Restarting operations: Belvidere Assembly plant to resume production under Stellantis' decision

The automotive giant, Stellantis, has unveiled a multi-billion dollar investment plan aimed at bolstering its market share, increasing sales volume, and driving innovation in the U.S. market.

At the heart of this investment is the revitalisation of several key production facilities. Notably, Stellantis plans to invest in additional technologies for Jeep Wrangler and Jeep Gladiator production at its Toledo Assembly Complex in Ohio. Additionally, the next generation Dodge Durango SUV will be built at the Detroit Assembly Complex in Michigan.

In a move to strengthen its commitment to the U.S. auto industry, Stellantis will also invest in components critical to production at its Toledo Machining Plant. This investment is expected to secure the future of these facilities and the jobs they provide.

The UAW, United Auto Workers, has welcomed these plans, with UAW President Shawn Fain stating that the decision is a testament to the power of workers standing together and holding a billion-dollar corporation accountable. The UAW had threatened a national strike against Stellantis last August for failing to keep its product and investment commitments, including keeping the Belvidere Assembly plant open.

The Belvidere Assembly plant, which was idled as part of cost-cutting measures by Stellantis, will now be reopened. This decision follows a meeting between Stellantis Chairman John Elkann and President Donald Trump, and marks a significant turnaround for the company, which has struggled in recent years, particularly in 2024 when it saw a shrinking market share and declining sales in the U.S.

Stellantis has committed to reopening its Belvidere Assembly plant in Illinois in 2027 to build an all-new mid-size pickup truck. The reopening of the plant will return approximately 1,500 union-represented jobs.

In addition to the Belvidere plant, Stellantis plans to invest in its Kokomo, Indiana facilities to produce the GMET4 EVO engine for future models.

These developments come after a series of leadership changes at Stellantis, including the return of RAM CEO, Timothy Kuniskis, after his retirement in May 2024, and the appointment of Mark Stewart as the new North American COO in December 2023. Stewart, a Stellantis member, has advocated for collaboration with the UAW for vehicle manufacturing in the USA.

In July, Stellantis was awarded $335 million by the Department of Energy to convert the Belvidere facility for electric vehicle production, but these plans were put on hold. The company has not yet announced when these plans will be revisited.

The sudden resignation of former CEO Carlos Tavares occurred on Dec. 1, but Stellantis has not yet announced a replacement. Despite this, the company remains committed to its ambitious investment plans and the future of the U.S. auto industry.

Restarting operations: Belvidere Assembly plant to resume production under Stellantis' decision