The company will invest US$13 billion in the United States over the next four years, as the maker of Jeep sports utility vehicles and Ram pickup trucks seeks to revitalize its business in the American market and reduce the impact of tariffs.
The initiative will increase the annual production of finished vehicles by 50% compared to current levels, the automaker said in a statement this Tuesday (14). The total value includes research and development costs, suppliers and investments in manufacturing operations.
A Bloomberg had reported earlier this month that Stellantis was about to announce a significant investment in the US.
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The plan represents the struggling automaker’s most ambitious attempt yet to rebuild its business in the country, where it has lost market share in part due to an aging product lineup. It is also the latest initiative by a major American manufacturer to announce significant domestic investments, pressured by President Donald Trump, who has used high tariffs as a tool to contain imports and strengthen local manufacturing and jobs.
Under the leadership of CEO Antonio Filosa, appointed earlier this year, Stellantis has sought to recalibrate investments across regions, with a special emphasis on the American market. Under former CEO Carlos Tavares, the company had focused on moving production and engineering operations to lower-cost countries, such as Mexico.
The company’s US shares rose 8% in after-hours trading in New York at 5:19 pm. Year to date, shares had fallen 22% through Monday’s close, while the S&P 500 index had gained 13%.
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