Chrysler said Thursday it would spend $600 million to add a 638,000 square-foot body shop at its Belvidere, Ill., Assembly Plant.
Work on the expansion should be completed in 2011 to have the upgrades available for work on 2012 model cars, Chrysler said.
In the statement, Chrysler did not mention how many jobs the investment the expansion at the plant would create. But the company thanked the state of Illinois for support and "more importantly, this investment recognizes the support of the United Auto Workers and the role that our skilled and dedicated workforce has played," Chrysler said.
GM said in its own statement it would spend $190 million on upgrades at its Lansing, Mich., Grand River plant for production of Cadillacs. The investment anticipates the addition of a second shift at the plant, adding 600 workers to the payroll.
GM Chief Executive Officer Dan Akerson said the move would accommodate demand for "America's fastest-growing luxury brand this year."
Chrysler said its investment contributed to $2.1 billion invested in plants since June 2009. GM said it had invested $3.1 billion in its facilities since July 2009, adding 7,900 jobs.
Both companies emerged from bankruptcy last summer with billions of dollars in taxpayer assistance.