Fiat Chrysler Automobiles NV is expending$ 1 billion in a Michigan truck factory and paying laborer bonuses in the aftermath of a U.S. taxation cut, gestures that could come in handy amid major policy matters being sorted out in Washington.

The Italian-American automaker will share the spoils of a lower corporate tax rate by sending $2,000 checks to about 60,000 U.S. workers. Fiat Chrysler likewise will spend more than$ 1 billion and add 2,500 jobs at a factory near Detroit to produce heavy-duty Ram pickups that the company been making in Mexico.

The moves may prove useful to Fiat Chrysler’s make. Threats by Donald Trump to withdraw the U.S. from the North American Free Trade Agreement or dramatically rework the deal have spurred alerts from the auto industry of major harm. The president also has said he’ll cut carmakers a break on fuel economy criteria his administration is reviewing and explicitly asked them to return the favor by hiring more workers.

” At least building Trump’s tax scheme look like it’s rewarding employees very quickly should bode well with the concerned authorities ,” Dave Sullivan, an analyst at AutoPacific Inc ., said by phone.” Part of it also is showing the concerned authorities how many employees they have here in the U.S .” and signaling the company will” pump that fund right into the economy .”

Share Surge

The investment follows a dramatic jump in Fiat Chrysler stock amid optimism about its product lineup being revamped with fresh trucks and sport utility vehicles. The company’s U.S.-listed shares have surged 31 percent already this year after virtually doubling in 2017. The automaker is set to expose revamped Ram 1500 and Jeep Cherokee simulates at the Detroit auto show next week.

” It is only proper that our employees share in the savings generated by tax reform and that we openly acknowledge the resulting improvement in the U.S. business environ by the investment in our industrial footprint accordingly ,” Chief Executive Officer Sergio Marchionne said in a statement.

Fiat Chrysler has been rendering heavy-duty Ram pickups in Saltillo, Mexico. The company’s flower “theres been” re-purposed to build commercial vehicles.

Consolidating Ram production in Michigan will help protect Fiat Chrysler against possible disruptions to Nafta. Trump reiterated a threat to pull out of the trade accordance on Thursday, a day after Canadian officials said they viewed the odds of withdrawal as rising.

Nafta Hedge

The investment” is a hedge by FCA against the increasing likelihood that Nafta will be fell or renegotiated to favor manufacturing in the U.S .,” Erik Gordon, a prof at the University of Michigan’s Ross School of Business, said in an email.” It’s the best news for Michigan auto workers in a very long time .”

Fiat Chrysler announced a year ago that it would invest in its Warren, Michigan, mill to rendered the Jeep Wagoneer and Grand Wagoneer SUVs and that the flower be permitted to build “the worlds biggest” Ram trucks.

The approximately $120 million payout to employees will be in addition to profit-sharing checks that United Auto Employee members as part of Fiat Chrysler’s union contract. Wal-Mart Store Inc. stated earlier Thursday it will boost wages to $11 an hour and also make just as much $1,000 bonuses to employees after Trump and Congress cut the U.S. corporate tax rate to 21 percent from 35 percentage late last year.