Chrysler Ditching Global Engine Manufacturing Alliance

by Edward Niedermeyer

Published: August 28th, 2009

chrysler ditching global engine manufacturing alliance

Chrysler has removed Hyundai and Mitusbishi logos from the joint Global Engine Manufacturing Alliance plant in Dundee, Michigan, reports the Freep. Plant employees anonymously confirm ChryCo’s executive desire to be rid of the alliance, and GEMA reps tell Automotive News [sub] that “there are discussions about that going on at the highest levels.” The Dundee plant manufactures 1.8-, 2.0- and 2.4-liter Hyundai-designed engines for Chrysler’s small cars, and internationally the alliance builds engines for over twenty models. The obvious motivation is the same as all of Chrysler’s recent announcements, namely moving into a tighter orbit around planet Fiat. Chrysler is proving to be more useful to Fiat as a tool to screw with Fiat’s international competitors than as a way of making inroads on the American market. Meanwhile, Fiat’s actual plan for Chrysler in the US seems to be limited to creating a client for Fiat’s engines and platforms. So much so that Fiat CEO Sergio Marchionne is reportedly considering replacing Cummins diesel engines with Fiat oil burners in upcoming Ram 1500 models.

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Edward Niedermeyer

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2 of 29 comments

Anonymous on Aug 30, 2009

GEMA is a next NUMMI.

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BuzzDog on Aug 30, 2009

Autojunkie - It wasn't me who doubted DaimlerChrysler's (as it was known at the time) contribution to the World Engine project...I think you confused my post with the one made by the following poster! And since it sounds as though you may have an inside track on such things, do you happen to have any current news or thoughts regarding the new Chrysler V6?

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