Idled Kokomo plant to get new life as engine plant

Fiat Chrysler Automobiles announced Thursday they will invest $400 million to re-purpose an idled transmission plant to build engines, specifically the GMET4 engine used in the Jeep Wrangler and Jeep Cherokee.

KOKOMO, Ind. (WTHR) - Fiat Chrysler Automobiles announced Thursday they will invest $400 million to repurpose an idled transmission plant to build engines, specifically the GMET4 engine used in the Jeep Wrangler and Jeep Cherokee.

FCA said it will retain roughly 1,000 workers who worked at the FCA plant and add 200 more. UAW officials said the jobs average about $25,000 a year with full benefits.

"Thank you for those investments in our people not just at the plant, where it's so critically important you're getting the best and the brightest, but also their families, it extends beyond their families, it extends well beyond the plant and boundaries," Governor Eric Holcomb said.

"Because of the UAW contract, because we have difficult discussions across the table, these are good union jobs where you can raise a family, maybe not buy that vehicle, but get pretty darn close," said Cindy Estrada with the United Auto Workers.

The facility, which will be renamed the Kokomo Engine Plant, will be the source of all North American production of the GMET4 engine, which is currently built in Termoli, Italy.

The plant is expected to begin production by early summer 2021.