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Prosecutors indict three FCA employees in alleged emissions-cheating case

Federal prosecutors indicted three Fiat Chrysler Automobiles (FCA, now Stellantis) employees as part of an investigation into alleged emissions cheating. Charges unsealed on April 20, 2021, accuse the defendants of helping rig the emissions control system fitted to the 3.0-liter turbodiesel V6 used in some models during the 2010s. Prosecutors claim Emanuele Palma, Sergio Pasini, and Gianluca Sabbioni played a determining role in developing a defeat device that allowed the V6 to obtain certification from the Environmental Protection Agency (EPA) while polluting too much in normal driving conditions. Jeep and Ram began making the engine available in the Grand Cherokee and the 1500, respectively, in 2014, but the charges state plans to game the EPA started in 2011. Palma, Pasini, and Sabbioni knowingly mislead federal regulators, the charges claim; they called it "cycle beating," according to The Detroit News. While the three men were part of FCA's research and development department, they started the project while working for an Italian supplier named VM Motori, which FCA purchased in 2013. Pasini and Sabbioni are each charged with one count of conspiracy to defraud the United States and to violate the Clean Air Act, one count of conspiracy to commit wire fraud, and six counts of violating the Clean Air Act. They could spend several years behind bars if they're found guilty. Both are currently in their home country of Italy. Palma's legal troubles are more serious. He was charged with several counts in September 2019, though four wire fraud charges were dropped in November 2020. He lives in Bloomfield Hills, a city located on the far outskirts of Detroit. Prosecutors claim motorists spent over $4 billion on over 100,000 trucks and SUVs fitted with the non-compliant engine between January 2013 and September 2017. FCA has already agreed to pay $800 million to resolve civil claims from the Justice Department, state officials and customers, though it significantly has not admitted guilt. It stressed that "it did not engage in any deliberate scheme to install defeat devices to cheat emissions tests."

FCA to invest $4.5B for new Detroit plant, expanded production at current facilities

We expected some shifts in manufacturing plans as Fiat Chrysler plans to begin electrifying its Jeep brand, but this news bodes well for Michigan. FCA announced today that it would spend $4.5 billion to expand production in the state, including building a new assembly plant in Detroit and increasing capacity at five other facilities in the state. The plan, which FCA says will create nearly 6,500 new jobs, will help to meet increasing demand for Ram and Jeep products, and to electrify Jeep models. $1.6 billion will be set aside to transform the Mack Avenue Engine Complex into a site to build the next generation of Jeep Grand Cherokee, as well as an unspecified, new three-row Jeep model. FCA says this part of the plan will create 3,850 new jobs. FCA is increasing its investment in the Warren Truck plant to $1.5 billion in order to continue building the Ram 1500 Classic, as well as the new Jeep Wagoneer and Grand Wagoneer, creating 1,400 new jobs. FCA says that the new Ram 1500 Heavy Duty will still be built in Saltillo, Mexico. At FCA's Jefferson North facility, the automaker will invest $900 million to upgrade the plant. This site will continue to build the Dodge Durango, as well help build the next Jeep Grand Cherokee. FCA expects this to create 1,100 new jobs. As Jeep plans to electrify models in its SUV lineup, each of the above plants will produce plug-in hybrid versions of the Jeep models produced there, "with flexibility to build fully battery-electric models in the future," the company said in its announcement. "Three years ago, FCA set a course to grow our profitability based on the strength of the Jeep and Ram brands by realigning our U.S. manufacturing operations," said FCA CEO Mike Manley, referring in part to earlier investments in Illinois, Ohio and Michigan. "Today's announcement represents the next step in that strategy," Manley continued. "It allows Jeep to enter two white space segments that offer significant margin opportunities and will enable new electrified Jeep products, including at least four plug-in hybrid vehicles and the flexibility to produce fully battery-electric vehicles." Other investments include $119 million to move production of the 3.0-, 3.2- and 3.6-liter Pentastar engines from Mack I to the Dundee Engine Plant, and $400 million for increased capacity and 80 new jobs at the Sterling and Warren stamping plants. This comes at a time when FCA's U.S.

2017 Jeep Model Year Preview and Updates

This will be a huge year for Jeep, with the introduction of an all-new compact Compass crossover - pictured above - taking place in November, 2016 at the Los Angeles Auto Show, and the pending introduction of an all-new Wrangler later in the calendar year. Not all Jeep products are Trail Rated, but those models will get the most marketing attention. CHEROKEE: Jeep's midsize crossover receives a mild refresh as it makes its way from assembly in Toledo, Ohio to a retooled plant in Belvidere, Illinois. Most of the Jeep feature updates are directed to the Cherokee Trailhawk, which receives heated/ventilated front seats covered in Nappa leather, a power eight-way driver's seat, Keyless Entry 'n Go and remote start. An upscale Overland trim adds a Heavy Duty Protection Group and Trailer Tow Prep packages. COMPASS: This all-new 'global' compact SUV will be built and sold around the world. Sitting atop FCA's 'small wide 4X4 platform' (like the newish Renegade), the Compass offers a more substantial presence than the smaller Renegade, while promising to be more maneuverable and responsive – at least with comparable four-cylinder power – than the larger Cherokee. Expect the 2018 Compass to arrive in Jeep showrooms by midyear. GRAND CHEROKEE: The Trailhawk, with up to eleven inches of ground clearance, best-in-class towing and a crawl ratio of 44.1:1, is revived, three new exterior colors are added, and the front fascia on all '17 Grand Cherokees is tweaked. For those wishing to reach the Summit, Jeep's Grand(est) Cherokee offers an upgraded interior, 'high' style. PATRIOT: At the tail end of its product cycle, the Patriot is unchanged. Of continued interest to Jeep enthusiasts is its genuine off-road credibility, propelled by the Patriot's Freedom Drive II off-road package. This includes a second-generation CVT2L (CVT transmission with low range), skid plates and a more offroad-centric wheel/tire combination. RENEGADE: If you're a traditional Jeep enthusiast you'll wonder why anyone would consider a Renegade. And if you're a new Jeep enthusiast you'll wonder why anyone would disregard this popular Jeep introduction. Still new to the showroom, in 2017 Jeep introduces two new trims: the offroad-oriented Deserthawk and attitude-oriented Altitude.