TOLEDO, OH (Toledo News Now) - At an automotive conference in Detroit Tuesday night, Fiat Chrysler CEO Sergio Marchionne said Jeep Wranglers will continue to be made of steel, and that Toledo is not out of the running for future Wrangler production.
In the past, Marchionne had said the company was considering making the Wranglers entirely out of aluminum, which could mean moving production out of the Glass City. That very real threat upset many Jeep workers and Toledo city leaders.On Tuesday, the CEO said the company had determined that switching to aluminum would not be cost effective.
Automotive News reports that Marchionne now says they have "run the numbers" and simulated mileage and the impact, which shows that there is a big difference in the cost of materials and the assembly process and that they can do almost as well with steel, instead of aluminum.
“Because of the difference in cost, not just the new material but the actual assembly process, I think we can do almost as well without doing it all-aluminum,” Marchionne said Wednesday, according to the
.
"That makes the existing plant, it makes it viable again, because if you don't have to re-tool, if you don't have to switch to an aluminum body, you can largely keep the body shop as it is," said reporter Larry Vellequette, who was at Tuesday's conference.
Marchionne said the Wrangler could have aluminum components, like the hood, tailgate and doors, but that it will not have an aluminum body.
It is an announcement that has Toledo Councilman Mike Craig very excited about the future of Wrangler production in Toledo. Craig says if the company isn't switching to an all-aluminum body, then there's no problem keeping production of the Wrangler here in the Glass City.
He says the council has been thinking about the future of jeep, supplying them with property to move in and build. Craig says new automobile plants like to have 600 acres.
"That's not available within the City of Toledo, but I think we put together a good package and the right amount of acreage in the right spots to make this, expanding jeep here, a viable and economical option," said Craig.
Automotive News also reported that Marchionne is two months away from deciding if the Wrangler will stay in Toledo or will move to an unnamed second option.
See more: Wrangler production in Toledo.
