Stellantis announces $155 million investment in three Indiana plants to support North American electric vehicle (EV) goals

Stellantis, a global mobility player with 14 brands including Vauxhall, Peugeot, Fiat, Citroën and Jeep, have announced today that it will invest a total of $155 million in three Kokomo, Indiana, plants to produce new electric drive modules (EDM). 

These will help power future electric vehicles (EVs) assembled in North America and support the company’s goal of 50 per cent battery electric sales in the US by 2030. This will start with the first fully electric Ram vehicles from 2023 and Jeep from 2024.

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With more than 25 battery electric vehicle (BEV) launches planned in the US between now and 2030, the Kokomo-built EDM will be integrated into vehicles designed on the STLA Large and STLA Frame platforms. 

Offering an all-in-one solution for electric vehicle powertrains, the EDM consists of three main components; the electric motor, power electronics and transmission, that are combined into a single module to deliver improved performance and range at a competitive cost. The optimised efficiency of the new EDM will help each platform achieve a driving range of up to 500 miles (800km).

Carlos Tavares, Stellantis CEO, said: “While we continue our successful transition to a decarbonised future in our European operations, we are now setting those same foundational elements for the North American market.

“By combining the benefits of the EDM with our new BEV-centric platforms and innovative battery technologies, we will offer our customers a variety of electric vehicles with unparalleled performance and range at more affordable prices. And with our in-house manufacturing capabilities and expertise, we will do it with greater flexibility and efficiency.”

Investments will be made at the Indiana Transmission, Kokomo Transmission and Kokomo Casting plants. The gearbox cover will be cast at Kokomo Casting and machined at Kokomo Transmission. Gear machining and final assembly will be at the Indiana Transmission Plant. Production is expected to start in the third quarter of 2024, following retooling. With the investment, more than 265 jobs will be retained across all three plants.

Mark Stewart, Stellantis North America COO, said: “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.

“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.”

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 gigafactory joint venture with Samsung SDI.

All of these investments support Stellantis’ ambition to achieve carbon net zero by 2038, as set out in its Dare Forward 2030 strategic plan.

Ian Osborne
Ian Osborne
Editor-in-Chief at ElectricDrives

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