---
title: "Stellantis Is Selling Off Its Massive Arizona Proving Grounds"
date: "2024-10-20"
modified: "2024-10-20"
authors:
  - name: "Beverly Braga"
    job_title: "Weekend Editor"
    link: "https://www.thedrive.com/authors/beverly-braga"
url: "https://www.thedrive.com/news/stellantis-is-selling-off-its-massive-arizona-proving-grounds"
categories:
  - "News"
  - "News by Brand"
  - "Stellantis News"
tags:
  - "Arizona"
  - "Chrysler"
  - "Proving Grounds"
---

# Stellantis Is Selling Off Its Massive Arizona Proving Grounds

![](<https://www.thedrive.com/wp-content/uploads/2024/10/stellantis-az-proving-ground.jpg>)
*\<em\>Google Maps\</em\>*

Everyone wants to save money, but automakers sure do things differently. On one end of the spectrum, you see [Volkswagen Group](<https://www.thedrive.com/category/volkswagen-auto-group-news>) saving millions by [banning Porsche vehicles as corporate leases](<https://www.thedrive.com/news/vw-group-to-save-millions-just-by-banning-non-porsche-execs-from-leasing-porsche-cars>). On the other end, [Stellantis](<https://www.thedrive.com/category/stellantis-news>) opts to shut down an entire R&D facility.

First reported by [*CNBC*](<https://www.cnbc.com/2024/10/18/stellantis-arizona-proving-grounds-cost-cutting.html>), the Stellantis Arizona Proving Ground will close by the end of the year. Located in Yucca, Arizona, a middle-of-nowhere desert town between Las Vegas and Phoenix, the R&D facility is spread across 4,000 acres. The site has a long history of testing and training and, naturally, [spy shots](<https://www.thedrive.com/news/40400/the-secret-life-of-an-automotive-spy-photographer>).

First used as a gunnery school and pilot training facility by the U.S. military, the location was sold to [Ford](<https://www.thedrive.com/category/ford-news>) in 1954. The Blue Oval Company expanded the testing site before the facility changed hands again in 2007. Then-[Chrysler](<https://www.thedrive.com/category/chrysler-news>) paid $35 million for the proving grounds, which include areas for pass-by-noise certification, NVH development, durability mileage accumulation tests, and an 18-acre section dedicated to vehicle dynamics. The Arizona proving grounds were instrumental in the development of performance vehicles, like the [Ram 1500 TRX](<https://www.thedrive.com/new-cars/38774/2021-ram-1500-trx-review-a-702-hp-v8-isnt-the-answer-to-everything-but-it-sure-is-rowdy>).

The Arizona facility currently employs 41 people, 37 of whom are represented by the United Auto Workers (UAW). According to *CNBC*, the autoworkers union had no comment on the closure. However, although the UAW and Stellantis currently have a rather [tense relationship](<https://www.thedrive.com/news/stellantis-uaw-strike-talks-could-reopen-shuttered-jeep-plant-as-ev-battery-factory>), the Arizona shutdown isn't news to the labor union. The proving grounds, along with 17 other Stellantis locations, were discussed during last year's [contract negotiations](<https://uaw.org/wp-content/uploads/2023/11/Stellantis_PM___P__BOOK-Hourly_book-WEB.pdf>).

Stellantis will not be leaving Arizona, though. Its hot-weather testing and other R&D operations will transfer to [Toyota's proving grounds](<https://pressroom.toyota.com/a-behind-the-scenes-look-at-the-toyota-arizona-proving-grounds/>) in Wittman, an hour's drive northwest of Phoenix. The facility is new (built in 2021) and larger (approximately 12,000 acres), but maintaining such a massive facility isn't cheap, and [Toyota](<https://www.thedrive.com/category/toyota-news>) is more than happy to [share costs](<https://pressroom.toyota.com/toyota-adds-the-arizona-mobility-test-center-to-its-proving-grounds-for-industry-availability-as-a-vehicle-development-resource/>).

Stellantis CEO Carlos Tavares, who will be retiring in 2026, has been on a tear with regard to global cost-cutting measures. In the U.S., he's reduced the headcount by 15.5 percent, or about 47,500 employees, since December 2019. And more layoffs are on the horizon.

A dwindling product portfolio also no longer includes the [300](<https://www.thedrive.com/news/electric-chrysler-300-successor-already-shown-to-dealers-report>), [Challenger](<https://www.thedrive.com/news/the-last-v8-dodge-challenger-has-been-built>), [Cherokee](<https://www.thedrive.com/news/the-jeep-cherokee-is-dead-after-49-years>), or [Renegade](<https://www.thedrive.com/news/the-jeep-renegade-is-going-away-because-nobody-is-buying-them>) for the U.S. market. Tavares has been dismissive of [offers to buy out certain marques](<https://www.thedrive.com/news/stellantis-rejects-chrysler-heirs-bid-to-buy-back-chrysler-and-dodge-brands>), instead giving brands a couple more years to shape up or ship out, specifically [Chrysler](<https://www.thedrive.com/news/chrysler-could-face-the-axe-as-soon-as-two-years-from-now>) and [Maserati](<https://www.thedrive.com/news/stellantis-denies-reports-that-its-selling-maserati>). But don't hold your breath because Tavares has been known to backtrack on things, [pushing timelines sooner](<https://www.thedrive.com/news/40582/stellantis-ceo-says-chrysler-other-struggling-brands-will-have-10-years-to-prove-worth>) rather than later.

## Author
Born and raised in Hawaii, Beverly has been a prolific and published creative writer since her teens. As a contributor to The Drive, Beverly covers the weekend shift, blogging about all things automotive, mobility, transportation, and topics in-between. Currently a digital nomad, Beverly's only constant is her car, a second-generation Mazdaspeed3. Even though she's never in one place for too long, her hot hatch always feels like home.

### Author social links  
[Instagram](<http://www.instagram.com/bev_b>)  
[LinkedIn](<http://linkedin.com/in/beverlybraga>)