Vehicle Research

Chrysler Eyeing 8-Speed Transmission Expansion

December 09, 2014

Photo of Kokomo Transmission Plant courtesy of Chrysler.
Photo of Kokomo Transmission Plant courtesy of Chrysler.

The Chrysler Group is hoping to invest $266 million to boost production of its 8-speed transmissions in Kokomo, Ind., and has gained a tentative approval from the town's council for a 10-year property tax abatement on new equipment.

The Kokomo Common Council on Dec. 8 gave a unanimous first approval to the plan, which must gain a second approval following a Dec. 22 public hearing before the council, said Jodi Tinson, a Chrysler spokeswoman.

Chrysler has invested $1.5 billion in the Kokomo Transmission Plant in the past five years toward production of 8-speed transmissions for five vehicles including the Ram 1500, Dodge Durango, Dodge Charger, Chrysler 300, and Jeep Grand Cherokee. So far this year, Chrysler has sold more than 800,000 of those nameplates.

The Chrysler 200's 9-speed transmission is built at the Indiana Transmission Plant No. 1 and the Tipton (Ind.) Transmission Plant.

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