The company is also making a special bonus payment of $2,000 to approximately 60,000 FCA hourly and salaried employees in the USA, excluding senior leadership.
Under Marchionne's leadership, Fiat and Chrysler have come together to create a leading global player in the automobile sector, leveraging the product portfolios, purchasing power and distribution capabilities of both partners.
The investment announcement comes a year after Fiat Chrysler revealed initial plans to invest in Warren for the launch of the new Jeep Wagoneer and Grand Wagoneer.
Fiat Chrysler says because of the President's new tax law, it will invest more than $1 billion in modernizing the Warren Truck Plant and will add 2,500 jobs. In January 2017, the company said it would spend $1 billion to expand factories in OH and MI, creating 2,000 jobs total. At that time, FCA said it would spend $1 billion across two plants: Warren and Toledo where retooling is needed to make a new Jeep Wrangler pickup. The bonus will be paid to all eligible employees of the FCA automotive and components operations.
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The company also noted that it has invested some $10 billion in its US manufacturing operations since June 2009, with some $3.5 billion alone focused on Jeep and Ram Truck production realignment that included the addition of 3,700 new jobs.
"These announcements reflect our ongoing commitment to our US manufacturing footprint and the dedicated employees who have contributed to FCA's success", Marchionne said. Production of the next generation of Ram Heavy Duty trucks will move from Saltillo, Mexico, to the plant in 2020.
Fiat Chrysler said the actions were made possible in part by passage of the USA tax reform legislation. He says employees should also share in the tax savings.
Fiat CEO Sergio Marchionne said news of the investment shows how committed the company is to investing in the United States, in a statement cited by CNBC report. The current Ram heavy duties are built at the Saltillo Truck Assembly Plant in Mexico. In the process, it will add 2,500 jobs.