FIAT CHRYSLER

Contrary to the Latest Rumors, the Ram Dakota Will Return (Maybe)

March 3, 2021 by admin 1 Comment

A source familiar with Stellantis’ plan says a new Dakota is in the works.

Dodge Dakota — The Dodge (Ram) Dakota was discontinued in 2011.

The Ram brand is firmly under the control of Stellantis, the new entity that combines Fiat Chrysler with the PSA Groupe. As part of the new company’s product review, the previous plans for Ram are receiving scrutiny, to determine how they’ll fit within Stellantis’ mission.

We’ve received confirmation that the beleaguered Chrysler and Dodge brands will survive under Stellantis and also know that Jeep and Ram are important components, and profit centers, for the company. All four traditional U.S. brands have a future, with Dodge remaining the performance brand, while Chrysler’s role must still be defined.

State of the Ram Dakota Pickup Truck

One of the products planned for Ram is a new Dakota pickup truck. That model will share the Jeep Gladiator’s platform, although differences in design will likely give this midsize model a distinct appearance. We haven’t seen a Dakota in a decade when Dodge trucks became Ram and the Dakota name was canceled soon thereafter.

As February drew to a close, rumors surfaced online that Stellantis canceled the Dakota product. At least one automotive blog shared the “news,” which was disseminated on Twitter through the following tweet, “Stellantis has cancelled the Ram Dakota so the company can focus towards Electrification. The Dakota was expected to be based on the Jeep Gladiator and be powered by the 3.6L Pentastar V6.”

But a few days after the “news” emerged, an unidentified source told Automotive News that the rumors were just that – rumors. Yet, the industry’s newspaper of record held back from fully endorsing this viewpoint by referencing the new Stellantis pickup as Schrödinger’s Dakota, playing on the late Austrian theoretical physicist’s thought experiment of a test subject cat that might be placed in a box with something that could eventually kill it (such radioactive atom). You wouldn’t know if the cat was dead or alive until the box was opened, so in a sense, the cat was considered both “dead and alive” while in that state.

For the long story made short, the Schrödinger Cat experiment is often used to relate to other worldly matters, particularly news of a product’s impending demise (or resurrection). The scientific reference is perhaps fitting, given the uncertainty/vagueness/contradiction of the rumors.

Two Pickup Trucks for Ram

That said, Auto Trends maintains that a midsize pickup truck is essential for the Ram line, perhaps more so than for Jeep. Yes, the Gladiator is already in place, but Ram is Stellantis’ truck brand, thus giving customers a 1-2 pickup truck punch makes sense. After all, Ford, Chevrolet, Ram, GMC, Toyota, and Nissan have two models in place…in some cases three if you separate the light-duty trucks from the heavy-duty lines, such as the Ford F-150 and the Ford Super Duty.

Though it has been 10 years since the last Dakota was built, rumors of its return have come and gone. When Ford committed to returning the Ranger to the North American market, it was certain Ram would do likewise. Later, Fiat Chrysler officials confirmed a new Dakota model, one utilizing the Gladiator’s platform, but with some distinct differences to align the truck with the brand.

Among the rumors of the Dakota’s cancellation surfaced a possible reason: that Stellantis was devoting its resources to electrification. Well, that is true and among the models slated for the electric treatment is the Jeep Gladiator pickup truck itself, particularly in hybrid guise. Given that the Gladiator platform will support an EV, it’s logical that the Ram Dakota would also see such an option. That’s a great way to spread and share costs, by utilizing two or more models and building out from there.

See Also — Ram Gets a Midsize Pickup Truck

What’s the Future for Chrysler and Dodge Under Stellantis?

February 16, 2021 by admin 3 Comments

Chrysler Pacifica — The Pacifica/Voyager is one of two Chrysler models left.

Stellantis is here, which represents the new name for the newly merged Fiat Chrysler – PSA Groupe entity. Headquartered in the Netherlands, with regional headquarters in Michigan, Italy, and France, this automaker controls 14 brands. That’s two more than the Volkswagen Group, which previously had the largest portfolio.

Although just finalized in January 2021, the new company is working diligently to shape its future. That future will follow the exacting scrutiny of each brand and its place in the Stellantis universe.

Chrysler, Dodge, Jeep, and Ram

Of the American brands, Chrysler and Dodge are the most vulnerable at this point. Ram and Jeep, the other two domestic brands, are in excellent shape. Both have a clear mission and will likely supply huge profits for Stellantis.

There has been much speculation about the future of Chrysler and Dodge, but already the two brands have received some good news. The company’s CEO, Carlos Tavares, recently toured North America and said that Chrysler, along with the Fiat and Peugeot brands, represents the “three pillars” of the new company or the hallmarks of American, Italian, and French heritage as reported by the Detroit News.

Chrysler and Fiat are considered among the most vulnerable of the 14, with Peugeot’s place secure. However, Peugeot’s plans to return to the U.S. have already been scuttled.

Yours truly immediately after our Uwharrie adventure concluded.

Chrysler and Technology

The Chrysler brand is a shell of its former self. It’s comprised of two models: the Pacifica/Voyager minivan and the 300 large sedan. The Pacifica rolled out in 2017, while the 300 in its present form is a decade old. Tavares indicated Chrysler will receive new products, which is the best endorsement yet for this near century-old marque.

Tavares also indicated that Chrysler might once again become a showcase for American technology as it once was. Specifically, it might become the leader of autonomous vehicles, zero-emission vehicles, and connectivity reports Motor Trend. Notably, with the Pacifica Hybrid, the brand has already served as a testbed for autonomous vehicles, including for Waymo.

Dodge Performance

Dodge’s place also seems secure, with Stellantis describing it as its “performance brand.” The Charger and Challenger, like the Chrysler 300 are aged models, but both provide an important halo for the brand. Dodge’s remaining product line includes the Durango, a model that shares its bones with the Jeep Grand Cherokee. With a new Grand Cherokee on the way, the Durango may see a similar revision. That’s important as the product portfolio lost the Grand Caravan minivan the Journey crossover this past year.

