Chrysler Group LLC plans to upgrade the manufacturing capabilities of two of its facilities in Indiana. The company will invest capital of $300 million to build a new eight-speed automatic transmission system, improving its fuel efficiency while safeguarding 1,200 manufacturing jobs. Production at the company’s Kokomo casting and transmission facility will commence in 2013. The products manufactured will be used across Chrysler’s product range to boost its automotive fuel efficiency by at least 25 per cent. This is the company’s biggest investment after its bankruptcy in 2009.  As part of its plan, the transmission system for the utility will be developed as part of a licensing deal with the ZF Group, a German engineering firm, which has already been selling 8HP transmission to other automotive companies. The transmission system obtained from the ZF Group will cost Chrysler 20 per cent less than its present system, while offering around 6–11 percent of fuel savings. |
