The Dundee Engine Plant will be retooled to become the final assembly location for a new four-cylinder engine for two future hybrid-electric Stellantis models coming to North America, the company announced Monday.
The plant, which is southwest of Detroit, will see an investment of $83 million, with engine production slated to begin in early 2025, according to a news release.
The new 1.6-liter, inline-four cylinder turbocharged engine will be based on a current Stellantis engine in Europe and will have “flexibility” for hybrid-electric, or HEV, vehicle applications, the company said, noting that this will be the first HEV engine for the company in the region. Stellantis owns the Jeep, Ram, Chrysler, Dodge, Fiat, Alfa Romeo and Maserati brands.
“The Michigan plant will continue production of the 3.6-liter Pentastar Upgrade for the Jeep Grand Cherokee and Jeep Grand Cherokee L. The Tigershark 2.4-liter I-4 engine will build out in the first quarter of 2023,” the company said.
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The investment is not expected to have any impact on the number of full-time positions at the plant, according to company spokeswoman Jodi Tinson. As of June, Dundee had 987 workers (853 hourly and 134 salaried), according to the company.
The announcement for Dundee is the largest piece of a total $99 million investment announced Monday, which the company tied to its Dare Forward 2030 business plan. The release said the company would also invest more than $14 million at the Kokomo Casting Plant in Indiana to convert die cast machines and cells for the new engine and $2 million at Etobicoke Casting in Toronto for upgrades and new tooling so it can produce the engine’s new oil pans.
UAW President Ray Curry touted the announcement in a statement, saying that “when companies invest in UAW facilities, they are recognizing that UAW members add value to the company’s success.”
UAW Vice President Cindy Estrada, who lead the Stellantis Department for the union, called it great news.
“This investment in a new four-cylinder engine will add job security for the members who continue to build ICE products as the industry transitions to electrification. The hard work and dedication of the UAW Stellantis membership to build great products with world class quality has been recognized and rewarded today,” Estrada said in a statement, referencing the abbreviation for internal combustion engine.
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