The soul of the Dodge brand is its supercharged Hellcat V8 engine, developed by SRT. SRT, by the way, is a casualty of the merger as the department has been disbanded and its engineers dispersed among other brands according to Motor1.com.

All three Dodge models utilize the Hellcat engine, but its future is limited as emissions regulations continue to tighten. Instead of utilizing the Hellcat engine to provide range-topping performance, Stellantis might add electrification to a V6 engine to achieve similar results. Eventually, the performance models might yield a pure-electric variant, which could provide similar results on its own.

The Hellcat as we know it isn’t likely to survive much longer.

Good-Bye, Peugeot

Peugeot’s return to the U.S. will not happen. The brand had plans to establish a dealer network to sell its vehicles stateside over the next few years, but the Stellantis merger killed that initiative. Similarly, Fiat may eventually retreat from the domestic market as it comes under review. Its U.S. sales have been paltry since its return a decade ago.

Without Peugeot-badged models present in the U.S. market, Stellantis might tap the PSA’s three core brands – Peugeot, Citroen, and DS — to expand the Chrysler and Dodge portfolios. Stellantis could simply rebadge some models or utilize existing platforms to create new product lines. Another option is to turn to Opel/Vauxhall to supply some vehicles as these brands once did for Buick when they were owned by GM.

Looking Ahead

All in all, the future for Jeep and Ram looks bright, while Chrysler and Dodge will need fresh roadmaps to help point the way forward. We think we’ll get an idea in the next few months of how that will transpire or at least a general framework for Stellantis to work with.

The 14 Brands of Stellantis

January 18, 2021 by admin 3 Comments

The Chrysler Pacifica may outlast the brand under Stellantis.

An all-new automotive brand is here and we can’t wait to learn what Stellantis will do as it manages 14 brands from two previously separate automakers. Stellantis, which roughly translates as “to brighten with stars,” is the fusion of Groupe PSA and Fiat Chrysler Automobiles. The now-active company is trading under “STLA” at stock exchanges in Paris, Milan, and New York.

The 14 Stellantis brands are the most under one automaker, which expects to sell at least 8 million units annually around the globe, making it the world’s fourth-largest vehicle manufacturer. That’s two more than the Volkswagen Group’s 12 brands, which somehow has managed to maintain each.

As for Stellantis, we think some culling is in order, although that certainly won’t happen immediately. Instead, the new company will likely review its numerous brands, the markets where these vehicles are sold, and the future of the company as electrification and driving autonomy weigh in. In all, the combined company expects to save billions annually as it takes advantage of economies of scale to reduce expenditures.

14 Brands and the Future of Each

With these and other thoughts in mind, this is how we think the 14 brands will fit in, with the North American market the primary focus.

1. Abarth – Largely a performance side of Fiat in the U.S., this brand’s fate hinges upon what Stellantis plans to do with Fiat as mentioned below.

2. Alfa Romeo – Alfa is a niche player in North America and may not stay beyond the next few years. If Stellantis decides to keep Alfa Romeo, its role may be limited to a few key markets and little more.

3. Chrysler – What can be said about the Chrysler brand which will turn 100 in 2025? There is a strong chance the brand won’t survive as it’s down to two models – the 300 and Pacifica. The 300 is aged and isn’t likely to survive. The Pacifica minivan as a lasting nameplate is in decent shape, so this model could be moved to another brand and sold there.

4. Citroen – Essentially unknown to the U.S., the Citroen brand isn’t likely to ever return. A Citroen model rebranded as a Chrysler or a Dodge is always a possibility.

5. Dodge — With the aged Charger and Challenger cars as well as the Durango SUV in need of updates, the Dodge brand doesn’t have much left to it, especially with the Journey and Grand Caravan gone. Like Chrysler, Dodge may be expendable unless new product is ported from Europe and rebadged in North America.

6. DS – Peugeot’s premium brand is a niche player and won’t head west anytime soon. A rebadged product might deliver fresh life into Dodge or Chrysler, but that’s about it.

7. Fiat — Ever since its return to the U.S. market a decade ago, Fiat hasn’t found its legs. The size of its cars is one issue, the limited product line is another reason. We think apart from Mexico and southward, the Fiat brand will disappear from the American and Canadian markets within a year or two.

8. Jeep – It is Jeep that made Stellantis a possibility. For without this fast-growing and now global brand, the merger might not have happened. We think Jeep will become the number one profit driver and growth possibility for Stellantis going forward as fresh products arrive and new markets are breached.

The iconic Wrangler remains the face of Jeep.

9. Lancia – The Lancia brand never made its way to North America and isn’t likely to do so. In fact, its future under the new regime is tenuous at best. We think along with Dodge and Chrysler, Lancia is also vulnerable and may not survive.

10. Maserati – Small sales have kept Maserati alive in North America. We believe the brand has much life left and as a profitable marque, it’ll still have its place here.

11. Opel – We’re not likely to find Opel-badged vehicles in North America, although the possibility of one or more products arriving stateside and sold as Chrysler or Dodge vehicles is possible. After all, since separating from GM, Opel has wound down its supply relationship to Buick’s Regal line. Perhaps one or more products will be relabeled for the U.S. market. That is, if the company decides to bring these models stateside.

12. Peugeot – The Peugeot brand was supposed to return to the U.S. market by 2023/2025. Now that the company is part of the greater Stellantis entity, its return may be in doubt. Instead of Peugeot-badged models returning, we may find select vehicles rebadged and sold under the Dodge and Chrysler labels. It is simply more cost-effective for Stellantis to work through the system already in place than to spend billions of dollars on reintroducing a brand that may only find limited success in a competitive market. Update: we now know Peugeot will not return to the U.S. market: See — What’s the Future for Chrysler and Dodge Under Stellantis?

