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Stellantis Announces $388 Million Investment in Metro Detroit Megahub to Enhance Service Parts Distribution Efficiency for Mopar

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Stellantis (STLA) has announced a $388 million investment to develop a state-of-the-art Metro Detroit Megahub in Van Buren Township, Michigan. The facility, set to launch in 2027, will feature cutting-edge AutoStore automated storage and retrieval systems, supporting approximately 488 UAW-represented jobs. This investment is part of Stellantis' broader consolidation strategy, which includes the sale of existing parts distribution centers in Center Line, Marysville, and Milwaukee. The new Megahub will incorporate advanced automation technology, with robots navigating tracks above storage bins to improve order speed and accuracy. This development follows Stellantis' 2023 UAW contract agreements, which have already seen nearly $120 million invested in parts and services operations.
Stellantis (STLA) ha annunciato un investimento di 388 milioni di dollari per sviluppare un moderno Megahub Metro Detroit a Van Buren Township, Michigan. La struttura, prevista per il 2027, sarà dotata di avanzati sistemi automatizzati AutoStore per lo stoccaggio e il recupero, supportando circa 488 posti di lavoro rappresentati dall'UAW. Questo investimento fa parte della strategia di consolidamento più ampia di Stellantis, che include la vendita dei centri di distribuzione parti esistenti a Center Line, Marysville e Milwaukee. Il nuovo Megahub integrerà tecnologie di automazione avanzata, con robot che si muovono su binari sopra i contenitori per migliorare velocità e precisione degli ordini. Questo sviluppo segue gli accordi contrattuali del 2023 con l'UAW, che hanno già portato a un investimento di quasi 120 milioni di dollari nelle operazioni di parti e servizi.
Stellantis (STLA) ha anunciado una inversión de 388 millones de dólares para desarrollar un moderno Megahub Metro Detroit en Van Buren Township, Michigan. La instalación, programada para 2027, contará con sistemas automatizados de almacenamiento y recuperación AutoStore de última generación, apoyando aproximadamente 488 empleos representados por el UAW. Esta inversión forma parte de la estrategia más amplia de consolidación de Stellantis, que incluye la venta de los centros de distribución de piezas existentes en Center Line, Marysville y Milwaukee. El nuevo Megahub incorporará tecnología avanzada de automatización, con robots que se desplazan sobre rieles encima de los contenedores para mejorar la velocidad y precisión de los pedidos. Este desarrollo sigue a los acuerdos contractuales de Stellantis con el UAW en 2023, que ya han visto una inversión cercana a los 120 millones de dólares en operaciones de piezas y servicios.
스텔란티스(STLA)는 미시간주 반 뷰렌 타운십에 첨단 메트로 디트로이트 메가허브를 개발하기 위해 3억 8,800만 달러 투자를 발표했습니다. 이 시설은 2027년에 가동될 예정이며, 최첨단 AutoStore 자동 저장 및 검색 시스템을 갖추어 약 488명의 UAW 소속 직원을 지원할 계획입니다. 이번 투자는 센터 라인, 메리스빌, 밀워키에 있는 기존 부품 유통 센터 매각을 포함한 스텔란티스의 광범위한 통합 전략의 일환입니다. 새로운 메가허브는 저장 용기 위 트랙을 따라 이동하는 로봇을 포함한 첨단 자동화 기술을 도입하여 주문 처리 속도와 정확성을 향상시킬 것입니다. 이 개발은 2023년 스텔란티스와 UAW 간 계약 체결 후 약 1억 2천만 달러가 부품 및 서비스 운영에 이미 투자된 것을 따른 것입니다.
Stellantis (STLA) a annoncé un investissement de 388 millions de dollars pour développer un Megahub Metro Detroit ultramoderne à Van Buren Township, Michigan. L'installation, prévue pour 2027, sera équipée de systèmes automatisés AutoStore de pointe pour le stockage et la récupération, soutenant environ 488 emplois représentés par l'UAW. Cet investissement s'inscrit dans la stratégie plus large de consolidation de Stellantis, qui comprend la vente des centres de distribution de pièces existants à Center Line, Marysville et Milwaukee. Le nouveau Megahub intégrera une technologie d'automatisation avancée, avec des robots se déplaçant sur des rails au-dessus des bacs de stockage afin d'améliorer la rapidité et la précision des commandes. Ce développement fait suite aux accords contractuels de Stellantis avec l'UAW en 2023, qui ont déjà permis un investissement de près de 120 millions de dollars dans les opérations de pièces et services.
Stellantis (STLA) hat eine Investition von 388 Millionen US-Dollar angekündigt, um ein hochmodernes Metro Detroit Megahub in Van Buren Township, Michigan, zu entwickeln. Die Anlage, die im Jahr 2027 eröffnet werden soll, wird mit fortschrittlichen AutoStore-Systemen zur automatisierten Lagerung und Abruf ausgestattet sein und etwa 488 von der UAW vertretene Arbeitsplätze unterstützen. Diese Investition ist Teil der umfassenderen Konsolidierungsstrategie von Stellantis, die den Verkauf bestehender Teilevertriebszentren in Center Line, Marysville und Milwaukee umfasst. Das neue Megahub wird fortschrittliche Automatisierungstechnologien integrieren, wobei Roboter auf Schienen über den Lagerbehältern navigieren, um die Geschwindigkeit und Genauigkeit der Aufträge zu verbessern. Diese Entwicklung folgt den UAW-Vertragsvereinbarungen von 2023, nach denen bereits fast 120 Millionen US-Dollar in Teile- und Serviceoperationen investiert wurden.
Positive
  • Major $388 million investment demonstrates commitment to modernizing operations
  • Advanced automation technology implementation to improve order speed and accuracy
  • Retention of approximately 488 UAW-represented jobs
  • Consolidation strategy aimed at improving operational efficiency and sustainability
  • Builds upon previous $120 million investment in parts and services operations
Negative
  • Sale of existing distribution centers in Center Line, Marysville, and Milwaukee
  • Extended timeline with facility not operational until 2027
  • Workforce relocation may cause temporary disruption to employees

