Fate Of Jeep In Toledo Rests On Supplier Park, Partnerships

Cameron Aubernon
by Cameron Aubernon
fate of jeep in toledo rests on supplier park partnerships

The fate of Toledo, Ohio holding onto the Jeep factory may be decided not on incentives or land acquisition, but by what happens with the supplier park.

The Detroit News reports the deciding factor on whether Jeep stays in Toledo involves the current business arrangement with the factory’s supplier park. Back in 2006, the park came about when FCA US — then DaimlerChrysler — didn’t want to spend too much capital on building the then-new four-door Wrangler Unlimited. Thus, it struck a deal with suppliers Mobis North America and Kuka Systems to build the body and chassis, which would then be handed off to Magna International to be painted, and then onto Jeep for final assembly. FCA US bought the paint operations from Magna in 2012, and may wish to buy the rest of the process from Mobis and Kuka.

In the meantime, city officials have presented FCA US and its CEO Sergio Marchionne with a so-called “aggressive” incentive plan to keep the Wrangler in Toledo, which includes unspecified state and local tax credits and other financial incentives to expand or build a new facility on 100 acres of land purchased and cleaned by the city for over $7 million. The plan was presented in mid-March, and FCA US is expected to make the final decision on Toledo’s fate by June of this year.

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  • Jpolicke Jpolicke on Apr 14, 2015

    The total number of people outside Toledo who a)know Wranglers are built there; and b)give a damn where Wranglers are built as long as it's somewhere in this country, could probably fit inside one. As for your comments about Cherokee, I know you're in good company and you can't argue taste. We can agree to disagree.

    • See 17 previous
    • Wheeljack Wheeljack on Apr 15, 2015

      Vulpine, TJ Wranglers experience death wobble too. Actually, any solid front axle vehicle is susceptible to this - all it takes is some wear in the front end components and some event at just the right frequency to "excite" the front end. I experienced death wobble on the '76 F-150 I owned a long time ago. So far so good on both of my TJs though - worst I ever had was some slight shimmy from poorly balanced tires.

  • Aquineas Aquineas on Apr 14, 2015

    Isn't Mobis Hyundai?

  • Mikeg216 Mikeg216 on Apr 14, 2015

    It's already a done deal folks, along with the new factory comes the jeep gladiator pickup on the stretched unlimited chassis that they use for the jp8

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    • Hummer Hummer on Apr 14, 2015

      @Vulpine I've come to accept anything that's not a cute-ute is nothing more than Vaporware for the Jeep brand. The H3T is possibly the only Hummer that swayed a single hardcore wrangler owner so a Jeep Pickup would be a very smart move. Unfortunately unless the Wrangler moves production, Toledo gets a big expansion, or the Cherokee production moves, it's probably not going to happen.

  • Sector 5 Sector 5 on Apr 14, 2015

    I like the Wrangler, I just don't like the price That's the other way they're cashing-in. The used market's very firm.