US: FCA to shift Ram 1500 production to Sterling Heights image

Fiat Chrysler CEO Sergio Marchionne finally confirmed that the automaker would move the output of the Ram pickup from the Warren plant to the Sterling Heights facility.

After announcing several times in recent months FCA’s intentions to make some major output shifts and to focus on the more profitable SUVs and trucks models in the future, CEO Sergio Marchionne confirmed this week that the next generation of the Ram 1500 pickup would be build starting from 2018 at the automaker’s Sterling Heights Assembly Plant. He also said that the Warren Truck Assembly Plant would eventually make the Jeep Wagoneer and the Jeep Grand Wagoneer, while some new model aimed to replace the Jeep Compass and Patriot would be built in Toluca, Mexico, starting the second half of this year. These moves are made evidently to support the increasing demand in high-margin segments. “We ran the exercise with the view of not losing one unit of sales in Ram and one unit of sales in Jeep,” Marchionne said.

FCA said back in January that it would eventually stop making the Chrysler 200, as well as the compact Dodge Dart, as the demand keeps plunging for smaller models, but it would look to outsource the production. Marchionne also confirmed now that talks with other automakers about building replacements for the Dart and 200 were ongoing. “It’s painful, and there’s a lot of intense activity going on right now. I think the next 18 months are crucial,” he added.

Via Automotive News