Fiat Chrysler is planning to open a new assembly plant in Detroit, according to reports. For a struggling Detroit, this will be the first new auto assembly line in 27 years, according to the Detroit News.
The company plans to reopen a former engine plant, which has been shuttered since 2012, on the city's east side to make Jeep Grand Cherokee SUVs with three rows of seats starting with the 2021 model year, the Detroit News reported Thursday.
Sales of SUVs and pickups have been one of Fiat Chrysler's biggest areas of growth and kept it ahead of its US rivals.
The Mack Avenue Engine II facility is right across the street from FCA's Jefferson North assembly plant which is the current home of the Grand Cherokee and Dodge Durango. However, a source told Reuters the employment figures will be much higher.
President Donald Trump ripped GM for the cuts, which will include salaried workers and employees on factory floors.
Last week, Trump demanded GM add a new product at a plant in OH targeted for closure and later threatened to cut electric vehicle subsidies.
The company's plans for Detroit came as GM CEO Mary Barra testified on Capitol Hill about the closures, during which lawmakers asked her to keep the plants open.
Trump has repeatedly praised Fiat Chrysler for announcing it would shift truck production from Mexico to the United States. The person spoke on condition of anonymity because the plan has not been made public.