The investment will increase the capacity of the torque converter the company is machining for the nine-speed transmission.

The investment will fund the installation of new equipment and tooling for additional machining and assembly capacity. Installation is expected to begin in the third quarter of 2014 and will be completed by the end of 2014.

The new torque converters will be paired with the next generation, nine-speed front-wheel drive transmission currently being assembled at Chrysler Group’s Indiana Transmission Plant I. The new transmission will form part of the 2014 Jeep Cherokee.

“The new nine-speed transmission is a critical part of our strategy to meet fuel economy requirements over the next several years, and Toledo Machining will play an integral role in bringing this transmission to market,” said Scott Garberding, senior vice president, manufacturing. Chrysler’s total investments in its US operations since June 2009 are now over US$5.2 billion.

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