Plans change in the auto industry as evidenced by the move by Stellantis to reopen its plant in Belvidere, Illinois. Closed a few years ago, the UAW pressured the company to reopen the facility as part of its most recent contract negotiations. The company agreed, and it’s set to reopen in 2027, but it will not produce what was originally expected.
The Belvidere Assembly Plant shut in early 2023 when production of the slow-selling Jeep Cherokee ended.
The company revealed plans to reopen the plant in two years, which was “idled” in February 2023, and have it build a new midsize pickup instead of the electric vehicle batteries it was slated to produce.
The 5-million-square-foot plant last produced the Jeep Cherokee before being shut down while the company said it was trying to figure out what to do with it going forward. The UAW quickly claimed the auto company was looking to shutter it permanently, and made getting a new product into the site a priority during its 2023 contract talks — eventually winning that concession.
Outside pressure
President Trump described his planned tariffs as “great” during his discussion with auto industry leaders.
The newly implemented tariffs by the Trump administration have some automakers looking to put their best foot forward when it comes to satisfying the new rules — and avoiding tariffs. The plant’s return to life was still the subject of some conjecture and controversy.
However, not long after Donald Trump won the election, officials announced plans to reboot the plant with a new — and needed — midsize pickup truck.
That said, restarting or reopening old plants isn’t a quick fix for companies looking to avoid tariff penalties. The Belvidere plant is two years away from opening. Honda plans to shift production of its Civic hybrid subcompact from Mexico to the U.S., but that won’t happen until 2028.
More Stellantis News
- Even Domestic Automakers Will Feel the Hit of the Trump Auto Tariffs
- Departure of CEO Tavares Leaves Stellantis Rudderless
- Management Shake-Up Brings Back Some Former Execs
Necessary move
The move will help fill a big gap in the Ram brand’s lineup and, according to an e-mail from North American Chief Operating Officer Antonio Filosa, it will put “approximately 1,500 UAW-represented” employees back to work.
Tim Kuniskis, head of Ram Trucks, said the brand needed a midsize pickup to compete.
“It’s important (for Ram) to have a midsize pickup to compete,” said Erin Keating, executive analyst with Cox Automotive, earlier this year.
Stellantis does have one midsize truck in its lineup, the modest-selling Jeep Gladiator. But it lags well behind rivals such as General Motors, with its Chevrolet Colorado and GMC Canyon, the recently redesigned Toyota Tacoma, and the Ford Ranger which was named the 2025 North American Truck of the Year.
Tim Kuniskis, who recently came out of retirement to head Ram, told Road & Track recently,“We’re a truck brand and we don’t have a compact, we don’t have a midsize. Kinda disingenuous to call me a truck brand, isn’t it? So yeah, I need that. I want that, I need that.”
Hang on… it doesn’t seem like there’s been a change. The language in the contract that was unveiled in 2023 specifically mentioned a midsize truck in Belvedere.
https://uaw.org/wp-content/uploads/2023/11/Stellantis_HourlyHighlighter.pdf
P138 specifies a midsize truck at 80-100k units annually