Brampton plant seen building latest DaimlerChrysler sedan

May 16, 2007 04:30 AM
Tony Van Alphen
Business Reporter

DaimlerChrysler Canada Inc. will invest about $700 million to build a fifth model at its Brampton plant.

Industry sources said yesterday the company will announce next month the luxury Imperial sedan will be built at the plant starting in the summer of 2009 under a program called "Project X."

The company could also offer the option of a diesel engine for the luxury model, which is about a half-metre longer than the Chrysler 300, according to the sources.

Stuart Schorr, senior manager of communications for DaimlerChrysler Canada, would not confirm any plans for another vehicle at the assembly plant, northwest of Toronto.

Frank Ewasyshyn, executive vice-president of manufacturing for the Chrysler Group, is scheduled to make an announcement at the plant on June 11, the sources said.

There has been widespread speculation that Chrysler would select the Brampton plant if it decided to build the Imperial.

But a decision by workers earlier this year to reject workplace concessions jeopardized the Brampton plant's chances.

About 1,800 workers overturned that decision a few weeks later and accepted changes, including the elimination of premium pay of about $5,000 annually if the company eventually decided on production of a fifth model there.

The plant currently produces the rear-wheel drive Chrysler 300 sedan, Dodge Magnum wagon and Charger sports car on the LX platform. Assembly of the Dodge Challenger muscle sports car will start next year.