"These announcements reflect our ongoing commitment to our US manufacturing footprint and the dedicated employees who have contributed to FCA's success", said CEO Sergio Marchionne in a statement.
FCA is moving production of the next-generation Ram heavy-duty pickup truck in 2020 from Mexico to its Warren Truck Assembly Plant in MI where it will be built alongside the new Jeep Wagoneer and Grand Wagoneer.
The Saltillo plant will be repurposed for production of future commercial vehicles for global distribution.
And because of the tax code overhaul, it will give $2,000 bonuses.
Fiat Chrysler Automobiles is feeling good about tax reform.
This story is developing.
FCA said 2,500 new jobs will be created, in addition to the jobs detailed in January 2017 when FCA said it would move light-duty Ram truck output from the Warren plant to a Sterling Heights factory.
Fiat Chrysler said it does not plan to shut the Saltillo plant, but declined to comment on which models will be made in Saltillo after Ram production moves north. FCA had pledged to invest $5.3 billion in American plants to guarantee additional union jobs as part of that agreement.
Since August, the U.S., Canada, and Mexico have been in talks to revise the 24-year-old Nafta agreement, and are going for a crucial round in Montreal later this month.
Fiat Chrysler had already been planning to bolsterproduction at the Warren plant. That was a change from original plans to stretch the Jeep Grand Cherokee platform for the high-end Wagoneers.
"We are building on investments we've been making in associates, in their wages and skills development", Wal-Mart Chief Executive Doug McMillon said in a statement. "Great announcement. Proof that this admin's AMERICA FIRST policies are WORKING!"