Stellantis Investing $99M In North American Plants For Hybrid Engine Production

Stellantis will invest $99 million across three North American plants to prepare them for the production of a new 1.6-liter, four-cylinder engine. The investments will be made at the Dundee Engine Complex in Michigan, the Kokomo Casting Plant in Indiana, and the Etobicoke Casting Plant in Ontario, Canada.

The new 1.6-liter engine will be a turbocharged, inline-four-cylinder unit with direct fuel injection and the flexibility to also be used in hybrid-electric vehicle applications. Although Stellantis has not specified exactly what engine it is, it has said that a version of the engine is currently being used in Europe.

Stellantis currently uses the 1.6-liter “Prince” engine, which is hybrid-capable, in vehicles like the Peugeot 408 and 3008. The automaker has confirmed that, in North America, the engine will be used in two hybrid vehicles, though it has not specified which.

Read Also: Stellantis Invests $24.7 Million In Michigan Plant For An Upgraded Pentastar V6

The majority of the money being invested will go to the Dundee Engine plant in Michigan, which will be retooled and become the final assembly location for the new engine. Following its $83 million investment, it will continue to build the 3.6-liter Pentastar Upgrade engine for the Jeep Grand Cherokee and the Grand Cherokee L.

The Tigershark 2.4-liter inline-four, which powers vehicles like the Fiat 500X, the Jeep Renegade, and the Jeep Compass, will be phased out of production in early 2023.

The engine block, meanwhile, will be cast in Kokomo following a $14 million investment in order to convert existing die cast machines and cells for the new engine.

Finally, Etobicoke Casting in Toronto, Ontario, will receive $2 million to support the development and installation of new tooling and equipment to allow it to produce the oil pans for the new engine.

Following all of the above-noted investments and upgrades, production of the new engine will be able to start in early 2025, according to the automaker.