GEMA Joint Venture Plant to Double Production
Sure the North American auto industry is going through hard times, but for DaimlerChrysler and its allies that just means to
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| The Global Engine Manufacturing Alliance is going to use their collective resources to develop and produce a new family of four-cylinder engines, dubbed "World Engine," in North America. (Photo: DaimlerChrysler Canada) |
For this reason the Global Engine Manufacturing Alliance (GEMA), a joint venture between DaimlerChrysler, Hyundai Motor Company and Mitsubishi Motors Corporation, has decided to build a second engine plant next to the existing GEMA plant in Dundee, Michigan.
The joint venture was organized to develop and produce a new family of four-cylinder engines, dubbed "World Engine," in North America. Production is scheduled to start in 2005, with the second plant to rev up in 2006.
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| GEMA will double its engine capacity and directly create 250 new jobs. (Photo: Mitsubishi Motors North America) |
Altogether GEMA will double its engine capacity, a worthwhile outcome for the USD$323 million spent on the 450,000 square-foot addition. Another 250 new jobs will benefit the Dundee community, with 50 more expected to be added to supplier companies.
DaimlerChrysler has significant ownership stakes in both Asian companies, and hopes to not only improve the quality of the end product but reduce costs substantially.