UAW and Stellantis Forge $3 Billion Investment Deal for Electric and Midsize Trucks Production

The United Auto Workers (UAW) union has unveiled further details regarding its tentative agreement with automotive giant Stellantis. The agreement is packed with future product plans and a substantial $3 billion investment, promising to reshape the landscape of the American automotive industry.

The standout revelation is the resurrection of the Belvidere assembly plant, formerly idled but now set to receive a $1.5 billion infusion. This revitalized facility is poised to become a production hub for mid-size trucks in 2027. Among these trucks, industry insiders anticipate the arrival of a successor to the Ram Dakota. The plant’s annual production target is ambitious, aiming to roll out between 80,000 to 100,000 units.

The plan for the Belvidere facility is to operate with two shifts, a move that holds the potential to offset the 1,200 jobs lost when the plant was idled. The UAW underlined their commitment to preserving Belvidere, stating they “fought like hell” to secure product allocation for the plant.

Another significant beneficiary of this investment is the Toledo Assembly Complex, which is set to receive an equivalent $1.5 billion injection. This substantial capital injection will pave the way for the production of new and upgraded Jeep Wrangler and Gladiator plug-in hybrids, slated for release in 2025. Furthermore, the complex is gearing up for the next generation of the Wrangler, with plans for electric and range-extended variants set to commence in 2028.

While the document does not explicitly mention the Gladiator as part of the next-generation lineup, there are indications that production could potentially shift to the Belvidere Assembly plant. The concept of producing “Midsize Trucks” in plural suggests a logical move to consolidate both models at the same production site.

The Warren Truck Plant is also set to benefit from the agreement, receiving a $600 million investment. This infusion of funds will enable the production of facelifted versions of the Wagoneer and Grand Wagoneer models in 2025. These two iconic nameplates will be accompanied by range-extended variants in the same year, with fully electric models joining the lineup in 2027. Notably, the electric variants will be based on the STLA Frame platform, shared with the Ram 1500 REV. The introduction of electric versions in 2027 will coincide with a fresh facelift for the Wagoneer and Grand Wagoneer models.

This substantial investment package marks a significant step forward in the evolution of the American automotive industry, with new product offerings and electrification at the forefront of the UAW-Stellantis collaboration.

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