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* Rockford Register-Star…
The Belvidere Assembly Plant will lay off up to 1,371 workers starting May 2, Fiat Chrysler Automobiles said Tuesday.
The company said a slowing global market is causing the reduction.
Starting May 6, the plant will return to a more traditional work schedule, with employees working two shifts. Now, three crews work 10-hour days four days a week.
The company “will make every effort to place indefinitely laid-off hourly employees in open full-time positions as they become available based on seniority,” spokeswoman Jodi Tinson said.
* But FCA is putting more money into some Michigan plants, where larger Jeeps will be made…
Fiat Chrysler Automobiles NV said on Tuesday it will invest $4.5 billion in five plants to build new models of Jeeps to compete in the lucrative market for full-size, three-row SUVs currently dominated by rivals General Motors Co and Ford Motor Co. […]
The new investments announced on Tuesday will create 6,500 jobs in Michigan, Fiat Chrysler (FCA) said in an announcement about three months after GM said it would not allocate new products to five plants in North America that mostly produce less-popular sedan models. […]
[FCA Chief Executive Officer Mike Manley] added that 60 percent of SUV sales are for three-row models “and we don’t have a three-row offering… and this is a segment that I’ve been very interested in for some time.”
posted by Rich Miller
Tuesday, Feb 26, 19 @ 1:50 pm
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Weird. FCA just retooled that plant about two years ago.
Comment by Dirty Red Tuesday, Feb 26, 19 @ 1:59 pm
==Weird. FCA==
That’s all you need to know.
Comment by City Zen Tuesday, Feb 26, 19 @ 2:09 pm
My family has been living in the far northwest suburbs for the last 15 years.
For various reasons I have gone past the the Belvidere Assembly Plant many times and seen the frequent changes. Several years ago it was struggling and then FCA came out with the Dodge Dart and with much fanfare Belvidere was producing the Dart and running three shifts.
But alas the Dart fizzled and the plant went to two shifts. Then FCA added more Jeep models and they went back to three shifts. Now more changes. As City mention “Weird” is all you need to know about FCA or for that matter corporate behavior in today’s society that treats people’s lives like so much fodder. People need stability not uncertainty.
Lastly—- Fiat Chrysler Automobiles NV said on Tuesday it will invest $4.5 billion in five plants to build new models of Jeeps to compete in the lucrative market for full-size, three-row SUVs currently dominated by rivals General Motors Co and Ford Motor Co.
Just what we need! More gas guzzling, environmentally unfriendly full size SUV’s that cost $50,000K+ and most people can’t afford!
Comment by Big Jer Tuesday, Feb 26, 19 @ 2:38 pm
“If you build it, they will come.” - Big Three Automakers on SUVs
Fortunately, for those of us wanting cars and good gas mileage the Japaneses and Korean automakers are putting out great vehicles.
Comment by Yup! Tuesday, Feb 26, 19 @ 2:43 pm
That’s really disheartening news. 1400 good paying jobs none of which Illinois can afford to lose. Pritzker should focus all of his energy to seek a replacement.
Comment by Sue Tuesday, Feb 26, 19 @ 2:54 pm
==Just what we need! More gas guzzling, environmentally unfriendly full size SUV’s that cost $50,000K+ and most people can’t afford!==
Get used to it. The major car makers are phasing out sedans.
Comment by Demoralized Tuesday, Feb 26, 19 @ 3:12 pm
Jeep’s booming
Ram’s booming.
SUV’s are booming.
Van’s are still rock steady.
Fiat’s bombing.
Fiat’s plans had to change immediately.
Sedans sales have been plummeting at a 14% loss since 2014. Even with brand new Accords and Camrys, sedan sales are still diving. Hyundai and Kia, Honda and Nissan are struggling without truck sales. Toyota got lucky with their ancient Tacomas being the small truck survivor.
Sedan sales are projected to drop to only 500,000 over the next decade.
Comment by VanillaMan Tuesday, Feb 26, 19 @ 3:24 pm
Let me put that into perspective…
Total mid-sized sedan sales - all brands by 2030, 500,000
2019 Ford Ranger sales 300,000 to exceed 500,000 by 2030. Not the F-150 mind you, the little Ranger. F-150 sales are still approaching 1,000,000 a year. Thats 1 to 1,5 million Ford truck sales a year.
Nissan full size truck and Honda’s “truck” flopped after billion dollar investments by both companies.
70% of VW sales this year is for their two SUVs.
It’s a new world out there.
Comment by VanillaMan Tuesday, Feb 26, 19 @ 3:35 pm
Everyone can complain about the larger, less efficient vehicles on the road, but that’s what people want. It’ll continue to be reactionary to fuel prices. People will complain no one can afford a $50,000, though someone is buying them. And local dealers in my area will tell you there is a significant part of the population that would rather buy a ten year old formerly $50,000 CUV/SUV than a brand new $25,000 car.
