Ford said Monday it will create 1,200 new jobs next year at its Flat Rock, Michigan, plant where it plans to produce the 2013 Fusion sedan.
The plant, jointly owned by Ford and Mazda but managed by Ford, produced the Mazda 6 up through last month, and currently produces Ford's Mustang sports car.
When Fusion production begins at the plant, it will employ 2,900 workers assembling both Fusions and Mustangs, Ford said.
Meanwhile the company, the second largest US automaker, said it is investing $555 million in a new flexible body shop, allowing it to produce more vehicles at one location.
"By fully incorporating Flat Rock Assembly into our manufacturing system, we are able to take advantage of internal efficiencies that will streamline our ability to produce vehicles," said Jim Tetreault, Ford vice president of North America Manufacturing.
"This is critical as we increase our capacity to meet growing customer demand for our products."