Chrysler gets tax break for engine plant

A Trenton Engine Plant worker loads block castings for a Pentastar V-6. Chrysler plans a $40 million expansion of the plant.

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DETROIT -- Chrysler Group plans a $40 million expansion of its Trenton Engine Plant in suburban Detroit to build new 3.2-liter V-6 engines and expand production of other V-6 and I-4 engines.

Last month the automaker was approved for a tax abatement it sought from the city of Trenton, Mich., to boost production of its Pentastar V-6 and Tigershark I4 engines. The latest project is in addition to an expansion at the plant announced last year.

Chrysler plans to build an additional 150,000 engines annually in Trenton as part of the project, according to an application for its latest tax abatement. The plant is one of two engine plants -- a twin plant is in Mexico -- that build the 3.6-liter Pentastar V-6 that powers most of Chrysler's best-selling vehicles.

The four-cylinder engines, with displacements of 2.0 and 2.4 liters, are currently assembled at Chrysler's Dundee (Mich.) Engine Plant, which, like Trenton, is running on three shifts. Chrysler also has confirmed that it will make a smaller, 3.2-liter version of its 3.6-liter Pentastar V-6 and will use it to power the coming replacement for the Jeep Liberty.

Last June, the company announced that it would invest $114 million in Trenton to make components for the Pentastar engines.

A Chrysler spokeswoman declined to comment on the latest abatement or its future product plans for Trenton.

You can reach Larry P. Vellequette at lvellequette@crain.com.

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