IBJNews

Chrysler confirms state investment of $374 million

Back to TopCommentsE-mailPrintBookmark and Share

Chrysler Group LLC plans to invest a total $374 million and add 1,250 jobs in Kokomo and Tipton, the company confirmed Thursday.

The Auburn Hills, Mich.-based automaker, which employs more than 6,100 people in Indiana, intends to spend $212 million retooling equipment in two of its three transmission plants in Kokomo and its casting plant in the city, creating about 400 jobs.

Chrysler plans another $162 million investment in a never-used factory in Tipton County that will hire 850 people to produce nine-speed transmissions.

Thursday’s announcement confirms tentative expansion plans Chrysler unveiled in December, when it said it was considering the investment.

Chrysler will post the job openings on its website, www.chryslercareers.com.

The company, majority-owned by Fiat SpA, has pledged more than $1.6 billion to its Indiana operations since it emerged from bankruptcy in 2009.

Transmissions and other power train components have become a major focus for Chrysler as it looks to boost its vehicles’ fuel efficiency and grow its market share.

It finished 2012 with about 1.65 million U.S. sales, making up a little more than half the ground lost after sales plummeted to 931,000 in 2009 from more than 2 million in 2007.

The latest investment in Kokomo will add jobs to a city that saw unemployment surpass 20 percent in 2009.

Chrysler will occupy a factory that has led to multiple disappointments for Tipton. The 800,000-square-foot plant was built in 2008 by Chrysler and German transmission maker Getrag, but the partnership fell through before construction finished.

Loveland, Colo.-based Abound Solar received a U.S. Department of Energy loan guarantee in 2010 to expand into the facility. But the solar panel module manufacturer filed for bankruptcy in June.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. How much you wanna bet, that 70% of the jobs created there (after construction) are minimum wage? And Harvey is correct, the vast majority of residents in this project will drive to their jobs, and to think otherwise, is like Harvey says, a pipe dream. Someone working at a restaurant or retail store will not be able to afford living there. What ever happened to people who wanted to build buildings, paying for it themselves? Not a fan of these tax deals.

  2. Uh, no GeorgeP. The project is supposed to bring on 1,000 jobs and those people along with the people that will be living in the new residential will be driving to their jobs. The walkable stuff is a pipe dream. Besides, walkable is defined as having all daily necessities within 1/2 mile. That's not the case here. Never will be.

  3. Brad is on to something there. The merger of the Formula E and IndyCar Series would give IndyCar access to International markets and Formula E access the Indianapolis 500, not to mention some other events in the USA. Maybe after 2016 but before the new Dallara is rolled out for 2018. This give IndyCar two more seasons to run the DW12 and Formula E to get charged up, pun intended. Then shock the racing world, pun intended, but making the 101st Indianapolis 500 a stellar, groundbreaking event: The first all-electric Indy 500, and use that platform to promote the future of the sport.

  4. No, HarveyF, the exact opposite. Greater density and closeness to retail and everyday necessities reduces traffic. When one has to drive miles for necessities, all those cars are on the roads for many miles. When reasonable density is built, low rise in this case, in the middle of a thriving retail area, one has to drive far less, actually reducing the number of cars on the road.

  5. The Indy Star announced today the appointment of a new Beverage Reporter! So instead of insightful reports on Indy pro sports and Indiana college teams, you now get to read stories about the 432nd new brewery open or some obscure Hoosier winery winning a county fair blue ribbon. Yep, that's the coverage we Star readers crave. Not.

ADVERTISEMENT