New York: In a landmark move, Stellantis N.V., one of the world’s leading automakers, has announced a $13 billion investment plan in the United States, marking the largest expenditure in the company’s 100-year history. The ambitious initiative is designed to strengthen Stellantis’ U.S. operations, increase local manufacturing, and mitigate the financial strain caused by existing trade tariffs.
The investment plan focuses on expanding production capacity and introducing new vehicle models tailored to the North American market. Stellantis plans to roll out five new models, including a midsize truck in Toledo, Ohio, and a large SUV alongside the next-generation Dodge Durango in Michigan. These additions are expected to enhance the company’s competitive edge amid intensifying market demands.
A major highlight of the plan is the reopening of the Belvidere, Illinois plant, which had been closed since 2023. Scheduled to resume operations in 2027, the facility will manufacture two new Jeep models, creating around 3,300 jobs and revitalizing the local economy. In addition, Stellantis will begin producing a new four-cylinder engine at its Kokomo, Indiana plant. Overall, the strategy is expected to generate over 5,000 jobs across Michigan, Illinois, Ohio, and Indiana.
The move comes in direct response to tariffs imposed during the Trump administration, which had heavily affected Stellantis’ U.S. sales. In 2024, more than 40% of the company’s 1.2 million vehicles sold in the U.S. were imported, largely from Mexico and Canada, and faced a 25% tariff, translating to an estimated $1.7 billion impact in 2025. Industry analysts interpret Stellantis’ shift toward local manufacturing as an essential strategy to navigate a challenging trade environment and safeguard profitability.
Investor sentiment has been largely positive following the announcement, with Stellantis shares surging by as much as 4.3%. Experts caution, however, that while this is a bold step, Stellantis’ valuation remains modest compared to competitors like Ford and General Motors. The announcement also coincides with a leadership transition, as Antonio Filosa, who became CEO in June 2025 following Carlos Tavares’ sudden resignation, spearheads the plan and emphasizes tariffs as a key business consideration.
Stellantis’ comprehensive investment underscores its commitment to innovation, local production, and long-term growth in the U.S. market. By addressing tariff challenges and expanding its manufacturing footprint, the company aims to solidify its position in a rapidly evolving automotive landscape and reaffirm its status as a resilient global player.