13. Ram – The 1500 series is the driving force for Ram along with its heavy-duty 2500/3500 variants. The Ram brand is strong and will likely receive a midsize pickup truck next year along the lines of the Jeep Gladiator. The rest of its vehicles include various vans – we think these models will continue, although the product basis may come from some other brand besides Fiat.

14. Vauxhall – see Opel. Vauxhall continues to exist as a rebadged brand of Opel in some markets, particularly in the U.K. It is of no use beyond these markets and might simply disappear altogether.

Brand Elimination

Nixing a brand is fraught with challenges. Not only must a company wind down operations, including reassigning personnel and eliminating advertising, but it must also ensure customers move on to its other brands. And there is no guarantee of that.

Over the past quarter-century, we have seen numerous car brands eliminated from the U.S. market. You may remember some, while others are relatively unknown except to the diehard enthusiast. These include Eagle, Merkur, Daihatsu, Plymouth, Saturn, Suzuki, Scion, Oldsmobile, Pontiac, and Mercury. One brand, Hummer, returns as a sub-brand of GMC, but the others are likely gone for good.

See Also — 5 Retired American Car Brands

Peugeot May Not Return to the U.S. Market After All

January 16, 2021 by admin 3 Comments

The merger with Fiat Chrysler may nix the French automaker’s plans.

Stellantis is from the Latin word “stello,” which means “to brighten with stars.”

Update: We now know with certainty that Peugeot will not return to the U.S. market: See — What’s the Future for Chrysler and Dodge Under Stellantis?

If you’re a fan of French vehicles, you may have been looking at Peugeot’s return to the U.S. market with anticipation. Indeed, Peugeot has been working toward making its return after a decades-long absence, leaving only Renault as the lone other major French vehicle manufacturer left behind.

Alas, the best-laid plans of man sometimes must change due to unforeseen circumstances. For Peugeot, those circumstances have nothing to do with its ability to sell cars in the United States. Instead, the automaker must now find out what its new parent company wants to do. And that company, Stellantis, emerges as the final arbitrator of how its 14 brands will operate around the globe.

The World Welcomes Stellantis

Stellantis was officially birthed in January 2021 as a new company overseeing the operations of two previously separate automakers: Fiat Chrysler and Groupe PSA. Together, there are 14 brands and most already have a presence in the U.S. market. These include the former Chrysler Corporation brands: Jeep, Dodge, Ram, and Chrysler. And Fiat brands: Abarth, Alfa Romeo, Fiat, Maserati, and Lancer. The PSA Groupe brings with it Peugeot, Citroen, DS, Opel, and Vauxhall.

Peugeot, though, must reconsider its possible place in the American market. That point was driven home recently in a talk Peugeot CEO Jean-Philippe Imparto had with British journalists this week as reported by Automotive News.

This Peugeot 2008 SUV may someday find its way to the U.S.

Explained Imparto, “We can’t not take into account that in the coming days Peugeot will be part of this new world. I imagine in the coming months due to the new strategy we will have to adapt and reconsider all elements, including this one.”

The overlap would likely cover some car models, including those from Alfa Romeo. Lancia doesn’t have a U.S. presence, but the other Italian brands are embedded in the states. The Chrysler brand is currently a shell of its former self, but Stellantis may have plans to breathe new life into the marque. As Imparto indicated, it will take months for the new entity to formulate a plan moving forward.

The Jeep and Ram Brands

One of the big challenges for Stellantis is navigating its Jeep brand and, to a lesser extent, Ram. The Jeep brand is the crown jewel of Fiat Chrysler, benefitting from billions of dollars in investments, including new models and factories. Recently, Jeep unveiled its all-new Grand Cherokee L, an extended wheelbase model of its strong-selling SUV. Other models will follow, including a still larger Grand Wagoneer. Jeep is a huge profit center for the automaker and will do likewise under Stellantis.

Ram is also a big moneymaker for the automaker. Indeed, sales of the 1500 pickup truck line and its 2500/3500 companions are surging. In particular, the Ram 1500 finds itself edging the Chevrolet Silverado in sales most months, although both are far behind the Ford F-150. The Ram brand has room for growth and may eventually gain a new SUV and definitely one or more additional electrified models.

The all-new Jeep Gladiator (l) and the Jeep Wrangler (r).
In Jeep, FCA brings to Stellantis the crown jewel of its product line.

Electric and Autonomous Vehicles

Electrification and vehicle autonomy are the driving factors for automakers today. A wholesale shift from the internal combustion engine to electrical systems is underway. It’ll take decades to complete, but the industry is headed that way.

In addition, some level of vehicle autonomy is in the works. That transition may take longer, although the fundamentals are firmly in place. These two challenges may trump everything else for Stellantis, including Peugeot’s plans to return to the U.S. market.

What We Know About the All-New 2021 Jeep Grand Cherokee L

January 8, 2021 by admin 1 Comment

Jeep’s new model brings the brand into three-row territory.

2021 Jeep® Grand Cherokee L Summit Reserve (left) and 2021 Jeep® Grand Cherokee L Overland (right)

The Jeep Grand Cherokee is finally getting a three-row version with room for as many as seven passengers. This week, Fiat Chrysler (soon to be Stellantis) revealed the all-new 2021 Jeep Grand Cherokee L, which will go on sale in the second quarter. Because it’s based on an all-new architecture, it is distinctly different from the current two-row Grand Cherokee.

Seven Million Strong

It has been nearly 30 years since Jeep launched the Grand Cherokee nameplate, slotting this model above the renowned Cherokee. Over the course of three decades, Jeep has sold more than 7 million copies worldwide. Its first-ever three-row variant, which carries an “L” signature, will expand this model’s reach accordingly.

The new model will be built at Jeep’s new facility in Detroit and come in four trims: Laredo, Limited, Overland, and Summit. An all-new two-row Grand Cherokee and a 4xe electrified version of this five-seater will follow.

