Chrysler announced Thursday that it would invest nearly $400 million in transmission plants in the Kokomo, Indiana, area, creating approximately 1,250 new jobs, the Associated Press reported.
CEO Sergio Marchionne confirmed that Chrysler will spend $162 million and add 850 new jobs at a former Getrag Transmission plant in nearby Tipton. The company will spend another $212 million for new equipment and tooling at three other factoring, creating 400 new jobs.
The new, more fuel-efficient transmission will be used in Dodge Dart compact cars and the Jeep Cherokee.
Chrysler became a campaign issue toward the end of the presidential election when Mitt Romney released an Ohio TV ad falsely implying that Chrysler was moving Jeep production to China because of the auto rescue.