Chrysler To Begin Making 8- and 9-Speed Transmissions in Indiana - Detroit Free Press

Kokomo, Ind. – Chrysler eventually plans to introduce nine-speed transmissions across all of its front-wheel drive vehicles and will introduce its eight-speed transmissions on six cars and trucks, Brian Harlow, vice president of powertrain said today.

To accomplish those goals, the Auburn Hills automaker is rapidly installing equipment and training its employees at three plants in Kokomo, Ind. as it prepares to launch transmissions which will improve Chrysler’s fuel economy.

Harlow said Chrysler will begin producing eight-speed transmissions by the end of this year and plans to begin making nine-speed transmissions early next year.

“It replaces everything, literally,” Harlow said of the company’s plans to offer the nine-speed transmission in front-wheel drive vehicles. “Everything that we are making today will get it.”

The company’s transmissions, co-developed by German auto supplier ZF Group, will help the truck and SUV-heavy automaker improve its fuel economy.

Chrysler expects its eight-speed transmissions will help the automaker improve its overall fleet fuel economy by more than 25% by 2014. The company has not yet talked about expected fuel economy improvements for its nine-speed transmissions.

Chrysler, like all automakers, is racing to meet a the federal government’s Corporate Average Fuel Economy target of 35.5 miles per gallon by 2016.

“There is a definite road map that takes us” to that goal, Harlow said.

Chrysler currently offers eight-speed transmissions in its Chrysler 300 and Dodge Charger full-size sedans that are supplied by ZF Group and manufactured in Germany.

In addition to those models, Chrysler is planning to offer eight-speed transmissions on the Jeep Grand Cherokee, Jeep Wrangler, Ram, and Dodge Challenger, Harlow said. Chrysler’s nine-speed transmissions will be offered on the Chrysler 200, the company’s minivans and the Dodge Dart.

After production begins in Kokomo, Chrysler will pay ZF Group a percentage of sales as part its agreement with the German supplier.

Harlow said CEO Sergio Marchionne made a decision shortly after the company emerged from Chapter 11 bankruptcy that Chrysler would make its own transmissions because the company views transmissions as a strategic technology that it should control.

“Because we already had a very knowledgable workforce here in Kokomo, and available space, it was the logical choice,” Harlow said.

As a result, Chrysler reopened about nearly 643,000-square-feet of space at its Kokomo Transmission Plant that had been closed off for several years and is investing $343 million.

In total, Chrysler is investing about $1.3 billion at its four plants in Kokomo where it employs more than 4,100.

BY Brent Snavely DETROIT FREE PRESS BUSINESS WRITER




Southfield Chrysler
28100 Telegraph Rd
Southfield, MI 48034
248-354-2950

Visit the Happy Car Salesman, Ed Dancel at Southfield Dodge Chrysler Jeep Ram