Insights

Stellantis' $388M Mopar Megahub investment streamlines distribution network, enhancing operational efficiency while preserving UAW jobs.

Stellantis' $388 million investment in the Metro Detroit Megahub represents a significant operational restructuring of its Mopar parts distribution network. The consolidation of multiple aging facilities (Center Line, Marysville, and Milwaukee) into a single high-tech hub in Van Buren Township illustrates a strategic pivot toward centralization and automation to improve supply chain efficiency.

The implementation of AutoStore technology—featuring robots navigating above storage grids—signals a substantial modernization of Stellantis' parts distribution capabilities. This technology typically delivers 25-50% improvements in order processing speed while reducing physical footprint requirements by up to 75% compared to traditional warehousing systems. For a parts operation like Mopar with thousands of SKUs, this translates to meaningful improvements in inventory management and fulfillment accuracy.

The facility consolidation, while maintaining approximately 488 UAW-represented positions, demonstrates Stellantis' attempt to balance operational efficiency with workforce stability—a critical consideration given recent labor tensions in the auto industry. The 2027 launch timeline indicates a measured transition approach that allows for operational continuity through the sale-leaseback arrangement of existing facilities.

This investment follows nearly $120 million already committed under 2023 UAW agreements, suggesting this is part of a larger, systematic overhaul of Stellantis' parts and service infrastructure in North America. The focus on enhancing parts distribution speed and reliability addresses a critical competitive factor in the aftermarket parts business, where availability and delivery time significantly impact customer satisfaction and retention.

AUBURN HILLS, Mich., May 21, 2025 /PRNewswire/ --

  • Company confirms Van Buren Township, Michigan, as location for new Metro Detroit Megahub
  • State-of-the-art Mopar facility to feature cutting-edge technologies, supporting approximately 488 UAW-represented jobs
  • Investment reinforces Stellantis' commitment to operational excellence and customer service, enhancing parts availability and delivery speed across the U.S. market
  • Facility to provide modern, high-tech working environment for employees

Stellantis today announced a $388 million investment to develop a state-of-the-art Metro Detroit Megahub in Van Buren Township, Michigan, further advancing the efficiency and sustainability of its Mopar service parts distribution network.

The new facility, set to launch in 2027, will feature cutting-edge technology, including AutoStore automated storage and retrieval systems, ensuring a modern and safe working environment for employees.

