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Chrysler, Michigan invest in plants

by David Zatz on

world engines

Chrysler issued the following statement:

Chrysler Group LLC would like to thank the Governor for her support of the Company’s commitment to the State of Michigan through a potential investment of $850 million in the Sterling Heights (Mich.) Assembly Plant and surrounding stamping plants, and $150 million in the GEMA (Dundee, Mich.) Plant.

Chrysler’s announcement in July that the Sterling Heights facility would remain open beyond 2012 was predicated on inducements received from both the State and the City.

Additionally, Chrysler is considering a further investment in its GEMA facility to expand capacity and prepare the plant for production of future engines pending incentives.

We value our partnerships with the State and local governments and look forward to working with them to finalize these commitments.

Two engine plants in Dundee, Michigan, are to build the existing four-cylinder engines and new Fiat 1.4 liter engines. Analysts believe the existing “World Gas Engines” are being retuned for the 2012 model year, with MultiAir and direct injection. Rumors have pegged horsepower at “over 200” on the top of the line four-cylinder, without a turbocharger (the engine has already been pushed to 280 hp with a turbocharger).

Sterling Heights currently makes the Chrysler 200 and Dodge Avenger, and could, as new midsized and compact cars are phased in, make a large range of different cars and crossovers.

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