OT: Chrysler getting axed?

Submitted by SteelCityMafia on

With the FIAT-Chrysler news conference Friday morning at 3am Eastern, the company is prepared to release their new five-year plan. Chrysler, the halo brand of the American portion of FCAU, is rumored to be on the chopping block with the nameplate getting shuttered altogether. This would just leave Dodge, Jeep, and Ram as the lone brands remaining, with Jeep and Ram both being part of rumors to be sold off to various investors over the last five years or so. Additionally, Fiat is pulling out of the US market.

 

As a big MOPAR fan who has family ties to Chrysler this stings quite a bit, and I am hoping it does not preceed a sell-off of the Jeep/Ram duo and the closing of the Dodge brand. Dodge especially makes very cool cars and I wish for a successful future for the company.

 

https://www.clickondetroit.com/automotive/fiat-chrysler-expected-to-ann…

Inflammable Flame

June 1st, 2018 at 6:36 AM ^

I'm under the belief that Dodge, Jeep and Ram will remain. Dodge has some pretty cool rumors that the next gen Durango will be based on a Ram 1500 platform to bring back the RamCharger (to compete with the upcoming Ford Bronco and potential Chevy Blazer); while Jeep will be expanding it's lineup to include the Scrambler (or whatever the Wrangler truck will be called), Wagoneer and Grand Wagoneer. Not sure where the Wagoneer fits in, but the Grand Wagoneer was rumored to be in the Range Rover-class. And with Ram rumored to be testing a nextgen hemi for the HD Rams and Rebel TRX (a direct competitor to Ford Raptor) it is kind of an exciting time for FCA's current holdings and it'll be interesting to see what comes of this.

East German Judge

June 1st, 2018 at 6:55 AM ^

No "real" reason why the Chrysler minivan and 300 could not slide over to the Dodge side of the house, and you would save on marketing dollars and not have to spend them on a Chrysler brand. This would also allow for the Viper to make a return to the Dodge portfolio.

Inflammable Flame

June 1st, 2018 at 7:19 AM ^

I do agree that someone has to make the minivan, regardless what nameplate it falls under. That could slide back to Dodge. I do find it strange though that FCA axed the Caravan to allow customers to focus on the Town&Country which became the Pacifica. And the sporty styling of the Pacifica lines up more with the Dodge brand. But far as the 300, I don't see Dodge having 3 cars on the same platform. Although like you said, it's already there so it shouldn't dent the budget. Interesting times for sure.

Inflammable Flame

June 1st, 2018 at 7:41 AM ^

And you do bring up a good point about the resurrection (...again) of the Viper. Seems the individual SRT nameplate they tried hasnt really taken off as they wanted. But I read recently that the reason Dodge (sorry, SRT) didn't put the hellcat motor in the Viper was that it was too tall of a motor. Rumor is that the next gen hemi will be designed with this "Viper" height in mind, and the Viper could return by 2021. I wonder if they'd try a mid-engine setup like the new Corvette, or keep the long nose of the Viper nostalgia?

EricSV85

June 1st, 2018 at 7:11 AM ^

We actually make parts for, I think Jeep but could be Chrysler, and they still have the old Diamond-Chrysler logo on them. In fact we've had to work the past couple Saturdays because of the high orders for those parts. Just yesterday I was thinking who's buying all these? Now I suppose they could be ramping up orders for service parts.

poseidon7902

June 1st, 2018 at 7:52 AM ^

From what I've heard, this is going to continue as the auto industry prepares for the transportation services industry to take over.  I don't know how that would play out, but the move away from conventional passenger cars to SUV and "White space vehicles" like Ford already announced kind of backs that mentality up.  The days of 17 milion vehicles sold each year is going away.  Large urban centers will start to utilize Uber and Lyft for transportation while areas outside of that will sill utilize car ownership.  I'm not a fan of this as I'm a huge Mopar fan and seeing anything that could potentially trim back the power lineups and availability just sucks to me.  But it's the way the market is moving.  Large capacity vehicles are more in demand than not now.  

Autostocks

June 1st, 2018 at 9:10 AM ^

First, it's not the halo brand anymore. Second, I doubt it gets axed because there would be no place to put Pacifica. Fiat is not on the agenda, either, and they aren't going to axe Fiat, so not sure why people are jumping to conclusions.

poseidon7902

June 1st, 2018 at 9:20 AM ^

They will either move the Pacifica under Dodge or scrap it.  It's selling, but it's not like it's selling huge numbers.  In 2016 they sold about 60k,  in 2017 115k and 2018 they are on pace for 120k.  So it's going up, but it's still not a line that demands they retain it.  Killing off the caravan name may have doomed their minivan line.  That said Dodge isn't really known for their minivans as much as the Charger, Challenger, and Durango.  I don't see it moving to Dodge and being a top seller there either.  

