Stellantis announced plans to invest $388 million in a Metro Detroit Megahub to boost the sustainability and efficiency of its Mopar parts distribution operations. The automaker expects to launch the new site in 2027.
"Smarter and Faster” Network
Mopar North America Senior Vice President Darren Bradshaw stated that the location would create a “faster and smarter” network.
The facility’s technology will include AutoStore automated retrieval and storage systems, in which small robots travel on tracks above a dense grid of bins to locate parts and deliver them to employees for packing and processing.
Stellantis’ Consolidation Plan
The development follows Stellantis’ decision to sell its parts distribution centers in Marysville and Center Line, Michigan, along with a site in Milwaukee. The company said those facilities would continue operations through a sale-leaseback deal.
The new Megahub will draw its workforce from the Center Line and Milwaukee locations, as well as the Warren and Warren Sherwood facilities. Stellantis added that it would transition the Marysville workforce to an e-coat facility in Warren.
UAW’s Concerns
The company expects the Megahub to support nearly 500 UAW-represented jobs. However, the Detroit Free Press reported that the union raised concerns that this number is less than the total workforce at the four locations undergoing consolidation.
Image credit: Stellantis/Shutterstock