Sitting on a 121.7-inch wheelbase and measuring 204.9 inches long, the Grand Cherokee L launches Jeep’s initiative into larger and more luxurious vehicles. Indeed, a Grand Wagoneer prototype was unveiled last year and is expected to go into production in 2022. Where Jeep has dominated the four-by-four market from the subcompact Renegade to the burly Wrangler and on through the Grand Cherokee, the brand will target some of the biggest and priciest SUV models with its expanded product line.

Competitive Set

Inasmuch as the Grand Cherokee L is a new model, it’ll compete against many existing models that already occupy that space. For example, the Ford Explorer, Chevrolet Traverse, and Buick Enclave are among its chief domestic rivals. The Dodge Durango, an FCA product, is also present.

Further, the segment features many other competitors including the Toyota Highlander, Nissan Pathfinder, Kia Telluride, Volkswagen Atlas, Mazda CX-9, Subaru Ascent, and the Hyundai Palisade. Most of these models offer standard front-wheel drive and available all-wheel drive (only the Subaru offers standard AWD). As for the new Jeep, it comes in standard rear-wheel drive and has available four-wheel drive (like the Ford Explorer), the latter attribute underscoring its off-road prowess.

All-new 2021 Jeep® Grand Cherokee L Overland

Highlights of the Jeep Grand Cherokee L

Besides the features already mentioned, the new model will include the following:

1. Key exterior features.

All models come with automatic headlamps. From there, the differences depend largely on the trim choice and may include front tow hooks, LED fog lamps, puddle lighting, power-controlled and fold-away heated side mirrors, 18-, 20-, or 21-inch aluminum wheels, all-season or all-terrain tires, and a power liftgate, just to name a few of the key features.

2. Key interior features.

Just as the exterior comes with many feature choices, the same can be said for the cabin. Cloth seats on the base model give way to a variety of real hides on the three other trims. Further, some trims include real wood trim, including walnut. Full power accessories, climate control, and tilt-and-telescopic steering column come standard. Other available features include a heated steering wheel, heated and ventilated front seats, heated and ventilated second-row bucket seats, and seat-back massage in the first row.

2021 Jeep® Grand Cherokee L Summit Reserve offers a spacious interior
that features standard 10-inch display screens(right)

3. Seating for six or seven.

Shoppers have a choice of seating arrangements, with a 2-3-2 layout featuring a middle row bench seat or a 2-2-2 layout with center-row bucket seats. In the latter configuration, the seats feature 7 inches of travel and also tip forward for improved access to the rear seat. Moreover, the bucket seats can also be removed. Importantly, child safety seats installed in the second row can stay put when the seats are tilted forward. Also, the second-row seats recline 18 degrees.

4. Two engine choices.

Jeep’s newest model comes with two very familiar engine choices. Firstly, the standard engine is a 3.6-liter V6 with an output of 290 horsepower and 257 pound-feet of torque. Models powered by this engine come with standard rear-wheel drive or available four-wheel drive. Secondly, a 5.7-liter V8 engine with 357 horsepower and 390 pound-feet of torque is available. This one works with four-wheel drive only. Both engines send power to the wheels by utilizing an 8-speed automatic transmission.

5. Three Jeep four-by-four systems.

Like the Grand Cherokee and certain other Jeep models, this one gives shoppers a choice of three four-by-four systems along with its Selec-Terrain traction management system with five terrain modes. Dubbed Quadra-Trac 1, Quadra-Trac II, and Quadra-Drive II, these systems supply this Jeep with varying levels of off-road capabilities. All three systems come with an active transfer case that’s designed to improve traction as it moves torque to the wheel with the most grip. Notably, the Quadra-Trac 1 system utilizes a single-speed transfer case, the Quadra-Trac 2 system a two-speed transfer case, while the Quadra-Drive II adds a rear electronic limited-slip differential to its two-speed active transfer case. On balance, the new Jeep has a competitive off-road edge to tout.

6. An air suspension system.

The new Grand Cherokee L model offers a quadra-lift air suspension system bundled with electronic adaptive damping for heightened ground clearance and water fording. This SUV’s normal ride height is 8.3 inches, raising it to 9.9 inches when switched to Off-Road 1 mode. Move it to Off-Road 2 mode and its supplies 10.9 inches of ground clearance. The system also features park mode, whereby it lowers the normal ride height by 1.8 inches for ingress and egress improvement. Lastly, an Aero Mode lowers the suspension system by 0.8 inches for improved aerodynamic flow while driving, thereby optimizing fuel efficiency.

2021 Jeep® Grand Cherokee L Overland features the new Uconnect 5 10.1-inch touchscreen with available rear-seat monitoring camera system

7. Uconnect 5 system.

Uconnect is FCA’s infotainment system and is in our estimation one of the better ones available. Jeep’s new model rolls out the latest and most advanced version, called Uconnect 5. This one promises operating speeds that are five times faster than the previous generation. Furthermore, this system features either an 8.4- or 10.1-inch color touch-screen display, wireless Android Auto and Apple CarPlay capability, a fully customizable home screen, dual connectivity for a pair of Bluetooth devices, Alexa services, TomTom navigation, over-the-air updates, and 4G LTE Wi-Fit hotspot connectivity for as many as eight devices. Surprisingly, up to 12 USB ports are available across all three rows.

8. A long list of active driving support features.

The Grand Cherokee L comes with a lengthy roster of driver-assist technologies, including full-speed collision warning with active braking and pedestrian/cyclist detection. Also included is adaptive cruise control with full stop and go, rear cross path detection, active lane management, lane departure warning with lane keep assist, advanced brake assist, blind-spot monitoring, and parking assistance. In addition, other available features include a night vision camera, head-up display, intersection collision assist, drowsy driver detection, a digital rearview camera system, and traffic sign recognition. All in all, the new Jeep brings with it the safety features we expect in today’s new models.

9. Basic maintenance is included.

Like premium automakers, Grand Cherokee L owners have access to the Jeep Wave maintenance program. Specifically, this one supplies three years of maintenance at Jeep dealerships, including oil changes and tire rotations. Also, such features as 24-hour support, trip interruption coverage with complimentary first-day coverage, and VIP access to select Jeep brand events are included.

