EVs take a backseat in Stellantis’ $13B US investment plan

Stellantis, the international automaker that owns Chrysler, Jeep and Ram, said it will invest $13 billion to boost its U.S. manufacturing over the next four years as part of a broader recovery plan led by its new CEO.

Five new vehicles will be developed and produced through 2029 as part of the investment in plants in Illinois, Ohio, Michigan and Indiana. The investment will also support production of a new four-cylinder engine and the reopening of the Belvidere assembly plant in Illinois, which will allow the automaker to expand production of the Jeep Cherokee and Jeep Compass for the US market. In total, more than 5,000 jobs will be created.

But unlike previous multibillion-dollar investment pledges, this one does not focus on electricity.

One of the five new vehicles will be an extended-range electric vehicle — a vehicle that combines a battery and gas generator for extra range — produced at the Warren Truck Assembly Plant in Michigan starting in 2028. The automaker also plans to produce a new large gas-powered SUV at the Warren plant.

Remaining products include the next-generation Dodge Durango that will be produced at the Detroit Assembly Complex in 2029, a new midsize truck that will be assembled at the Toledo Assembly Complex in Ohio, and a new four-cylinder engine called the GMET4 EVO that will enter production starting in 2026 at the Kokomo, Indiana, plant.

Antonio Velosa, Stellantis CEO and chief operating officer of North America, said the investment will drive the automaker’s growth, strengthen its manufacturing footprint, and “bring more American jobs to the states we call home.”

“Accelerating growth in the US has been a top priority since my first day,” Velosa said in a statement. “Success in America isn’t just good for Stellantis in the US – it makes us stronger everywhere.”

Stellantis scaled back its plans to electrify the US market last year. The automaker said in September that it would no longer include the electric Gladiator in its Jeep lineup while it reevaluates its product strategy. Earlier that month, the automaker said it had canceled plans to produce a full-size battery-electric pickup. However, Stellantis said it still plans to produce the extended-range Ram 1500 REV, formerly called the Ramcharger.