Stadelman disappointed by delays in Belvidere Plant investment, calls on Stellantis to honor original deal

ROCKFORD - Following Stellantis' announcement of delaying their investment in the Belvidere Assembly Plant in his district, State Senator Steve Stadelman is urging the company to follow through on their 2023 commitment to invest nearly $5 billion to revive the plant.

"Delaying the revitalization of the plant jeopardizes the economic security of our community, as well as the trust between Stellantis and the United Auto Workers," said Stadelman (D-Rockford). "The deal we reached last October is good for our community and all parties involved, and it needs to be honored by Stellantis."

Belvidere Assembly Plant has been producing cars since 1965. Initially owned by Chrysler, the plant was purchased by Stellantis, a company owning several car brands including Dodge and Ram. A year after the buyout, Stellantis announced the plant was going to be "indefinitely closed" starting in 2023.

Following this announcement, members of the UAW union began a strike in opposition. Stadelman, as well as other state and local leaders, worked with both parties until they agreed to a contractual agreement to reopen the plant in the next few years.

The contract terms included that the revitalized plant would manufacture a new Ram truck, as well as expand operations to include a new battery plant, parts distribution hub and a new electric vehicle line. The contract came as Illinois continued to offer incentives for EV manufacturers to invest in Illinois plants, including the Reimagining Energy and Vehicles in Illinois Act in 2021, a historic stimulus package offering tax credits and other incentives to attract manufacturers of electric vehicles, batteries and other EV components, of which Stadelman was the lead sponsor.

Since then, Illinois has continued to incentivize EV production in Illinois, creating the $400 million Large Business Attraction Fund to empower Illinois to become a global magnet for EV technology. While these incentives drew Stellantis to commit to revitalizing the Belvidere plant, the company is pushing back the timeline for the plant to reopen and refusing to negotiate with the UAW.

"Stellantis signed onto this agreement because, with our gracious incentives to invest in EV, Illinois seemed like the best place to produce these vehicles," said Stadelman. "However, they've decided now to turn their back on what truly makes Illinois the best place for auto manufacturing - our automotive workers. I implore them to meet with UAW members to find a compromise or a path to honoring the original agreement, as it would benefit them and members of my community who would see thousands of job opportunities in our district."