All-new 2021 Jeep® Grand Cherokee L Summit Reserve

Looking Ahead

We’ll have more information about the Grand Cherokee L nearer to its release date. Furthermore, Auto Trends will supply a full review with updated pricing, fuel efficiency, and unique photographs once this vehicle is made available to us.

To sum up, Jeep brings to the market a model it has long needed. That point alone ensures that Jeep faithful will give it a strong look before considering another brand. We think that as one of 14 brands managed by Stellantis, Jeep will continue to thrive. As a result, additional models, including electrified variants, should help grow the brand.

2021 Jeep Grand Cherokee L Specifications

Jeep	2021 Grand Cherokee L
Segment	Large SUV
Price Range	TBD
Destination Charge	TBD
Engine No. 1	3.6-liter, V6
Horsepower	290 @ 6,400 rpm
Torque (lb.-ft.)	257 @ 4,000 rpm
Transmission	8-speed automatic
Engine No. 2	5.7-liter, V8
Horsepower	357 @ 5,150 rpm
Torque (lb.-ft.)	390 @ 4,250 rpm
Transmission	8-speed automatic
Seating	7
Curb Weight (pounds)	4,618 to 5,330
Wheelbase (inches)	121.7
Length (inches)	204.9
Width (inches)	77.9
Height (inches)	71.5
Headroom (f,m,r…inches)	39.8., 39.9, 37.3
Legroom (f,m,r…inches)	41.3, 39.4, 30.3
Shoulder room (f,m,r…inches)	59.2, 58.0, 51.9
Hip room (f,m,r…inches)	57.4, 58.0, 42.9
Storage (cubic feet)	17.2, 46.9, 84.6
Gross vehicle weight (pounds)	6,500 to 6,900
Towing (pounds)	6,200 (V6); 7,200 (V8)
Payload (pounds)	1,200 to 1,410
Fuel	Regular
Fuel Tank (gallons)	23.0
EPA Fuel MPG (city/highway/combined)	TBD
Manufacturing Plant	Detroit Assembly Complex – Mack, Michigan

See Also — Smart Concept: Jeep Grand Wagoneer

U.S. Auto Sales:
A Pandemic Race to the Bottom

April 2, 2020 by admin Leave a Comment

March 2020 U.S. auto sales drop through the floor.

As expected, the U.S. auto sales numbers for March 2020 reflect what we already knew: a substantial correction, resulting almost entirely from the COVID-19 pandemic. Every manufacturer and brand posted losses in March, as the country went through an expanding area of “stay at home” orders covering most of the nation. The full impact of the coronavirus outbreak is not yet known, but consumers are staying away from showrooms.

More than 3 million Americans were suddenly left jobless by the third week of March, effectively removing a source of consumers who might show interest in purchasing a new vehicle. In some states, dealerships shut down, while in others they stayed open under local “essential services” rules.

All three of the major domestics – GM, Ford, and Fiat Chrysler – reported losses. The Big 3, as they are colloquially known – stopped reporting monthly sales figures, choosing to share quarterly data only. With the first quarter done, nearly every brand showed net losses. Ram was the lone exception; Korean make Kia also came out on the plus side.
GM’s quarterly sales fell 7 percent, while Fiat Chrysler slid 10 percent. Ford’s numbers were not available as of this writing, but losses rivaling its chief competitors is in order.

Other automakers reported their March sales, which give a stark picture of what happened last month. Subaru, which has seen a steady increase in sales since the last recession, registered a 47-percent drop in March. The loss snapped a month-over-month streak that spanned more than eight years. Indeed, Subaru is facing the end of 11 consecutive years of growth that have transformed this niche automaker into an important player in the U.S. market.

In no particular order, sales numbers culled from manufacturing data is as follows:

Kia sales fell 22.9 percent for the month, but remain up slightly for the year. Two strong months to begin the year have kept this Korean manufacturer in the black, although we expect that’ll change during the first week of April. Hyundai’s sales fell 43 percent of the month, thus it sold fewer cars than Kia, its sister brand.

Mitsubishi reported a 42-percent sales drop, while Mazda’s sales plunged 42.8-percent. Mazda enjoyed strong sales in January and February, thus it is only down 4.9 percent for the quarter.

Porsche’s quarterly sales dropped 20.2 percent, with every established model registering double-digit losses. Porsche also started delivering its Taycan all-electric model, with 221 units sold in the first quarter.

Volkswagen sales dropped 42 percent for the month and are down 13 percent for the year. The automaker rolled out the new Atlas Cross Sport model during the first quarter.

Toyota sales fell nearly 37 percent for the month and are down 8.8 percent for the first quarter. New models counted during the January-March period include the GR Supra sportscar and the Yaris Hatchback.

Nissan Group sales, inclusive of the Infiniti and Nissan brands, are down nearly 30 percent for the quarter. This automaker had already experienced a significant downturn ahead of the coronavirus crisis with its sales falling the steepest amongst the major manufacturers.

Honda experienced one of the largest month-over-month drops of any manufacturer with March 2020 sales down 48 percent compared to March 2019. For the quarter, Honda sales – inclusive of the Honda and Acura brands – are off 19.2 percent.

Other manufacturers, including Ford, Mercedes-Benz, and BMW will report today or Friday. All three will share substantial losses for March.

Looking Ahead

April 2020 sales will continue to fall as the COVID-19 pandemic worsens across the United States. With various “stay at home” directives in place, consumers won’t be visiting showrooms in many areas. For lessees, opting for an extension may bide them some time, otherwise inventory turnover should be light for the second quarter, perhaps rebounding in the second half of the year as the pandemic eases.

Auto Industry Reacts to Coronavirus Threat

March 30, 2020 by admin 1 Comment

General Motors and Ventec Life Systems are partnering to convert the GM Kokomo, Indiana ERC building for the production of Ventec ventilators in response to the COVID-19 pandemic. (Photo GM Corp.)