Comment by Shemp Tuesday, Feb 26, 19 @ 3:41 pm
Or we could all get our State issued Ladas.
Comment by Shemp Tuesday, Feb 26, 19 @ 3:42 pm
>
In Panama in the 80s there were taxi Ladas. Those things scared me, and I used to jump out of airplanes day and night on purpose.
Comment by FormerParatrooper Tuesday, Feb 26, 19 @ 3:48 pm
While sedans are fading, and guzzling SUV’s and pickups have the spotlight, electric vehicles will gain market share, replacing sedans and coupes, and working up the chain to SUV’s, pickup trucks and more ib the coming 5-10 years. Rather than trying to hang onto the good old days and expire from toxic, terminal nostalgia, it would behoove Illinois to encourage this new generation manufacturing, like the Rivian electric truck factory gearing up in the old Mitsubishi plant in Normal.
Comment by VerySmallRocks Tuesday, Feb 26, 19 @ 3:56 pm
To all the commenter mentioning that the car/SUV manufacturers are phasing out sedans.
My issue is not with SUV’s. I have a 2009 Subaru Forester. There are a lot of modest, good gas mileage SUV’s such as the Ford Escape or Honda CRV and the Forester.
My issue is with the size and price of the large SUVs. Only in the US. I like to Google Street View other countries and you see many of small to mid size SUV’s. What you don’t see is lot of people driving massive SUV’s. But in driving suburban Chicago there are a lot of people driving GMC Yukons or Chevy Suburbans.
I realize I am in the minority here but when there are many people in the US living in poverty, high homelessness, etc. and the upper classes have enough money to buy a $50K SUV then something is wrong.
But then Shemp is going to make a Lada comment again which implies socialism and that is not my point.
My point is something called modesty, humility, ethics, fairness. I am also showing my age of 60yrs old which means I remember when car/truck prices were modest and when housing prices were modest.
Never mind. On this blog I realize I am NOT preaching to the choir.
Comment by Big Jer Tuesday, Feb 26, 19 @ 5:05 pm
===My point is something called modesty, humility, ethics, fairness. I am also showing my age of 60yrs old which means I remember when car/truck prices were modest and when housing prices were mode===
My point, those that can afford them and want to deal with the gas bill, parking headaches and such, more power to them. Those that can’t, many of them are electing to spend as much buying a used formerly $50,000 SUV than buying a brand new small car. People who can’t afford the $50,000 SUV are already making the choice not to buy small cars.
Comment by Shemp Tuesday, Feb 26, 19 @ 5:14 pm
If you think it’s the end of the world because Americans are buying American trucks and SUVs - it’s not. These trucks are aluminum, rust free bodies, have 6 and 4 cylinder engines and weight a thousand pounds less than they did a decade ago.
They are safer. More luxurious. They’ll last a decade or more and sell for more resale. Many will be hybrids and electric. They are spectacular. Best of all, they’re made in North America, some right here in Illinois. No global shipping pollution.
American jobs. American union jobs. American profits.
If you think we’re talking circa-1995 trucks - you’re out of touch.
Sorry about Belvedere. That plant made sedans. Right now, the market is too small. But great for America. It’s the best news the Industry has had in a generation.
Comment by VanillaMan Tuesday, Feb 26, 19 @ 6:35 pm
–These trucks are aluminum, rust free bodies,–
Ford F Series is the only one that’s gone all aluminum. Some others are aluminum on doors and gates, but still mostly steel.
That Belvidere plant is resilient — plenty of times the last 40 years or so it looked like a gone. Keeping two full shifts is a good sign.
Comment by wordslinger Tuesday, Feb 26, 19 @ 7:04 pm
–Toyota got lucky with their ancient Tacomas being the small truck survivor.–
Survivor, yes, for a reason. They are the best built truck of any kind, and they hold their value. Ever looked at the price of a used one ?
Comment by Cornfed Tuesday, Feb 26, 19 @ 7:18 pm
The plant was retooled to make the Cherokee and Grand Cherokee. They don’t make sedans there.
Comment by Rebel13 Tuesday, Feb 26, 19 @ 7:21 pm
Ford is hiring right now. They are looking for 500 people. If people want to make the commute the Chicago Assembly Plant is at 12600 S Torrence Ave. Chicago, Illinois 60633.
Comment by Da Big Bad Wolf Wednesday, Feb 27, 19 @ 6:19 am
They don’t make sedans in Belvedere. This is bad news for Illinois. But is anyone surprised? Pritzker is scaring a lot of companies right now.
Comment by Anonymous Wednesday, Feb 27, 19 @ 7:10 am