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FCA shifts Ram Heavy Duty trucks from Mexico to U.S., creating 2,500 jobs

DETROIT — Fiat Chrysler Automobiles said on Thursday it will shift production of Ram Heavy Duty pickup trucks from Mexico to Michigan in 2020, a move that lowers the risk to the automaker's profit should President Donald Trump pull the United States out of the North American Free Trade Agreement. Fiat Chrysler said it would create 2,500 jobs at a factory in Warren, Michigan, near Detroit, where the Ram 1500 is currently built, and FCA will invest $1 billion in the facility. The Mexican plant will be "repurposed to produce future commercial vehicles" for sale global markets. Mexico has free trade agreements with numerous countries. Fiat Chrysler Chief Executive Sergio Marchionne a year ago raised the possibility that the automaker would move production of its heavy-duty pickups to the United States, saying U.S. tax and trade policy would influence the decision.If the United States exits NAFTA, it could mean that automakers would pay a 25 percent duty on pickup trucks assembled in Mexico and shipped to the United States. About 90 percent of the Ram pickups made at Fiat Chrysler's Saltillo plant in Mexico are sold in the United States or Canada, company officials said. Negotiators for the United States, Mexico and Canada are scheduled to meet later this month for another round of talks on revising NAFTA. Canadian government officials earlier this week said they are convinced that Trump intends to announce his intention to quit the agreement. Trump has threatened to force the rollback of NAFTA, which enables the free flow of goods made in the United States, Canada and Mexico across the borders of those countries. He also has criticized automakers for moving jobs and investment in new manufacturing facilities to Mexico and prodded them to add more auto production in the United States. View 31 Photos On Wednesday, Toyota and Mazda announced they would build a new $1.6 billion auto assembly plant in Alabama, drawing praise from Trump. Vice President Mike Pence praised Fiat Chrysler's announcement. "Manufacturing is back. Great announcement. Proof that this admin's AMERICA FIRST policies are WORKING!" Pence said in a Twitter posting. Chrysler raised its output in Mexico by 39 percent in 2017 to 639,000 vehicles, according to Mexican government data. That made Fiat Chrysler the third-largest producer of vehicles in Mexico in 2017, after Nissan and General Motors.

Cummins builds 2-millionth diesel for Ram

Ahead of a new Ram Heavy Duty that will debut sometime next year (check out the spy shots below), Chrysler and Cummins are celebrating a milestone in a 24-year partnership that has supplied the Ram pickup with diesel engines.
In its early years, the Cummins straight-six turbo diesel was rated at just 160 horsepower and 400 pound-feet of torque, and its clattering 12 valves could be heard from a mile away. Its most recent configuration still uses a straight-six layout, but displacement grew to 6.7 liters in 2007 allowing the engine to now produce up to 385 hp and a whopping 850 lb-ft of torque. While a rumored smaller Cummins engine for use in the light-duty Ram 1500 never materialized, the work-ready 6.7-liter Cummins turbo diesel accounts for 80 percent of all Ram HD sales.
Chrysler has not yet announced when and where this two-millionth engine will be on display, but you can read more about the engine and the partnership in the press release below.

266,000 Ram pickups recalled for side-curtain airbag issue

Stellantis is voluntarily recalling an estimated 212,373 Ram pickups in the U.S., another 49,334 in Canada and Mexico, and a final 4,540 trucks in other markets over an issue with the side-curtain airbag inflators. During the manufacturing process, moisture could have found its way into the inflators. The moisture could cause the inflator to rupture and eject debris into the pickup cabin, even without an incident that deploys the side-curtain airbags. The OEM says it knows of one rupture and no injuries. Stellantis said it will let owners know when they can bring their vehicles in for service free of charge, the fix being replacement of the side-curtain airbag. The trucks at issue were all produced between the 2015 and 2020 model years. They are the Ram 1500 Classic, and Ram 2500 and 3500 pickup and chassis cabs. Some inflators sold as replacement parts are also implicated. The current-generation Ram pickup launched for the 2019 model year isn't affected.  The automaker's statement included the line, "The inflators were produced by a supplier implicated in a similar recall by another auto maker." This could refer to GM's July recall of 400,000 Chevrolet Silverado and GMC Sierra pickups from the 2015 and 2016 model years. The inflators came from Joyson Safety Systems, the company that bought Takata's assets in 2018 when Takata went bankrupt, and were produced in Mexico. Joyson appears to still be suffering indigestion from that purchase, the company announcing the discovery of falsified seat belt testing data from the Takata era just two months ago. The problem ingredient in Takata inflators was identified as ammonium nitrate, a volatile compound designed to explode to inflate airbags in a crash. The chemical reacts poorly to moisture and humidity, and when exposed, can explode with excessive force, blowing apart the metal container it's stored in and sending shrapnel into the cabin. Stellantis, though, said the airbags involved in this recall don't contain ammonium nitrate.   Ram owners with questions can call the Stellantis help line at 1-800-853-1403. Related video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. The Best Midsize Pickup: Ranger vs Gladiator vs Tacoma vs Colorado