Chrysler Group LLC, Auburn Hills, Mich., recently announced it will invest $27.2 million in its Etobicoke Casting Plant in Toronto.
The investment in metalcasting is the third Chrysler has made since May, when it announced it would spend $43 million on new equipment and tooling to expand the Kokomo Casting and Kokomo Transmission manufacturing plants. In June, the carmaker announced it would invest another $300 million in its facilities in Kokomo for the production of a new transmission.
The company said the investment in Etobicoke will prepare the plant to produce front and rear crossmembers (structural components in vehicle suspension systems that transfer and filter road loads from control arms to vehicle bodies) for future Chrysler vehicles starting in the third quarter 2011. The money will be used to secure new tooling and equipment and bring in new technologies to improve the quality, testing and inspection processes.
The Etobicoke plant currently produces aluminum die castings and pistons for a variety of Chrysler vehicles.
“We welcome this investment in the Etobicoke Casting Plant, as it is an acknowledgement of the high quality components produced by our skilled workforce for many years,” said Michael Butz, Etobicoke plant manager. “Being able to expand our part portfolio better aligns with Chrysler’s long-term product strategy, which ensures the future for this facility.”
Etobicoke is a nearly 300,000-sq.-ft. diecasting facility. As part of the investment in the plant, 280 jobs will be retained.