$155M Investment from Stellantis

$155M Investment from Stellantis

Stellantis announced it will invest $155 million in three Indiana facilities to help power future electric vehicles assembled in North America, growing the company’s total investments in Indiana to nearly $3.3 billion since 2020 to support its global electrification goals.

“Indiana has a strong tradition of advanced manufacturing – one that continues to innovate with smart technologies,” said Governor Eric J. Holcomb. “With transformative investments from leaders like Stellantis, it is clear that Hoosiers will be at the center of the global economy, developing future-focused products that power all the different modes of transportation forward.”

“There is no better business environment than Indiana to invest and build products of the future,” said Indiana Secretary of Commerce Brad Chambers. “Our state’s history in advanced manufacturing coupled with our talented workforce and focus on building a future-focused economy continues its unprecedented momentum with this latest investment. Industry innovators like Stellantis continue to choose Indiana for transformational projects because of our competitive business climate, manufacturing ecosystem and unparalleled infrastructure, in turn creating more opportunities for residents and communities across Indiana. We look forward to partnering with Stellantis to speed the global transition to electric vehicles and build the future of mobility right here in Indiana.”

Stellantis, which recently announced a gigafactory joint venture with Samsung SDI in Kokomo, will make strategic investments at Indiana Transmission, Kokomo Transmission and Kokomo Casting plants to add and localize production of its new electric drive module (EDM), which includes the electric motor, power electronics and transmission, to provide an all-in-one solution for electric vehicle powertrains. Following retooling, the gearbox will be cast at Kokomo Casting and machined at Kokomo Transmission while gear machining and final assembly will be at Indiana Transmission. Production is expected to start in the third quarter of 2024.

“With more than 7,000 employees in Indiana, these investments will leverage the core manufacturing competencies of the local workforce in the areas of casting, machining and assembly, all of which will be needed even as the market transitions to an electrified future,” said Mark Stewart, chief operating officer of Stellantis North America. “The city of Kokomo and the state of Indiana have been great partners for many years. This community will continue to play a central role in our efforts to provide safe, clean and affordable mobility solutions for our customers long into the future.”

The localization of the Kokomo-built EDM will allow Stellantis to produce electric vehicles that deliver improved performance and range at a competitive cost. The EDM will be integrated into Stellantis’ battery electric vehicles designed on the STLA Large and STLA Frame platforms, providing optimized efficiency to help each platform achieve driving range up to 500 miles. These investments will also retain more than 265 jobs across the three plants, supporting the ongoing transition and advancement of Indiana’s manufacturing workforce.

“This investment reflects the confidence that Stellantis has in our community and its workers,” said Kokomo Mayor Tyler Moore. “The bond between the company and our local workforce continues to strengthen every day. We are grateful Stellantis has placed Kokomo and Howard County at the forefront of the move towards electric vehicles.”

Since 2020, Stellantis has invested nearly $3.3 billion in Indiana to support its transition to electrification. This includes recent announcements of $643 million to produce a new engine for conventional and PHEV applications, a next generation eight-speed transmission and a joint venture gigafactory. These investments support Stellantis’ ambition to achieve 50% battery electric sales in the U.S. by 2030 and to achieve carbon net zero emissions by 2038 as set out in its Dare Forward 2030 strategic plan.

The Indiana Economic Development Corporation (IEDC) is working with Stellantis to finalize a performance-based incentive offer to support the company’s investment and job retention plans. The city of Kokomo will consider additional incentives.

Click to share!
Category Business Buzz