By on October 5, 2009

But the chickens have already been counted!

The Detroit News reports that nastiness between Chrysler and its former overlords at Daimler could prevent the much-needed (by ChryCo) launches of new versions of the 300/Charger and Grand Cherokee/Durango. Apparently production of these new products can’t take place until Daimler and Chrysler agree to terms for Daimler-supplied components. Chrysler needs to resolve its legal differences with Daimler within 20 days in order to prevent delays to the roll-out of the Grand Cherokee/Durango. If the conflict continues, Chrysler admits it won’t be able to find a new supplier until January 2011. The Grand Cherokee/Durango and 300/Charger are planned to be Chrysler’s only 2010 debuts.

Daimler-Chrysler legal disputes have covered the supply of axles, torque converters, diesel engines and steering columns, but since Chrysler has declined to purchase the agreed-upon number of diesel engines for Europe, the other parts contracts have been held hostage. Chrysler wants the court to stipulate that all past agreements remain in effect and no more money is owed, and has said it will seek an injunction if Daimler stops shipping parts. On the other hand, “Chrysler has too much at stake to take a chance,” say spokesfolks for the New Chrysler. “These are important vehicle programs at a critical point in their launch cycle. We can’t afford any delays.”

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32 Comments on “Daimler Suit Imperils New Chrysler Launches...”


  • avatar
    mpresley

    If what is pictured is the spawn of this failed union, then the longer this suit drags out holding up production, the better it will be for everyone.

  • avatar
    jpcavanaugh

    I thought that Daimler Benz had finished screwing up Chrysler. Silly me.

  • avatar
    mikeolan

    Daimler is a trash car company, and if there was any right in the world Mercedes would be the brand about to keel over and die (they probably will be in about 10 years now that they don’t have Chrysler to suck dry and they’ve got nobody’s products to screw up but their own.)

  • avatar
    dmrdano

    If I am reading this right, New Chrysler want people to honor their Old Chrysler contracts to them, but they thought nothing of abandoning Old Chrysler commitments that they found inconvenient. Does the term “Carma” (misspelling intended) come to mind?

    By the way, I love the Mafia Staff Car look of the 300 in the picture.

  • avatar

    I will never make the mistake of buying a Chrysler ever again. I’m sticking with Mercedes Benz S-classes.

    That piece of shit up there doesn’t even have mirrors on the sides.

  • avatar
    rockit

    Mercedes Benz S-classes for all!

  • avatar
    Gardiner Westbound

    Few companies will do business with a company that has previously stiffed it.

  • avatar
    djn

    @dmrdano
    If I am reading this right, New Chrysler want people to honor their Old Chrysler contracts to them, but they thought nothing of abandoning Old Chrysler commitments that they found inconvenient.

    That’s what bankruptcy is. No surprises here.

  • avatar
    porschespeed

    Few companies will do business with a company that has previously stiffed it.

    While I think there is some short-term truth in that, I’m afraid that the relaity that many of the suppliers are dedicated to the auto industry will change that.

    Right, wrong, or indifferent, money will flow (uncle sugar) and Fiatsler will do business with most (if not all) of their former suppliers.

    This is a bargaining/positioning gambit. Nothing more.

  • avatar
    KalapanaBlack

    They’re actually replacing the Durango? Hasn’t it been selling in the double digits for a few months now? Surely what cachet that name once had is gone now. This is the first mention I’ve heard of it being redesigned.

  • avatar
    SherbornSean

    KalapanaBlack,
    Don’t be surprised if the new Durango looks exactly like the new Grand Cherokee, but with a crosshairs grill and a little chrome statue of a Ram’s head. Soon to be followed by an Aspen, that again changes the grill.

    But seriously, if Chrysler does bring the GC and 300C to market, it will be a small miracle, given their relationships with suppliers, the fact that most staff is gone, and all the money troubles. And if they do, the quality will not be an improvement over the current Chrysler product.

    Who is left that hasn’t already been F’ed by a Chrysler product and would actually be willing to spend $25K on a new Chrysler? I know there’s one born every minute, but eventually we wise up.

  • avatar
    ajla

    This is actually good because it gives ChryslerCo. time to do an 11th hour redesign on the Charger’s front end.

    Seeing how the Charger was going to have styling cues that connected it to the Ram truck, and the Ram isn’t a Dodge anymore.

  • avatar
    FreedMike

    Gotta love Daimler sticking the knife in just one more time…

  • avatar
    seabrjim

    I like the inset picture. It comes with mirrors.

  • avatar
    Jerry Sutherland

    This reminds me of that movie line “just when I thought I was out they drag me back in again”.It’s like a very ugly divorce with young kids involved-never really over.
    http://www.mystarcollectorcar.com/

  • avatar
    dougjp

    So in Chrysler speak, bankruptcy means selective cancellation of contracts, just the ones that work for them, not the others.

    We all know the ending of this story as long as Pelosi can be kept away from throwing more of our money away. Bring on Chapter 7, sooner the better.