COVID-19 is turning the world upside down, with nearly every country and region reporting cases, including deaths. “Business as usual” is no longer the case as companies large and small adjust or in some cases shut down.
The auto industry is no exception and has, in fact, seen production stopped at most plants scattered across the United States. We examined the impact earlier this month (see Coronavirus Strikes; Industry Reacts). Today, the picture has changed with the major players doing their part to fight the battle.

Here are the latest updates from key original equipment manufacturers:

GM will build critical care ventilators. GM is not currently building vehicles as its production facilities remain shuttered following the COVID-19 outbreak. But one plant, it’s Kokoma, Indiana, manufacturing facility will soon come back online, as it launches production of critical care ventilators> for Ventec Life Systems. Ventec, based in Bothell, Washington, is unable to meet demand at its lone facility. With GM’s help, the companies will produce the ventilators needed by hospitals in the United States and abroad. A second GM plant, this one in Warren, Michigan, will soon assemble Level 1 masks. Within two weeks, GM should produce 50,000 masks per day, potentially doubling that number.

The 2020 Detroit Auto Show is canceled. The North American International Auto Show was last held in January 2019 and was supposed to move to a late spring/early summer schedule this year. Indeed, journalists marked June 2020 on their calendars, expecting to head to the Motor City for a warm-weather preview of new cars and concepts. The show, however, will not go on as the city will instead turn the host Cobo Center into a temporary hospital for the duration of the coronavirus crisis. The show’s organizers have already updated their page to reflect the next show, which is scheduled for June 11-26, 2021.

Dealerships reel under local “stay-at-home” directives. Tens of thousands of car dealership employees are on furlough as various “stay-at-home” edicts shutter showroom doors. The Penske Corp. has avoided layoffs so far as senior staff accepts pay cuts and Roger Penske and the company’s president, Rob Kurnick, forgo their salaries for the duration of the crisis according, to Autoweek. Dealers throughout the country have reduced hours or temporarily closed down and laid-off employees.

Plant shutdowns extend into April. March 30 was supposed to be the day for manufacturers to resume production, but that isn’t going to happen. GM, Ford, and Fiat Chrysler were among the first companies to shutter their plants and each will stay closed for at least another week. Volkswagen says it’ll restart production on April 5, while Toyota says it’ll bring its plants back online on April 20. These resumption dates, however, will likely change especially as President Trump extended the national pullback through April 30. That said, each state has its unique directives in place.

Manufacturers and lenders give consumers a break. With millions of new unemployment claims filed in March, many consumers are suddenly experiencing financial trouble. With finance and lease payments due, some people are unable to make their next payment. Fortunately, manufacturers are responding through their financing arms to give consumers a break. Depending on the company, payment deferrals and lease payment extensions are in place. That said, in some cases only consumers with top credit ratings are eligible. We’ve surveyed various schemes in place from Ford, Hyundai, Nissan, and others. Auto Trends recommends affected consumers contact their respective lender for guidance. Tell them your story and work out an agreement that’s right for you.

After COVID-19

At some point, the COVID-19 threat will be gone, with businesses returning to a new normal. Most American citizens will see some relief in April as unemployment checks arrive and as the IRS distributes $1,200 to $3,400 to eligible households. The industry will endure a deep sales slump in March and April, with the likely rebound beginning in May. We may see record sales by July as consumers who have delayed their purchases flood dealer showrooms. Again, all this is predicated on how the crisis plays out.

Coronavirus Strikes; Industry Reacts

March 19, 2020 by admin 3 Comments

It was only a matter of time before the U.S. auto industry reacted to the coronavirus pandemic, as both domestic and foreign-based manufacturers announced plans this week to thwart the spread of the contagion. The action taken varies from automaker to automaker, but ultimately a full production shut down ranging from a few days to up to two weeks, perhaps more, is occurring.

Following positive COVID-19 test results from one or more plant workers, companies such as Fiat Chrysler, GM, and Ford are idling their plants for at least 10 days. The companies responded to union pressure to shut down their plants, following Honda’s decision to take a six-day break of its own.

Honda workers are not represented by a union.

The industry-wide shutdown is unprecedented and will go beyond the pullback manufacturers faced in 2008 as a result of a deep recession. Then, all three U.S. manufacturers faced collapse with Chrysler and GM ultimately walking through bankruptcy. After that, Chrysler merged with Fiat, and all three companies restructured and built vast reserves of cash to weather the next cyclical downturn.

After years of anticipation, that downturn is here, driven largely by a pandemic that’s shaken much of the world.

Nissan will shut its plants from March 20 to April 6, while Hyundai closed its Alabama plant and is disinfecting the same following a positive COVID-19 result for one of its workers.

Toyota plans a two-day pause on March 23 and 24 for all its North American locations, allowing for special cleaning as well as to readjust production for lowered demand. The company says it will resume production on March 25.

Mercedes-Benz has yet to announce plans for its Alabama plant, but it is likely to shut it down as part shortages loom. According to Bloomberg, the company is experiencing a parts shortage as the European Union is amid a 30-day closure. Italy, Spain, and France are all hard-hit with virus cases in Germany and other countries increasing sharply. Mercedes imports engines and transmissions from Europe, which power two utility vehicles built stateside.

As of this writing, Kia has no plans to scale back production or temporarily reduce worker headcount at its West Point, Georgia, manufacturing plant. The automaker told the LaGrange Daily News that it has a COVID-19 response team tasked with monitoring the situation and minimizing risks. These include restricting public access and shutting down the facility’s fitness center.

BMW intends to keep its Spartanburg (Greer), SC, plant operational, at least for now. The company ordered many of its office employees to work from home, but it will keep its plant running.

Responding to a Fox Carolina inquiry via Twitter, BMW said, “In regard to closing Plant Spartanburg, we continue to monitor the situation in South Carolina daily and are in close alignment with both state and local government officials. We recognize that we are in a dynamic situation and we are prepared to adjust quickly based on the daily analysis of the current environment. In parallel we have implemented numerous measures to protect the health and safety of our employees.”

