Stellantis Invests $229M In Indiana Plants To Prepare Hybrid-Optimized 8-Speed Auto

Stellantis announced that it will invest a total of $229 million in three of its plants in Kokomo, Indiana. The investment will help the automaker achieve its goal of low emissions vehicles accounting for 40 percent of its sales in the U.S. by 2030.

Thanks to the cash injection, Stellantis will retool its Kokomo Transmission, Kokomo Casting, and Indiana Transmission plants to produce the fourth generation of its eight-speed transmission. Able to be paired with combustion engines as well as mild-hybrid and plug-in hybrid power units, the transmission will go into Jeep, Ram, Chrysler, and Dodge vehicles.

“This investment and this transmission represent an important stepping stone in getting us to 2030 and further expanding our battery-electric offerings,” said Brad Clark, Stellantis’ head of powertrain operations. “This new eight-speed is the ‘multi-tool’ of transmissions. It is a versatile transmission that can be adapted for a variety of applications, allowing us the flexibility to adjust our production as consumer demand for electrified vehicles grows over the next decade.”

Read Also: FCA Converting Indiana Transmission Factory Into Engine Plant, Will Build 2.0L Turbo From 2021

The ability to produce this new transmission will allow Stellantis’ Kokomo plants to diversify their product portfolio. The move is an important follow-up to the company’s 2020 announcement that it would invest $400 million to convert its second transmission plant into an engine plant capable of producing the GMET4 engine. The 2.0-liter inline four-cylinder turbocharged engine is expected to launch next year and go into a large variety of vehicles around the world.

“As our industry continues to change, our focus must continue to be on our most valuable asset – our people,” said Clark. “This transmission program will bring new opportunities for our current workforce, as well as the manufacturing workforce of the future.”

Stellantis’ eight-speed transmission has made its way into numerous vehicles and, since being introduced in 2012, the second-generation unit has made its way into 5 million vehicles.