Stellantis Is So Broke It's Selling Arizona Proving Grounds
Stellantis has announced the sale of its Arizona Proving Grounds as part of its ongoing cost-cutting measures.
Located in Yucca, Arizona, the 4,000-acre site has been a testing ground for decades—the site was originally purchased from Ford in 2007 for $35 million and has been a crucial facility for vehicle performance testing. Notable vehicles to come out of the facility in recent years include the Ram 1500 TRX.
According to a report from CNBC, Stellantis plans to utilize a proving ground owned by Toyota, also located in Arizona. For those curious, Stellantis will continue to operate its proving grounds in Chelsea, Michigan.
Stellantis confirmed that the decision is part of its strategy to "improve efficiency" in a rapidly evolving global market. The proving grounds currently employ 41 people, 37 of whom are unionized hourly workers represented by the UAW. Stellantis has said it is working with the union to provide special packages and transfer options, though some employees may face indefinite layoffs with two years of pay and benefits.
The facility’s sale is not a surprise, as it was one of 18 potential closures discussed during last year’s contract negotiations with the UAW. Stellantis has been reducing its workforce over the past few years, with a 15.5% reduction in its U.S. headcount since 2019.
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An experienced automotive storyteller and accomplished photographer known for engaging and insightful content. Michael also brings a wealth of technical knowledge—he was part of the Ford GT program at Multimatic, oversaw a fleet of Audi TCR race cars, ziptied Lamborghini Super Trofeo cars back together, been over the wall during the Rolex 24, and worked in the cut-throat world of IndyCar.
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