KOKOMO – Chrysler announced plans Thursday to invest $374 million to expand its operations in Indiana, creating more than 1,200 new jobs by 2015.
Gov. Mike Pence joined Chrysler executives in Kokomo to make the announcement. The company will invest about $212 million to install the equipment needed to build eight- and nine-speed transmissions at three of its Kokomo plants. That work is expected to start later this year. When it’s finished, the improvements will mean about 400 additional jobs.
Chrysler will spend another $162 million to acquire the former Getrag facility in Tipton. The plant would make nine-speed transmissions and employ up to 850 workers. The site is expected to be up and running by the end of next year.
“Chrysler’s choice of Indiana for this landmark project puts all eyes on the Hoosier State today,” said Pence. “We are thrilled with the number of career opportunities for Hoosiers, and this marks another important step in the resurgence of the U.S. automotive industry. With our convenient location, talented workforce and pro-business policies, it is no surprise that Indiana is an integral part of this comeback story.”
Chrysler group has invested more than $1.6 billion in Kokomo to produce the transmissions and pay for upgrade to its facilities. The company employs more than 6,100 people.
The Indiana Economic Development Corporation offered Chrysler Group, LLC up to $11,500,000 in conditional tax credits and up to $200,000 in training grants based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim them. Kokomo and Tipton have approved additional tax abatement.