Auto Trends has learned that other automakers with a manufacturing or business presence in the U.S. are also responding to the crisis.

For instance, Tesla plans to temporarily reduce its workforce from 10,000 individuals to 2,500, although a timeline hasn’t been announced. The company finds itself in an unusual position as the area is under a mandatory three-week shelter-in-place directive.

But employees who are going to work are violating the edict, which only makes allowance for essential personnel to travel. The Alameda County Sheriff’s Department contends the plant must shut down, although it may permit a smaller workforce to remain for non-production work only.

See Also — 9 Winners and Losers of 2019

Image by Tumisu from Pixabay.

9 Winners and Losers of 2019

January 7, 2020 by admin 2 Comments

Ram Trucks
Ram Truck brand sales topped 700,000 units sold for the first time in 2019.

It’s a wrap: 2019 is in the books. And if you’re thinking we’re a bit late sharing this information, hold on: the U.S. auto industry finished reporting its annual sales on Monday, closing out an extended period of news releases hyping the details.

We’ll cut to the chase and look at the winners and losers for the past year.

Winner: U.S. auto industry. This was supposed to be the year the industry fell below 17 million new light vehicles sold. Indeed, last year was also supposed to fall short. But neither year did. Yes, sales were down slightly year over year, by 1.6-percent, but managed to finish around 17.1 million units sold for the year. That’s five consecutive years of topping the 17 million mark. Importantly, there’s a chance we’ll see a sixth year for 2020.

Loser: American consumers. Stop right there: purchasing a new vehicle isn’t necessarily a bad thing. What’s problematic is the loan terms, which are averaging 68 months. Worse, is the availability of long-term loans of 72 and 84 months, respectively. That means there are a greater number of consumers paying for their new vehicle for seven years. What’s not always apparent are consumers rolling over their loan balances into a new loan. That’s a costly decision and very concerning.

Winner: Ram 1500 pickup truck. Yes, the Ford F-150 is the indisputable pickup truck king for four decades running. Indeed, the Ford F-Series recorded 896,526 units sold, down 1.41-percent versus the year earlier. The big news is the Ram 1500, which notched 633,694 vehicles sold, an increase of 18.01 percent. Not only is the Ram Pickup a big gainer, but it has displaced the Chevrolet Silverado as the number two seller in the U.S. Though Chevrolet has egg on its face by losing its place to Ram, GM still builds more full-size pickup trucks, selling 807,894 units of the Silverado and GMC Sierra combined.

Prius sales are falling, thanks in part to new models such as this Toyota Corolla Hybrid.

Loser: Toyota Prius Family. Hybrid sales continue to fall as fuel prices remain stable and well below historical highs reached in 2012 at $3.64 per gallon. With prices averaging $2.55 per gallon in December, models such as the Toyota Prius continue to lose appeal. Indeed, Prius sales fell by 20.84-percent in 2019 to 69,718 units. That’s less than half the Prius’ sold in 2012 and well below the peak 181K units purchased in 2007. Some of the sales have gone to other Toyota hybrid models as well as to new competitors, such as the Hyundai Ioniq.

Winner: Fiat Chrysler. The deal is all about done. That deal has Fiat Chrysler merging with the PSA Groupe to form the world’s fourth-largest automaker. FCA is a winner as it was the dream of its late CEO Sergio Marchionne to find a partner. The new company will realize economies of scale and be better positioned to work through vehicle electrification and autonomous driving, which are the two largest and costliest technologies of our time. Without a merger, FCA most likely would have been left behind.

Loser: Sedans. Remember when sedans (and coupes and convertibles) ruled the road? Sure, there were some pickup trucks and vans in the mix, but the family vehicle of choice was the sedan as well as its station wagon variant. Well, car sales continue to fall and now represent about one-quarter of the market. We said good-bye to the Chevrolet Cruze, Ford Taurus, and to the Hyundai Azera last year. Other Ford and Chevrolet models are also gone and the Volkswagen Beetle is no more. Likely, car sales will continue to fall for a few years before finally stabilizing. Manufacturers that stay in the segment may find the remaining market too good to ignore.

2019 Nissan Altima SR — Sedan sales are declining but new models such as this Nissan Altima are keeping the segment fresh.

Winner: Carlos Ghosn. The former Nissan and Renault CEO is now a free man. At least he’s freed from Japanese confinement as he snook his way out of the country and found his way to Lebanon. How he got there is a story for the ages and one that isn’t quite clear just yet. Regardless, Mr. Ghosn should stay out of jail as long as Lebanon ignores an international warrant and public opinion aligns with the executive as he tells his story. On the flip side, Nissan may prove the biggest loser, especially if the details of how it all went down raise serious questions.

Loser: UAW. The UAW appears the winner following a protracted strike with GM. Organized labor certainly looked strong as it kept GM plants shut for more than a month, representing the longest strike in nearly 50 years. The settlement yielded several gains for the rank and file, including forging a pathway to permanent employment for temporary workers. Also, GM created a shorter route to top-tier wages, agreed to keep open and transform one assembly plant targeted for closure, and maintained its strong health benefits for employees. So, how is the UAW the loser? The union failed to organize Volkswagen’s Tennessee plant, it remains shut out of Nissan factories in the U.S. and continues to lose members. Then there is the matter of a corruption scandal involving union brass. Several leaders accepted kickbacks from UAW vendors and contractors, enriching themselves at members’ expense. At least 10 individuals were involved, giving the UAW a black eye in the process.

Winner: New models. We like new and updated models. And we show our approval (or disapproval) in the way we carry out our purchase decisions. Several new models enjoyed success in 2019, registering big gains or significant sales as they debuted. Among them were the Audi Q8, BMW Z4, Cadillac XT4, Genesis G70, Nissan Kicks, and the Subaru Ascent. Other winners included the Ford Expedition, Honda Insight, Mercedes-Benz AMG GT, and the Mitsubishi Eclipse Cross.

