Fiat Chrysler Automobiles plans to spend $1.49 billion to retool its Sterling Heights Assembly Plant, near Detroit, so it can build the next-generation Ram 1500 pickup truck there after it stops producing the Chrysler 200.
The investment plans were disclosed Tuesday in Lansing, Mich., when the Michigan Strategic Fund board approved a tax break valued at $11.38 million over a 15-year period to help secure the automaker's commitment, USA Today reports. The board unanimously approved the request after about a 15 minutes discussion.
The automaker's decision to move the Ram to the Sterling Heights plant likely secures its future and thousands of jobs there for years to come. Fiat Chrysler could have moved production to any number of locations in North America.
“This one is going to be an incredible investment,” said Mark Hackel, Macomb County, Mich., executive, who noted that the plant was on Fiat Chrysler's closure list back in 2009 when the automaker was going through Chapter 11 bankruptcy.