Marchionne: You Ain't Seen Nothing Yet…

Edward Niedermeyer
by Edward Niedermeyer

I didn’t get to spend much time with Chrysler’s revamped lineup at last week’s NAIAS, but my lovely assistant did take me on a brief tour of the lowlights: wiggly-jiggly dials, door handles that feel like they’re about to fall off in your hand and other overlooked details. Anyone can accuse me of anti-Chrysler bias, but in the preconception-free words of the light of my life (a non-TTAC-reading architectural historian), the updated 2011 Chrysler Group models were “the weakest bunch of cars at the show.”

Her harsh words were vindicated on the flight home, when a perusal of the latest Motor Trend (February 2011, featuring the news of late November 2010) struggled to justify the first part of its headline COMEBACK!: Can Chrysler Make It Stick This Time? Though MT gave the new ChryCo its best dose of pro-Detroit generosity (for example, determining that the 2011 Charger R/T is a “proper” transmission away from earning E39 M5-like “reverence”), nearly every write-up ended with a question or a qualification. And if MT isn’t willing to definitively say that these products will save Chrysler, who will? Apparently not CEO Sergio Marchionne, who is already hyping the products behind the next door…

Speaking to Automotive News [sub], Sergio noted that Chrysler had hit its 1.6m unit global sales goal for Chrysler Group last year, despite losing .6 percent of the retail market in the US (resulting in about 700k retail sales units). We will have to see what kind of impact that had on ChryCo’s year-end financial results, but Marchionne made it clear that he thinks

We are where we need to be in terms of the path to recovery

But next year will be yet another challenge, as the firm’s five-year plan calls for a 600k-unit bump in global volume based on this revamped lineup of improved (but unproven) products. And, rather than focusing on that challenge, Marchionne instead

flouted the industry taboo that discourages executives from talking about future products.

First up, a Jeep Grand Wagoneer which Marchionne promises by January 2013. That seven-passenger vehicle will replace the departing Jeep Commander, which Sergio savaged, saying

That car was unfit for human consumption. We sold some. But I don’t know why people bought them.

Man, what a hater… So much for his credibility! In all seriousness though, Marchionne sees the new Grand Wagoneer as a V8-powered “upper scale” offering, positioned at a premium to the firm’s top-level SUVs like Dodge Durango Citadel or Jeep Grand Cherokee Overland Summit.

Marchionne will also kill one of Chrysler Group’s two minivans, meaning either the Chrysler Town & Country or the Dodge Caravan will die off when the next generation of Chrysler’s most-successful product arrives in 2014. The killed-off model will be replaced at that time with

some kind of “people mover,” perhaps without sliding doors.

Fiat Multipla? Fiat Doblò? The return of the Dodge Magnum? Your wild-eyed speculation is as good as ours… and we have the better part of three years to debate it!

A long-rumored Jeep pickup based on the Wrangler chassis is also on Marchionne’s “love to produce” list, but because of conflicts with the Ram brand, it would not be sold in North America. So let’s just forget about that one for now…

Marchionne also noted that the Nitro/Liberty family is

the most significant hole in our product portfolio.

Sergio says the decision not to refresh these vehicles for 2011 was a conscious one, and that his execs are about 40 days away from a decision on a Nitro replacement. But, he warned, a Nitro replacement won’t necessarily be a Dodge-branded SUV… so there’s more mystery there.

Finally, and possibly most significantly, Marchionne touted the 2013 arrival of a 9-speed ZF transmission for front-drive products and an 8-cogger for the LX platform. One of the biggest obstacles facing MT’s pro-Chrysler enthusiasm was the continued use of unloveable five-speed autos, and weak fuel economy from the six-speed auto-equipped 200 and Journey. A hybrid 300 is also in Marchionne’s plans for 2013.

All of these developments sound like positive news for Chrysler, and we certainly hope the firms hangs tough for long enough to implement them… but they’re all quite a long ways off. And in the meantime, the real question is whether the new products can realistically generate the momentum needed to keep up with Sergio’s ambitious Five-Year Plan. Having read MT’s testing and interpreted it as a resounding “Maybe,” we at TTAC are anxiously awaiting our chance to find out for ourselves.

Edward Niedermeyer
Edward Niedermeyer

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  • Gardiner Westbound Gardiner Westbound on Jan 18, 2011

    "Marchionne touted the 2013 arrival of a 9-speed ZF transmission for front-drive products and an 8-cogger for the LX platform." When even Honda cannot build a reliable 5-speed automatic transmission the prospect of a 9-speed auto built to Chrysler's price point sets my stomach churning.

    • 340-4 340-4 on Jan 18, 2011

      With Chrysler's new commitment to quality and current 'price point' (don't they have thousands more to put into the vehicle now, free of legacy costs, etc.?) and the fact that ZF is building it rather soothes my stomach. But, I guess we'll see. Same with the 8 speed auto.

  • Moparman426W Moparman426W on Jan 18, 2011

    Cruze66 +1. @ gardiner....even though the new trans will be a ZF design it will be built in Chrysler's Kokomo, Indiana plant making costs a fraction of what they would be if Chrysler bought them as complete units. ZF happens to be one of the world class transmission makers, they supply transmissions for many different cars and trucks. Honda would do well to switch to them.

  • Lichtronamo Watch as the non-us based automakers shift more production to Mexico in the future.
  • 28-Cars-Later " Electrek recently dug around in Tesla’s online parts catalog and found that the windshield costs a whopping $1,900 to replace.To be fair, that’s around what a Mercedes S-Class or Rivian windshield costs, but the Tesla’s glass is unique because of its shape. It’s also worth noting that most insurance plans have glass replacement options that can make the repair a low- or zero-cost issue. "Now I understand why my insurance is so high despite no claims for years and about 7,500 annual miles between three cars.
  • AMcA My theory is that that when the Big 3 gave away the store to the UAW in the last contract, there was a side deal in which the UAW promised to go after the non-organized transplant plants. Even the UAW understands that if the wage differential gets too high it's gonna kill the golden goose.
  • MKizzy Why else does range matter? Because in the EV advocate's dream scenario of a post-ICE future, the average multi-car household will find itself with more EVs in their garages and driveways than places to plug them in or the capacity to charge then all at once without significant electrical upgrades. Unless each vehicle has enough range to allow for multiple days without plugging in, fighting over charging access in multi-EV households will be right up there with finances for causes of domestic strife.
  • 28-Cars-Later WSJ blurb in Think or Swim:Workers at Volkswagen's Tennessee factory voted to join the United Auto Workers, marking a historic win for the 89- year-old union that is seeking to expand where it has struggled before, with foreign-owned factories in the South.The vote is a breakthrough for the UAW, whose membership has shrunk by about three-quarters since the 1970s, to less than 400,000 workers last year.UAW leaders have hitched their growth ambitions to organizing nonunion auto factories, many of which are in southern states where the Detroit-based labor group has failed several times and antiunion sentiment abounds."People are ready for change," said Kelcey Smith, 48, who has worked in the VW plant's paint shop for about a year, after leaving his job at an Amazon.com warehouse in town. "We look forward to making history and bringing change throughout the entire South."   ...Start the clock on a Chattanooga shutdown.
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