The Audi Q8 debuted with robust sales to show for it.

2020 Auto Trends

We have a few predictions for 2020 to share, including our guess auto sales will narrowly top 17 million units for an unprecedented sixth consecutive year.

Further, we think the Chevrolet Corvette’s debut will be followed by announcements of even more powerful models. Moreover, Rivian Motors will get its first models to the market before the year closes, Ford and Volkswagen will form an alliance, and GM will not resurrect its Hummer brand. Lastly, Hyundai’s first pickup truck will arrive, Ford will keep the Mustang name on the Mach-E electric crossover, and Jeep will unveil its full-size SUVs.

Car Manufacturers: Who Owns What?

August 31, 2019 by admin 2 Comments

This Buick Regal TourX was developed by Opel. Opel, once owned by GM,
is now a subsidiary of France’s PSA Groupe.

The global auto industry consists of dozens of brand names, but not all are marketed throughout the world. Opel is popular in Europe, but it is not sold in North America. Suzuki cars are no longer sold in the United States, but its Maruti Suzuki brand is a top seller in India. Industry consolidation has united or forged alliances for several car manufacturers and brands, including some owned by rival automakers.

General Motors Company

This Detroit, Mich., company has been around for more than 100 years. For decades, it was the world’s largest manufacturer of passenger vehicles since surpassed by Volkswagen and Toyota. GM’s four core North American brands are Cadillac, Buick, GMC, and Chevrolet. The company used to operate Saturn, Oldsmobile, Saab, Hummer, and Pontiac. Its other subsidiaries include Holden and GM Korea (formerly Daewoo), a joint venture with SAIC Motor, a Chinese company, and partnerships with other Chinese concerns. GM used to own Vauxhall and Opel but sold these two European brands to Groupe PSA in 2017.

Volkswagen Group

Based in Stuttgart, Germany, Volkswagen owns or has a stake in 12 brands including its eponymous Volkswagen moniker. It also owns Audi, Lamborghini, Porsche, Bentley, Bugatti, Skoda, and SEAT. It previously had a stake in Suzuki and joint ventures with two Chinese automakers. Volkswagen also owns Ducati, a motorcycle manufacturer, and MAN, a commercial vehicle brand.

The Plymouth brand is gone, but this 1964 Belvedere reminds us of what once was.

Fiat Chrysler Automobiles

Fiat Chrysler Automobiles represents the merger of two well-established automotive manufacturers. Its North American brands include Chrysler, Dodge, Jeep, Ram, and Mopar. In the US, it also manages the Fiat and Alfa Romeo brands. Chrysler previously owned several other brands, including Plymouth, Imperial, Eagle, and DeSoto. Other FCA properties include Ferrari and Maserati. The automaker has partnerships or stakes in companies based in China, Turkey, and India.

Toyota Motor Corporation

Toyota and Lexus are the two North American brands managed by the Toyota Motor Corporation, a Japanese business. From 2003 to 2016, Toyota also operated the Scion brand. The company is one of the largest conglomerates in the world, an entity with stakes or affiliate agreements with hundreds of companies. Toyota has a controlling interest or a stake in several automotive brands including Daihatsu, Hino Motors, Noble Automotive, Subaru, and Isuzu.

BMW AG

The Germany-based BMW AG entity is best known for producing BMW brand vehicles. It also owns Mini, a British brand it obtained in 1994. In 1998, BMW acquired Rolls-Royce Motor Cars, another British marque. The company also produces motorcycles under the BMW name.

Renault-Nissan-Mitsubishi Alliance

Formerly known as the Renault-Nissan Alliance, the current set up now includes Mitsubishi. Originally established in 1999 whereby Renault and Nissan have investments in each other, Mitsubishi joined in 2017 when Nissan took a stake in it. Today the alliance is a strategic partnership that enables these companies to partner for vehicle development. Besides the three monikers, there are other brands associated with the alliance: Alpine, Dacia, Datsun, Infiniti, Lada, Renault Samsung Motors, and Venucia. The alliance also has stakes in or partnerships with Daimler, AvtoVAZ, and China’s Dongfeng Motor.

This Mini Countryman is a British model built by a German manufacturer.

Ford Motor Company

Besides the Ford brand, this Dearborn, Mich., car manufacturer owns Lincoln and previously had Mercury before shutting down the latter in 2011. The company has shares in Mazda and Aston Martin, and previously owned Jaguar, Land Rover, and Volvo. Other Ford partnerships include with Brazil’s Troller, an SUV manufacturer, China’s Jiangling Motors, and Changan Ford.

Daimler AG

German car manufacturer Daimler’s best-known brand is Mercedes-Benz. The company also produces Smart brand vehicles, Mercedes-AMG performance models, and owns the ultra-luxury Maybach marque. Daimler is heavily invested in commercial vehicles with Freightliner, Mitsubishi Fuso, Thomas Built Buses, and Setra under its control. Daimler also has shares in the Beijing Automotive Group and MV Agusta.

This Infiniti QX30 is the result of a partnership between Nissan and Daimler. The tiny hatchback shares its platform and key components with a Mercedes-Benz model.

Hyundai and Kia

Hyundai and Kia are a pair of South Korean car manufacturers, with both companies comprising the Hyundai Kia Automotive Group. That group formed in 1998 when Hyundai gained a controlling interest in Kia. Hyundai’s share now stands at about 33 percent, but the alliance continues. Hyundai, Kia, and Genesis are the three brands associated with this group.

Cooperation and Collaboration

Apart from outright stakes or full partnerships, car manufacturers will often collaborate to build components or explore new technologies. It’s a cost-saving move that can benefit the consumer through shared expenses spread across more vehicle lines. We’ll see more of this in the coming years, especially as the cost of developing autonomous and electric vehicles become too prohibitive for most manufacturers to undertake alone.