WSJ: Chrysler Rebranding Nissans

Robert Farago
by Robert Farago

Once again, The Wall Street Journal reports on the latest automotive meta-gossip as fact, citing anonymous sources. "The two companies agreed earlier this year to team up on pickup trucks and subcompact cars. Since then, they have been discussing an agreement under which Nissan would produce midsize sedans that Chrysler would sell in the U.S. under its own name, people familiar with the matter say." This is the K-Martization concept that TTAC floated in the Chrysler Suicide Watch. Although the WSJ is happy to conclude the partnership "could help bring the company back to profitability, even though its vehicle sales are declining," this will never work. As our Deep Throat points out, "It’s way more complicated than it appears. Imagine having different vendors sourcing entire cars… the logistics are impossible. There’s no commonality in interiors, exterior design (no matter how hard Chrysler tries to align the exteriors), the systems (including software), etc. etc. They’re all different among manufacturers. Imagine parts distribution – a nightmare – trying to source all of that and then supplying it. Simple things like part numbers go haywire. Then what about warranty items. Who pays what?" And then there's branding… A full CSW to follow.

Robert Farago
Robert Farago

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  • Erikhans Erikhans on Aug 07, 2008

    Aren't Versas warmed over Renaults already?

  • SupaMan SupaMan on Aug 07, 2008

    I think Chrysler had a significant stake in Mitsubishi when the Dodge Stealth was still around (which was, in essence, a warmed over 3000GT). Chrysler doesn't have that with Nissan so it would be extremely difficult to integrate parts and such. And Renault owns Nissan, hence the Versa being a rebadged Renault.

  • RetardedSparks RetardedSparks on Aug 07, 2008

    Duh, this is the announcement of the acquisition of Chrysler by Renissan... Yes, Chrysler had a stake in Mitsu, which made that arranged marriage work. Gee, what if Ren-issan (Nis-ault?) had a stake of, oh I dunno, let's say 100%, in Chrysler? Pretty good deal. Ghosn (the Renissan man? sorry couldn't resist) and company would get US plants and dealers, some good truck stuff, (for when that comes back into fashion), and they would HAVE to get Jeep as part of the deal... As another poster noted, badging happens all over the industry, anyway. If they can satisfy the truck guys that their stuff is still good ole USA, the people shopping for Chryslers should consider it a BLESSING that it's all Nissan under the skin!

  • NoSubstitute NoSubstitute on Aug 07, 2008

    Like others here, I'm perplexed at the purported obstacles to a cross-company re-body/re-badge. Even mighty Toyota does this. See Matrix/Pontiac Vibe and Aygo/Peugeot 107/Citroën C1.