Autostocks

June 1st, 2018 at 11:41 AM ^

Pacifica sells in plenty of numbers, 62,000 to Waymo alone this year, but it is not consistent with the Dodge brand strategy and will not move there. Marchionne was very clear. In the interest of time, they addressed only the brands that drive the lion's share of profit.

poseidon7902

June 1st, 2018 at 9:28 AM ^

Everything Marchionne has said indicates that the company is focusing on RAM, Maseratti, and Jeep while not so much on Chrysler and Fiat.  The recent shareholder event didn't have the brand names of Chrysler or Fiat on the branded materials.  It's not hard to believe that the Chrysler name is going to go away.  It may remain in the US for a limited time, but I don't see it lasting past 2022.  

CLord

June 1st, 2018 at 9:24 AM ^

Gets me to thinking, living here in DC, how sad it is that for people living on the coasts the stigma remains 40 years later against American cars.  Pathetic how every mini van, SUV, pick up or sedan in the DC area is a Honda or Toyota.  Should rename this town the District of Corollas.  All these federal workers, bleeding their salaries off of the American tax payer, can't even do their part to buy American...  "But Toyota employs more Americans than GM!" blah blah blah

Sad man.  For us whose hearts are bound to Michigan and the Motor City this Chrysler news does hurt. 

Reader71

June 1st, 2018 at 11:00 AM ^

I agree that Americans should buy more American cars, especially since we’re making pretty good ones nowadays. But government employees “bleeding their salaries off of the American tax payer” is a terrible way of thinking about it, or any economic transaction.

Navy Wolverine

June 1st, 2018 at 2:38 PM ^

and I used to feel that way myself having grown up in Detroit. But after very bad and expendive experiences owning a Ford Thunderbird and Jeep Grand Cherokee, I became agnostic as to where my cars are made. Cars are so expensive and such a big investment that I need to buy the vehicle that is the best value for me (and my family) in terms of ownership cost, resale value, etc. I will not even consider a car that gets less than a 3 (out of 5) in reliability from Consumer Reports and have not actually bought a car that has gotten lower than a 4. This approach has saved me lots of money over the years. If there are two vehicles I like that both meet that criteria and one is American, I will pick that one.

Another question is what is an American made car any more. Is a Ford manufactured in Mexico more American than a Toyota or BMW manufactured in the U.S.?

Navy Wolverine

June 1st, 2018 at 2:22 PM ^

According to Consumer Reports:

The Toyota 4-Runner gets for reliability ratings from 2008-2017 (5/5 is the best score).

2017 - 5/5

2016 - 5/5

2015 - 5/5

2014 - 5/5

2013 - 5/5

2012 - 5/5

2011 - 5/5

2010 - 5/5

2009 - 5/5

2008 - 5/5

The Jeep Grand Cherokee gets the following reliability scores:

2017 - 3/5

2016 - 2/5

2015 - 1/5

2014 - 1/5

2013 - 1/5

2012 - 1/5

2011 - 1/5

2010 - 3/5

2009 - 4/5

2008 - 3/5

To be fair, the Grand Cherokee gets an overall score of 59 with a road test score of 80 compared to a road test score of 55 and overall of 62 for the 4-Runner (CR doesn't like the 4R much, "good for offroading and not much else"). Neither vehicle is recommended by CR.

Compare that to the Toyota Highlander which is CR's top-rated mid-sized SUV and gets an overall score of 85 and has reliability ratings of 5/5 in 8 of the last 10 years (the other two years were 4/5).

 

ak47

June 1st, 2018 at 11:23 AM ^

Lol at people should buy american. Why? They should buy the best product at the best price. I had no idea people thought Dodge was a cool brand, that is news to anyone I would know. Jeep makes mediocre cars, the Cherokee has a massive transmission issue and is known to need a ton of repairs. The non american brands have better gas mileage, better performance, and better resale value. 

And the American car companies are showing again why they are behind with Ford dropping cars, being behind in the development of electric cars, etc. and when gas prices go up again and automated cars make car sharing a more realistic option for more people when a car can come to you they will continue to fail.

ak47

June 1st, 2018 at 2:15 PM ^

Any individual class or car can be different and chevy is having a pretty good run in the sedan space but yeah that is still the general truth about cars. Not everywhere is detroit and for people who don't have connections to the car companies they want to and should buy the best product, that will last the longest, and be the best investment. Those tend not to be the american car brands because that has never been their focus.

SouthOfHeaven

June 1st, 2018 at 12:21 PM ^

Fiat may be pulling out because they might not have use for it anymore if/when the MPG regulations get axed. IIRC, Fiat kept Chrysler's average MPG low enough for them to put big motors in all their other stuff. 

jeepnut

June 1st, 2018 at 1:31 PM ^

I'm not saying there's no smoke to that rumor, but I doubt it's ever been as eminent as the news articles make it out to be.  If you want the latest on what is happening with Chrysler and the rest of MOPAR, check out allpar.com.  Lots of FCA insiders there that can debunk the myths.