger is set to be a powerful range-extended EV, offering 663 horsepower and an impressive towing capacity of 14,000 lbs.

Looking ahead, electrified Jeep Wagoneer models are also in the pipeline, though specific details about these future offerings have yet to be fully disclosed.

Alignment with “Dare Forward 2030”

This significant investment aligns with Stellantis’ overarching “Dare Forward 2030” strategy, a comprehensive plan that outlines the company’s goal to electrification and sustainability over the next decade.

As part of this strategy, Stellantis plans to invest more than €50 billion (around $55 billion) in electrification initiatives. A key goal is to achieve 100% battery-electric vehicle (BEV) sales for passenger cars in Europe and 50% BEV sales for passenger cars and light-duty trucks in the United States (U.S.) by 2030.

In addition, Stellantis aims to secure around 400 GWh of battery capacity from production plants located in North America and Europe. The company’s long-term vision also includes achieving carbon neutrality by 2038.

Stellantis CEO Carlos Tavares emphasized the significance of this investment stating, “Gearing up to build our first-ever Ram electric truck and the range-extended version in Michigan is a meaningful moment of pride for our teams. With these investments supporting both Jeep and Ram, we’re adding innovations to our Michigan manufacturing footprint to support a multi-energy approach that is laser-focused on customer demand.”

As Stellantis embarks on this EV transformation, the company is positioning itself to meet the evolving demands of the automotive landscape. By maintaining a multi-energy approach, Stellantis aims to balance serving buyers who prefer traditional gas-powered vehicles and the transition to electrification while ensuring its long-term competitiveness in a rapidly changing EV market.

Want to learn more about EV? Thinking of buying an EV? Head over to EV.com and discover more.

About EV.com

EV.com is the world’s 1st Electric Vehicle (EV) marketplace that aims to promote zero-emission mobility by providing a platform for consumers to learn about, compare, and purchase EVs.