Stellantis to Invest $388 Million in Detroit Megahub

By Dean Seal

Stellantis said it plans to invest $388 million to develop a megahub in Detroit for its Mopar service parts distribution network.

The maker of Dodge and Jeep vehicles said the new facility is set to launch in 2027 and be located in the Van Buren Township of Michigan, a western suburb of Detroit.

The facility will feature AutoStore automated storage and retrieval systems, which use compact robots to retrieve parts and deliver them to workstations.

The automaker recently sold its Michigan parts distribution centers and one other in Milwaukee as part of a broader consolidation strategy. Operations at those facilities will continue as part of a sale-leaseback agreement.

About 488 union-represented employees will transition to the megahub from other Stellantis distribution centers.

Write to Dean Seal at dean.seal@wsj.com