  • avatar
    Jeep Guy

    Everyone, including the government, seems to get a kick out of bashing Chrysler. Why aren’t they worth saving? Why is GM worth saving? If the people who write the advertising for Ford wrote for anyone else, that company would be the one not needing help. American people are brain washed by advertising, and if they would actually take the time to compare apples to apples, they would find that ALL of the “American” brands are very GOOD and very much the same. Save the red, white & blue… Buy American

  • avatar
    cwmoo740

    Flashpoint, I think that’s post number 5,892,354 from you telling people that you have an S-Class. We get it.

    Anyway, that car up there doesn’t look so bad, I guess. What’s the target market of the Charger/300 anyway? All those people who are going to slap 24″ chromed wheels on that thing are going to want that giant chrome grill thing.

  • avatar
    WetWilly

    The car up there has several problems:

    1) The exterior looks awfully similar to the Ford Taurus.
    2) The interior looks like a faux wood, cut-rate version of the Kia VG’s interior.

    And Chrysler wants to be an ultra-premium brand?

  • avatar
    John Horner

    Daimler is a company in very deep trouble. They are at least as screwed up today as GM was circa 1990. They just can’t stop making life difficult for The Ex ….

  • avatar
    seanx37

    So, the new 300 is just the old 300 which was the old(now really old) E-Class? With a new grille? And that and the new Cherokee are it? The only things in pipeline are this crap? Just declare chapter 7 and be done with it. The chinese might give up a few devalued US dollars for Jeep.

  • avatar
    gslippy

    They’re both wrong and both right, but Chrysler’s gonna eat that dog food whether they like it or not.
    They can’t afford to play chicken when they have virtually no product offering.

  • avatar
    iNeon

    Wasn’t this covered 1,000,000,000,000 times before?

    The Chryslers only use a few bits from Daimler. Feel free to correct me, but isn’t it: Steering Column, 5-Speed Transmission and some Rear Suspension? Also, does the w212 not use a Chrysler-designed version of this rear suspension? My mind seems to have read that, correct or not.

    Without the Daimler bits, we’d have FWD, RWD and AWD LH-derived cars. Boy, when put like that; we Chrysler guys got screwed.

  • avatar
    blowfish

    jpcavanaugh :
    October 5th, 2009 at 5:15 pm

    I thought that Daimler Benz had finished screwing up Chrysler. Silly me.

    Or we haven’t seen nothing yet to the real Biblical scale!

  • avatar
    dmrdano

    DJN, I am aware of what bankruptcy is. I just like the “carma.”

    Under some forms of bankruptcy, all contracts are null and void, not just the ones you want to be. It would be interesting to know the details. But that might be like watching an autopsy.

  • avatar
    moedaman

    Aren’t “new” Chrysler and “old” Chrysler two different companies? If so, Daimler can say that the company they signed a contract with is no longer around and that they owe the “new” Chrysler nothing.

  • avatar
    friedclams

    That is the saddest PowerPoint slide ever, and that’s saying a lot.

  • avatar
    windswords

    You do realize that the drawing above is not the new 300? The pic is just the current 300 revised a little to make it look “new”. It was for the consumption of Congress critters. (I think they should have made it a coloring book instead, our representitives would have had an easier time understanding it). The Jeep GC depiction was much closer to the actual new GC, but that vehicle was further along in the process. And yes, BR law allows you to void contracts if the judge approves it. My company went C11 and we closed hundreds of stores, some that had 20 year lease contracts on them. Guess what the shopping center owners got? Bupkis. But it’s totally legal. If you don’t like it, petition your representitives to change the law (you might want to send them a coloring book).
    Ok, you can go back to bashing Chrysler now.

  • avatar
    dmrdano

    I like Chrysler and hope for nothing but the best for them, even if they speak with an accent.

    I do not like bankruptcy law, but no on one either side of the aisle will move to change it. The left likes the lawyer lobby. And the right – I find it ironic that my friends on the right (I am probably right-er than most of them) get a lot of their radio/TV ad revenue from companies pitching to get you out of credit card debt (which you knowingly incurred) or unpaid taxes (if it is the law, you’ve got to pay them); or to help you sue a drug maker or asbestos manufacturer. This is off-topic, sorry.

  • avatar
    Autojunkie

    windswords

    That is a rendering of the new 300. It’s going to be pretty much what you see there. I know this becasue I saw it right before I was laid off.

    BTW – I’m still a huge supporter of Chrysler too. So yeah… We take a lot of bashing on here…

  • avatar
    Eric Ethier

    Yea, it’s a pretty accurate rendering, and for the record I like what they changed. Mainlt that they kept the high beltline but delivered a larger greenhouse. It’s shorter that the current version as well. 300C is one of my favourite cars ever made… well in 2005 at least. I was obsessed… I want this car to bring my obsession back.

    New GC looks sweet too. I hope products keep the build/design quality that the Ram has… now THAT is a good product.

  • avatar
    th009

    @iNeon:
    “Without the Daimler bits, we’d have FWD, RWD and AWD LH-derived cars.”

    Ooooooh, the 1986 Renault 21 platform. Now that would be good indeed!

    For all of you who have so much hate for Daimler, you should recognize that Daimler shareholders are just as unhappy with the outcome of that marriage as you are: it did not work out for anyone. Blame the matchmakers on this one …


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