Stellantis To Set Up $388M Hub In Michigan For Parts Distribution: Retail Unmoved

Carmaker Stellantis NV (STLA) said on Wednesday that it will invest $388 million to develop a megahub in Van Buren Township, Michigan, for its Mopar service parts distribution network.

The new facility is set to launch in 2027 and will include AutoStore automated storage and retrieval systems, the company said.

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.

Darren Bradshaw, senior vice president and head of Mopar North America, said that the company is building a more reliable parts distribution network with the new facility. Mopar refers to Stellantis’ genuine parts and accessories.

The company also said that it recently sold its parts distribution centers (PDC) in Center Line and Marysville and one in Milwaukee, Wisconsin.

However, operations at the facilities will continue until the hub in Michigan and Warren Sherwood's e-coat up-fitting facility are completed.

The new hub in Michigan will employ about 488 individuals from Center Line, Warren, Warren Sherwood, and Milwaukee parts distribution centers.

Workers from the Marysville location, meanwhile, will transition to the Warren and Warren Sherwood PDC locations, where they will operate until integration into the Megahub and the Warren Sherwood facility.

On Stocktwits, retail sentiment around Stellantis was unchanged, hovering in the ‘bearish’ territory over the past 24 hours while message volume remained at ‘low’ levels.

STLA stock is down by over 16% this year and by about 52% over the past 12 months.

Also See: Dow Futures Tumble Amid Rising Geopolitical Tensions, Rising Treasury Yields

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