DETROIT -- Ford Motor Co. said today it is spending $155 million on its Cleveland Engine Plant No. 1 to build the upgraded V-6 engine for the 2011 Mustang.
The investment creates 60 jobs at the plant.
With this investment, Ford said, the company has spent $1.8 billion in powertrain engineering and facility upgrades to support 2011 vehicle launches. The company said it expects to increase that but declined to give an amount.
Ford today also released pricing on the 2011 Mustang. The base price of the V-6 model is $22,995, a Ford spokeswoman said. The base price on the GT is $30,495. Those prices include shipping.
Smaller engine, bigger results
Ford expects the upgraded V-6 engine to make up two-thirds of the Mustang sales this year, the company said in a statement. The 2011 Mustang goes on sale this spring.
The all-aluminum, dual-overhead-cam, 3.7-liter, 24-valve V-6 engine delivers 305 hp and a projected 30 mpg on the highway with a six-speed automatic transmission.
The engine helps the 2011 Mustang nose ahead of the 2010 Chevrolet Camaro V-6 -- but not by much. The Mustang has one more horsepower and one more highway mile per gallon than the Camaro.
This re-engineered V-6 is smaller than the engine it replaces -- a 4.0-liter V-6 made of cast iron, said Richard Truett, a Ford spokesman. But the upgraded V-6 tops the 2010 engine in power and fuel economy, he said. The V-6 in the 2010 Mustang delivered 210 hp and 24 mpg highway.
Dealers have ordered nearly 11,000 of the 2011 Mustangs since the order banks opened in January, Ford said.
The 2011 Mustang GT also comes with a new 5.0- liter V-8 rated at 412 hp and 25 mpg. That engine is built at Ford’s Essex Engine Plant in Windsor, Ontario. The previously shuttered plant has been getting $590 million in upgrades to produce nine engines and transmission for the 2011 model year, including the Mustang V-8. Six of those nine products are already in production, Ford said.
The Mustang Shelby GT500 will be powered by a 5.4-liter supercharged V-8 making 550 hp. The supercharged V-8 is built at the Romeo Engine Plant in suburban Detroit.
Mustang sales fell 27 percent in 2009 compared with the previous year. Ford sold 66,623 Mustangs last year.
The $155 million being spent in Cleveland encompasses $121 million in retooling the manufacturing systems and $34 million for the launch and engineering of the engine, the company says.
In March 2009, Ford resumed production at the Cleveland plant to make it the first to build fuel-efficient engines with EcoBoost technology. Ford spent $55 million for tooling and equipment upgrades to build those engines at the plant, which was idled in 2007.
Cleveland Engine Plant No. 1 has produced more than 35 million engines since 1951.