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Stellantis Will Restart Illinois Factory That U.A.W. Pushed to Revive

by Investor News Today
January 23, 2025
in Market Updates
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Stellantis Will Restart Illinois Factory That U.A.W. Pushed to Revive
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Stellantis, the corporate that owns Chrysler and Jeep, mentioned on Wednesday it deliberate to reopen a manufacturing unit in Illinois and enhance manufacturing elsewhere in the USA, a transfer that’s more likely to resolve a number of simmering disputes with the United Car Staff union.

The reopening can be doubtless to assist the corporate in its relations with the Trump administration, and is among the many first huge adjustments made by an interim administration workforce that has been working the corporate since its chief government, Carlos Tavares, resigned in December.

“These actions are a part of our dedication to put money into our U.S. operations to develop our auto manufacturing and manufacturing right here,” Antonio Filosa, the corporate’s chief working officer in North America, mentioned in a press release.

The announcement follows a current assembly between Stellantis’s chairman, John Elkann, and President Trump, the corporate mentioned. Mr. Elkann advised the president that Stellantis, whose headquarters are in Amsterdam, aimed to strengthen its U.S. manufacturing base and was dedicated to safeguarding American jobs and to the broader U.S. economic system.

Stellantis, which additionally owns Fiat, Dodge, Ram and Peugeot, idled the Illinois plant, in Belvidere, in early 2023. Later that 12 months, it agreed in a brand new contract with the U.A.W. to reopen it. In August 2024, the corporate mentioned it was delaying the reopening after its gross sales and revenue tumbled.

The U.A.W. responded by submitting grievances with the Nationwide Labor Relations Board, alleging that Stellantis was not abiding by the 2023 contract.

Stellantis mentioned on Wednesday that it deliberate to make a medium-size pickup truck in Belvedere, and that it might rehire some 1,500 union employees.

The corporate additionally mentioned it might transfer ahead with plans to supply a brand new Dodge Durango sport-utility car at a plant in Detroit. The U.A.W. had feared Stellantis was getting ready to maneuver manufacturing of the car to Mexico, and the union had filed grievances on that difficulty as properly.

“This victory is a testomony to the ability of employees standing collectively and holding a billion-dollar company accountable,” the U.A.W. president, Shawn Fain, mentioned in a press release on Wednesday. “We’ve proven that we are going to do what it takes to guard the great union jobs which are the lifeblood of locations like Belvidere, Detroit, Kokomo and past.”

The White Home press workplace didn’t instantly reply to a request for remark.

In its assertion, Stellantis additionally mentioned it might make investments in its crops in Toledo, Ohio, the place it makes the Jeep Wrangler and Gladiator fashions. Extra investments may also come to an engine plant in Kokomo, Ind., the corporate mentioned.



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