Jeep parent company Stellantis blames EV costs for upcoming layoffs
Jeep parent company Stellantis on Friday said it would indefinitely shut down a manufacturing plant in Illinois and lay off approximately 1,350 employees early next year. The facility – located in Belvidere, a city 75 miles northwest of downtown Chicago – is responsible for producing the internal combustion engine Jeep Cherokee crossover.
In a statement the automaker“[The automotive industry] has been adversely affected by a multitude of factors like the ongoing COVID-19 pandemic and the global microchip shortage, but the most impactful challenge is the increasing cost related to the electrification of the automotive market," the company said, adding that it may shutter the facility permanently as it considers what to do next.company documents show Stellantis plans to move Cherokee production to a facility in Toluca, Mexico.
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