Stellantis invests $99M in North American hybrid-engine plants

Stellantis will invest $99 million in three North American plants to produce a 1.6-liter, four-cylinder engine. The investments will be made in Dundee, Michigan, Kokomo, Indiana, and Etobicoke, Ontario.

The new 1.6-liter turbocharged inline-four-cylinder engine has direct fuel injection and can be used in hybrid-electric vehicles. Stellantis hasn't specified what engine it is, but a version of it is used in Europe.

Stellantis uses the hybrid-capable 1.6-liter "Prince" engine in the Peugeot 408 and 3008. The automaker has confirmed that the engine will be used in two hybrid vehicles in North America.

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

The Tigershark 2.4-liter inline-four will be phased out in early 2023. It powers the Fiat 500X, Jeep Renegade, and Jeep Compass.

In Kokomo, a $14 million investment will convert existing die cast machines and cells for the new engine.

Etobicoke Casting in Toronto, Ontario, will receive $2 million for new tooling and equipment to produce engine oil pans.

After the above-mentioned investments and upgrades, production of the new engine will begin in early 2025, according to the automaker.