Stellantis investing $83 million in Dundee plant to produce new HEV engine

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Dundee Engine will be retooled and become the final assembly location for the new engine. This will be the first HEV engine for Stellantis in the region.

DUNDEE, Mich. — Stellantis is making a large investment in its Monroe County plant to produce a new engine for future automobiles.

The American auto manufacturer announced Monday it is putting $83 million into the Dundee Engine plant for the production of a new four-cylinder turbocharged engine. The new 1.6-liter, I-4 turbocharged unit will eventually power two future North American Hybrid-Electric Vehicle models based on current production in Europe.

The engine has direct fuel injection, but also has flexibility for hybrid-electric applications. This will be the first HEV engine for Stellantis in the region.

“This morning’s announcement from Stellantis to invest in Dundee Engine Local 723 and Kokomo Casting Locals 1166 and 1302 is great news for our members,” said UAW Vice President and Director of the Stellantis Department Cindy Estrada. “This investment in a new four-cylinder engine will add job security for the members who continue to build ICE products as the industry transitions to electrification. The hard work and dedication of the UAW Stellantis membership to build great products with world class quality has been recognized and rewarded today.”

Dundee Engine will be retooled and become the final assembly location for the new engine. The plant will continue to produce the 3.6-liter Pentastar Upgrade for the Jeep Grand Cherokee and Grand Cherokee L.

The Tigershark 2.4-liter engine will build out in the first quarter of 2023.

Production on the new HEV unit will begin in early 2025.

Stellantis also announced a $14 million investment at its Kokomo Casting Plant in Indiana and a $2 million investment at Etobicoke Casting in Toronto.

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