Ford is investing $1.6 billion to upgrade manufacturing facilities in Michigan and Ohio to support production of a new 10-speed transmission for certain F-150 models and Super Duty chassis cab.

Ford will create or retain 650 jobs by investing $1.4 billion in its Livonia Transmission Plant and $200 million in its Ohio Assembly Plant. This investment is part of a $9 billion commitment the automaker made in an agreement with the United Automobile Workers Union in 2015, according to Ford. 

The investment creates or retains 500 hourly jobs at the Livonia Transmission Plant to build a new 10-speed transmission for the 2017 F-150 Raptor and certain F-150 models. Production on this transmission begins in June.

The investment and 150 hourly jobs at the Ohio Assembly Plant, located in Avon Lake, will be used to build the Super Duty chassis cab.

The Livonia Transmission Plant currently builds a 6-speed transmission used in a wide range of its vehicle lineup. The Ohio Assembly Plant currently produces the F-350, F-450 and F-550 Super Duty, F-650, F-750, Ford E-Series cutaway vans, and stripped chassis.

In the past five years, Ford has invested an estimated $12 million in its U.S. plants and created almost 28,000 jobs.