Stellantis recently announced it would invest $155 million in three Kokomo, Indiana, plants to produce new electric drive modules (EDMs). The EDM plants will help power future electric vehicles (EVs) assembled in North America and support the goal of 50% battery electric sales in the United States by 2030.
Stellantis is one of the world’s leading automakers and mobility providers. Its storied and iconic brands embody the passion of their visionary founders and today’s customers in their innovative products and services, including the Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, Fiat, Jeep, Lancia, Maserati, Opel, Peugeot, Ram, Vauxhall, Free2move and Leasys.
With more than 25 battery electric vehicle (BEV) launches planned in the States between now and 2030, the Kokomo-built EDM will be integrated into vehicles designed on the STLA Large and STLA Frame platforms. Offering an all-in-one solution for EV powertrains, the EDM consists of three main components—the electric motor, power electronics, and transmission—combined into a single module to deliver improved performance and range at a competitive cost. The optimized efficiency of the new EDM will help each platform achieve a driving range of up to 500 miles (800 km).
“While we continue our successful transition to a decarbonized future in our European operations, we are now setting those same foundational elements for the North American market,” said Carlos Tavares, Stellantis CEO. “By combining the benefits of the EDM with our new BEV-centric platforms and innovative battery technologies, we will offer our customers a variety of EVs with unparalleled performance and range at more affordable prices. And with our in-house manufacturing capabilities and expertise, we will do it with greater flexibility and efficiency.”
EDM plants in Indiana
Investments will be made at the Indiana Transmission, Kokomo Transmission, and Kokomo Casting Plants. The gearbox cover will be cast at Kokomo Casting and machined at Kokomo Transmission. Gear machining and final assembly will be at the Indiana Transmission Plant. Production is expected to start in the third quarter of 2024 following retooling. With the investment, more than 265 jobs will be retained across all three plants.
“With more than 7,000 employees in Indiana, these investments will leverage the core manufacturing competencies of the local workforce in the areas of casting, machining, and assembly, all of which will be needed even as the market transitions to an electrified future,” said Mark Stewart, Stellantis North America COO. “The city of Kokomo and the state of Indiana have been great partners for many years. This community will continue to play a central role in our efforts to provide safe, clean, and affordable mobility solutions for our customers long into the future.”
Since 2020, Stellantis has invested nearly $3.3 billion in Indiana to support its transition to electrification. It includes recent announcements of $643 million to produce a new engine for conventional and PHEV applications, a next-generation 8-speed transmission, and a gigafactory joint venture with Samsung SDI. These investments support Stellantis’ ambition to achieve carbon net zero by 2038, as set out in its Dare Forward 2030 strategic plan.
Currently, the automotive company operates five powertrain plants in Indiana—three transmission plants, a casting plant, and an engine plant. The portfolio of transmissions includes 6-, 8- and 9-speed transmissions, as well as the SiEVT transmission for the Chrysler Pacifica plug-in hybrid electric minivan, built at the Windsor Assembly Plant in Ontario, Canada. The casting plant produces aluminum parts for automotive components, transmission and transaxle cases, and engine block castings. The engine plant produces the GMET4—the company’s 2.0-liter Global Medium Engine inline four-cylinder turbo.
Copper investment in Argentina
Meanwhile, Stellantis also announced a $155-million investment in a project in Argentina, which will contribute to the company’s plan to become carbon net zero by 2038. The company is acquiring a 14.2% equity stake in McEwen Copper, a subsidiary of Canadian mining company McEwen Mining, which owns the Los Azules project in Argentina, and the Elder Creek project in Nevada, USA.
With this stake, Stellantis will become McEwen Copper’s second-largest shareholder, along with Rio Tinto, through its copper leaching technology venture, Nuton. Los Azules plans to produce 100,000 tons per year of cathode copper at 99.9% purity starting in 2027, and the resources can secure the operation for at least 33 years. McEwen Copper Inc holds 100% interest in the Los Azules copper project in San Juan, Argentina, and the Elder Creek project in Nevada.
“Stellantis intends to lead the industry with the commitment to be carbon net zero by 2038—a goal that requires innovation and a complete redefinition of the entire business,” said Carlos Tavares, Stellantis CEO. “We are taking important steps in Argentina and Brazil to decarbonize mobility and ensure strategic supplies of raw materials necessary for the success of the company’s global electrification plans.”
Copper is a strategic raw material for the future of electric mobility, and it is estimated that global demand for the conductive metal will triple in the coming years. By investing in one of the top 10 international projects in developing this commodity, Stellantis will be able to supply some of the projected copper demand starting in 2027.
McEwen Copper chief executive Rob McEwen said: “Stellantis and McEwen are ideal partners for a large project like Los Azules. Together, we share a collective vision to build a mine for the future based on regenerative principles and innovative technologies that can achieve net-zero carbon emissions by 2038. We are committed to delivering green copper to Argentina and the world, a product that will contribute to the electrification of transportation and the protection of our atmosphere.”
The announcement reinforces South America’s participation in implementing the Dare Forward 2030 long-term strategic plan committed to cutting-edge freedom of mobility. As part of the Dare Forward 2030 strategic plan, Stellantis expects to achieve a 100% passenger car battery electric vehicle (BEV) sales mix in Europe and a 50% passenger car and light-duty truck BEV sales mix in the States by 2030.
In Brazil, it is targeting an approximately 20% low-emission vehicle (LEV) sales mix by the end of the decade. The plan is anchored in an ambitious decarbonization strategy consistent with science-based recommendations. Through aggressive and clear targets, by 2030, it plans to reduce its carbon emissions footprint by half versus 2021 metrics, putting the company on track to achieve carbon net zero by 2038. (Story and photo courtesy of Stellantis)