UPDATE: Mere minutes after our prior editorial was published Chrysler announced that they will be withdrawing their request for funding from the Canadian government, and
“…confirmed its intention to begin to allocate to our Windsor, Ontario plant the development and industrialization of the next “people carrier” architecture (the so-called next minivan and derivatives)”
The biggest news for North America’s auto industry was announced at Geneva, and it wasn’t a new product debut. According to Automotive News, FCA CEO Sergio Marchionne has decided on a location for the next assembly plant, and things aren’t looking great for the current plant in Windsor, Ontario.
FCA CEO Sergio Marchionne took to The Globe and Mail‘s editorial pages to make his case for government investment in Chrysler’s assembly plants in Canada. Marchionne is seeking government funds to upgrade the Brampton plant (which builds Chrysler’s rear-drive cars) and the Windsor plant (which builds minivans, and would be upgraded as a flexible plant) as part of a $3.6 billion investment.
On the heels of reports that put a $3.6 billion pricetag on Chrysler’s investment at two Canadian plants, another Canadian outlet is reporting that the money would ensure the future of the two plants for decades to come.
Just a few short years after the Canadian and Ontario government bailed out General Motors and Chrysler, a familiar scenario is playing out along Highway 401. Chrysler is reported to be negotiating with both the Ontario and Canadian federal government regarding subsidies for their Windsor assembly plant that builds the Dodge Caravan and Chrysler Town & Country minivans.
Hey Buddy, I am no longer tiburon_guy since we sold it (sad face – SM) but I do have a question that a friend asked me about. He has a 2002 Escalade EXT he bought new (demo actually, 300 miles on it) now it’s at 60k and overall no major issues. He’s attached to the truck and rightfully so, as in my opinion it’s the best model Escalade created by GM. (Read More…)
Despite rumors of its impending demise, the Volkswagen Routan will apparently resume production in summer 2013. But the big question is why Volkswagen will have halted production of the Chrysler-based minivan for nearly a year?
Conventional wisdom would have it that the CAW is looking to ensure the future of Ford’s Oakville plant. The Flex and Edge are built at the facility, and there has been a heated debate over whether the government of Ontario should invest money into the plant to help secure new product. But according to the CAW, the number one priority for them is a few hundred miles down the road.
Automotive News [sub] quotes CAW President Ken Lawenza as saying “supplier challenges” have shut down production of the Chrysler Group’s minivan plant in Windsor, Ontario. Chrysler confirmed that the plant would be closed until February 1, but refused to elaborate on the circumstances. According to Lawenza, “the reason is because if a supplier never lived up to their contract, then it could be legal ramifications. We let those guys hash it out legally.” The President of CAW Local 444 Rick LaPorte adds “it’s a piece for the key fob, so my understanding is that it’s a raw material issue. The good news is that it’s not an inventory adjustment problem or a lack of sales; it’s a good problem to have.” You know, relatively speaking. (Read More…)
Having planned to idle production plants for a mere ten days over the winter break, Chrysler is responding to weak sales by extending the holiday shutdown of several plants to three weeks or more. The WSJ reports that Chrysler’s Windsor and Brampton plants (minivans, 300/Charger/Challenger) will shut down starting December 21 and will idle through January 18. The Toledo plant (Jeep Wrangler) will also idle beginning on December 21, and will resume production on January 11. Chrysler is also said to be considering extended production shutdowns at its Detroit Viper factory (which is entering final production anyway) and an unspecified Ram plant. Unless December sales numbers turn out to be humdingers, this winter vacation could possibly go on even longer, as Chrysler struggles under falling sales and a 64-day supply inventory.