DaimlerChrysler to invest big in St. Louis plants
One of the three auto giants in United States, DaimlerChrysler has announced plans that they would be investing around USD 1 billion in its suburban St. Louis auto plants. This investment would be done to modernize and retool the units here. And the process of upgradation begins from next year.
These units mostly manufacture Dodge Ram pickups and Chrysler and Dodge minivans and employs around 5500 workers. The company decided on this package for their St. Louis plants after Gov. Matt Blunt’s office finalized an incentive package with the company’s Chrysler division. Blunt said: “I am pleased that Chrysler Group has recognized the importance of Missouri’s contributions to the auto industry and the quality of our work force.â€
He added: We look forward to continuing our relationship with our partners at Chrysler Group for many years to come.” The company also recently received a tax abatement, which would save them approximately $24 million over 14 years, if an initial $531 million investment is made. They get another rebate of $22 million in tax breaks from 2010 to 2020 if another $500 million is spent on the plants.