"Our customers count on us to deliver the right part, at the right time, every time," said Darren Bradshaw, senior vice president and head of Mopar North America. "With the Metro Detroit Megahub, we're building a faster, smarter and more reliable parts distribution network that puts their needs first. This investment reflects our commitment to innovation, sustainability and operational excellence, while also creating a modern, high-tech workplace for our employees."

The AutoStore system uses compact robots that navigate tracks above a high-density grid of storage bins to retrieve parts and deliver them to workstations, where employees pack and process final shipments. This advanced automation improves order speed and accuracy, maximizes storage efficiency and helps accelerate delivery times for customers and dealers.

As part of its broader consolidation strategy, Stellantis recently sold its Michigan parts distribution centers (PDC) in Center Line and Marysville, as well as one in Milwaukee, Wisconsin. Operations at these facilities will continue under a sale-leaseback agreement, providing essential support until the Metro Detroit Megahub and Warren Sherwood e-coat upfitting facility are complete.

The workforce for the Metro Detroit Megahub will consist of employees from the Center Line, Warren, Warren Sherwood and Milwaukee PDC locations, facilitating the transition for approximately 488 UAW-represented employees.

Accordingly, the workforce from the Marysville location will transition to the Warren and Warren Sherwood PDC locations where they will operate until the full integration into the Megahub and the Warren Sherwood facility is final. The move aligns with Stellantis' long-term plan to modernize and centralize its service parts distribution network for improved efficiency and sustainability.

The investment in the Metro Detroit Megahub builds upon Stellantis' 2023 UAW contract agreements, which have already seen nearly $120 million invested to strengthen parts and services operations, including a new facility in East Fishkill, New York, and enhancements to existing PDCs. This latest commitment further underscores Stellantis' dedication to advancing its distribution network and supporting its U.S. workforce. 

Mopar
Mopar is the global name for Stellantis genuine parts and authentic accessories.

A simple combination of the words MOtor and PARts, Mopar offers exceptional service, parts and customer-care. Born in 1937 as the name of a line of antifreeze products, Mopar has evolved over more than 85 years to represent both complete vehicle care and authentic performance for owners and enthusiasts worldwide.

Mopar made its mark in the 1960s during the muscle-car era with performance parts to enhance speed and handling for both on-road and racing use. Later, Mopar  expanded to include technical service and customer support, and today integrates service, parts and customer-care operations in order to enhance customer and dealer support worldwide.

Complete information on Mopar is available at www.mopar.com and the Mopar blog at blog.mopar.com. For more information regarding Stellantis (NYSE: STLA), please visit www.stellantis.com.

Follow Mopar and company news and video on:
Company blog: blog.stellantisnorthamerica.com
Media website: media.stellantisnorthamerica.com
Mopar brand: www.mopar.com/
Mopar blog: blog.mopar.com/
Facebook: www.facebook.com/mopar
Instagram: www.instagram.com/officialmopar
Twitter: twitter.com/OfficialMOPAR
YouTube: www.youtube.com/c/mopar or www.youtube.com/StellantisNA

 

 

 

Cision View original content:https://www.prnewswire.com/news-releases/stellantis-announces-388-million-investment-in-metro-detroit-megahub-to-enhance-service-parts-distribution-efficiency-for-mopar-302461519.html

SOURCE Stellantis

FAQ

What is the value of Stellantis' (STLA) investment in the new Detroit Megahub?

Stellantis is investing $388 million in the new Metro Detroit Megahub facility in Van Buren Township, Michigan.

How many jobs will the new Stellantis Megahub facility support?

The new facility will support approximately 488 UAW-represented jobs, with employees transitioning from existing distribution centers.

When will Stellantis' new Metro Detroit Megahub begin operations?

The new Megahub facility is scheduled to launch in 2027.

What advanced technology will be used in Stellantis' new Megahub facility?

The facility will feature AutoStore automated storage and retrieval systems, using robots that navigate tracks above storage bins to retrieve parts and deliver them to workstations.

Which Stellantis distribution centers are being consolidated into the new Megahub?

The company is consolidating operations from distribution centers in Center Line, Marysville, and Milwaukee into the new Metro Detroit Megahub.
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