Chrysler Group's
three automotive divisions have joined the Fiat's Group's own brand
collection in one hall in Frankfurt this week where the
Italian company has announced that it is putting back
revealing future product plans for the North American
carmaker until November while also saying that the newly acquired Bertone plant in
Turin will be used to build future Chrysler Group models.
Fiat which took over control of Chrysler
Group in June as well as gaining an initial 20 percent stake
and had
been expected to outline future plans for the ailing North
American carmaker later this month; however an announcement
will now wait until early November. In the meantime it was
revealed today that following the conclusion of the U.S.
government's scrappage scheme, Chrysler Group's sales are running 19 percent
down this month compared to August. "We are going to see
harsh reality in September," Fiat Group CEO Sergio Marchionne said
today. Chrysler's sales chief
Peter Fong blamed the lack of cars available for the decline
this month, saying that
dealers had 83,000 cars on the lots at present, less than a
quarter of what they had a year ago. "For Chrysler, our story is a
lack of inventory," he said in Frankfurt, adding: "It’s the
lowest level that anyone can remember, I think it's likely
that car sales will bounce back next month."
With sales quickly collapsing and an aged
model range, Chrysler Group's future plans cannot come soon
enough. It is widely believed that some of the hold up in
announcing the future strategy is due to intense
negotiations with different states and regions for the
strongest incentives as long-term production locations are
chosen. Marchionne wouldn't be drawn into discussing any
individual locations and for the Fiat 500, widely expected
to be built at Chrysler's Toluca in Mexico, he would only
say in Frankfurt that it would be built "somewhere in NAFTA." The
November plans will also include news of how Alfa Romeo will
be relaunched in the U.S. with Marchionne revealing that a
limited number of Chrysler dealers will have the opportunity
to extend their showrooms to take on the Italian sports
brand.
Marchionne also
said in Frankfurt that the situation at Chrysler is even
worse than he had expected, with no forward planning having
been made since private equity house Cerberus Capital
Management bought Chrysler from its then owner Germany's
Daimler two years ago. "There's a whole pile of stuff that we didn't see
when we came, that we we were not expecting,” Marchionne said.
“Probably the single largest surprise to us was how little
had happened in the past twenty four months to get
competitive." Chrysler executives are now working round the
clock, seven days a week as they try to put the carmaker
onto a path that will safeguard its future. "It's pretty intense stuff
what's going on," added Marchionne who likened the activity
now to the dramatic turnaround that was undertaken at Fiat after
he arrived as CEO.
Marchionne also revealed that he has
completely shut
the door to a deal for Opel, even though a sale to Canadian car parts and
contract manufacturer Magna still hasn't been inked. "I've
completely closed with Opel," he told reporters in
Frankfurt. Marchionne believes that a carmaker can only be
profitable if it makes 5.5 to 6 million cars a year and he
will now try to achieve that objective through the new
partnership between Fiat and Chrysler. "Wait until
November," when he will reveal his plans for Chrysler he
said, "we'll see if I get there on my own."
Marchionne also praised the U.S. for its
attitude to rationalising the car industry this year
compared to the European attitude. The U.S. approach was
"much more thoughtful, much more reasoned that we've had in
Europe," he said. "As a result of this crisis, there has not
been a single plant that has been shut down, not a single
attempt at rationalisation in Europe, even though capacity
is long." He also said that Bertone will build Chrysler
models in the future. Currently Magna, who beat Fiat to Opel
this year, assembles the Jeep Grand Cherokee and Chrysler
300C for the European markets and this arrangement is likely
to come under review with the Grugliasco factory in Turin
expected to start building cars from 2011, possibly kicking
off with the replacement for the 300C.
Meanwhile on the
Chrysler Group stand in Frankfurt this week the U.S. carmaker is showing a
mixture of cars from the Chrysler, Dodge and Jeep brands,
all
being presented in Model Year 2010 specifications which are
mostly focused around revised interiors and other cosmetic trim upgrades,
and include two new limited series models, the Jeep Patriot
Overland and Chrysler 300C Touring Walter P Chrysler Series
Edition.
Approximately 40 percent of Jeep
Wrangler customers who order exterior accent packages will
purchase chrome to customise their vehicle and a Mopar-outfitted 2010 Wrangler Unlimited, on display this week
in Frankfurt
showcases a new line of chromed parts and
accessories from the minds of Mopar. The “Moparized” Wrangler Unlimited features
chromed mirror covers and brushed stainless steel door
sills--popular accents that hold true to the appearance
theme. At the rear of the Mopar-outfitted Wrangler
Unlimited, a chromed fuel-filler cap and an upgraded chromed
exhaust tip sparkle even in the worst weather and off-road
conditions. In addition, tubular side steps double as easy
entry points. Further, Mopar’s18-inch chromed aluminium
wheels are added to enhance the appearance. Finishing off
the Wrangler Unlimited, the historical
seven-slot grille is upgraded to a chromed grille.
In addition to chromed accents, Mopar offers a vast
selection of parts and accessories to further enhance the
capability and performance of Jeep Wrangler. These parts and
accessories include lift kits, upgraded axles, rock
protection, cold-air intake kits and cat-back exhaust
systems. Whether it’s chromed accents or lift kits, new Wrangler customers spend approximately
US$325 on Mopar parts
and accessories in order to customise their new vehicle. To
meet the demand of customer individuality, these parts and a
variety of others may be ordered and installed at the
dealership. They may also be installed at the factory. “Right after Dodge Ram, Jeep Wrangler is our most
accessorised vehicle,” said Pietro Gorlier, President and
Chief Executive Officer – Mopar Service, Parts and Customer
Care. “From chromed parts to axle kits, we offer our Jeep
Wrangler owners hundreds of parts and accessories from which
to choose.”
ItaliaspeedTV:
Chrysler 300C
Touring Walter P Chrysler Series Edition /
Jeep Patriot Overland