TTAC News Round-up: Mitsubishi Has a Plan, Volvo Wants You Online, and FCA Throws Down

Steph Willems
by Steph Willems

Mitsubishi confirms it is going to shoehorn another SUV into its lineup to tempt those utility-hungry Americans.

That, Volvo wants everyone to buy S90s from their beds, Fiat Chrysler isn’t having a dealer’s trash talk, UAW bolsters its ranks, and your gas is going up … after the break!

Mitsubishi thinks bigger

Mitsubishi Motors isn’t the biggest player on the automotive scene, but it’s trying hard to move forward from an era that had many questioning its survival in the U.S.

After showcasing the U.S.-bound 2017 Outlander PHEV and Mirage G4 sedan at the New York Auto Show, Mitsubishi’s North American vice-president Don Swearingen told Car Advice the near future is all about boosting SUV sales:

“Mitsubishi will take [2019] Outlander up in width and length. The Outlander Sport ( ASX ), we’re taking that down a bit in size [the next-generation car is due as soon as 2017]… in the middle will be a new CUV.”

The new utility vehicle will draw design inspiration from the radically-styled XR-PHEV II concept vehicle (seen above) that was displayed at last year’s Geneva Motor Show.

Let your fingers do the walking

Volvo knows you’re a busy person, so it’s offering the opportunity to buy an S90 with your iPad during a coffee break.

Pricing for the flagship S90, which goes on sale this summer, has been announced and orders opened, but driving to your local dealership doesn’t have to be part of the buying process.

Volvo Concierge, a new service accessed through the automaker’s website, over the phone or through email, will walk prospective buyers through the ordering process, much like the guy who makes your burger at one of those fancy fast food restaurants.

It will be interesting to see if other high-end automakers follow Volvo’s lead to draw in dealer-phobic customers.

The S90 starts at $47, 945 for the base T5 Momentum, rising to $53,945 for the all-wheel drive T6 Momentum. Opting for Inscription trim (which turbocharges the car’s luxury amenities) adds a minimum of $3,000 to the price of both models.

“Oh, it is ON!” — Fiat Chrysler

Fiat Chrysler Automobiles is fighting back against a group of Illinois dealerships that targeted the automaker with a civil racketeering lawsuit.

The Napleton Automotive Group-owned dealerships filed the suit in January, claiming the automaker paid them to inflate sales data, but FCA has come out calling the allegations a smear job, Automotive News reports:

In its response Thursday, FCA seeks to have the Napleton dealerships’ suit dismissed entirely, saying it is “replete with conclusory allegations, substitutes vitriol for plausibility, and relies on wholly illogical theories devoid of any legal support.”

FCA’s response alleges that the Napleton dealerships had sued FCA after the automaker had notified Napleton’s “crown jewel” — Napleton’s Arlington Heights Motors in Arlington Heights, Ill. — that it had failed “to achieve the minimum level of sales that it had agreed to in its dealer agreements.”

FCA measures dealership performance with a “minimum sales responsibility” metric, and claimed the trouble began after it said it wouldn’t exempt Arlington Heights from its contractual obligation.

Upward climb continues at UAW

United Auto Workers added 5,200 new union members to its ranks in 2015, pushing its numbers up 15 percent compared to the depths of the recession in 2009, Automotive News reports.

It’s the sixth straight year of gains for UAW, but the tally pales in comparison to membership totals from the pre-recession era:

That is still down dramatically from the more than 700,000 members the UAW had in 2002 and from its all-time high of nearly 1.5 million members in 1979 …

Last year, the UAW reached new four-year contracts covering about 150,000 workers with General Motors, Ford Motor Co. and Fiat Chrysler Automobiles, four months after talks began.

Expect a few more burgers hitting the grill on May 1.

Gas is going up; buyers suddenly weigh Suburban and Volt

National average gas prices popped above two bucks a gallon yesterday as oil prices crawl back from their earlier lows, but is it time to put off buying the new SUV?

There’s much more to the price of gas than commodity prices for oil, and it drivers shouldn’t expect a steady climb at the pumps this year, says the New York Times:

But there are a variety of other factors pushing gasoline prices up, particularly on the West Coast. A recent power outage at Exxon Mobil’s refinery in Torrance, Calif., a plant that has still not fully recovered from an explosion early last year, has slowed gasoline production …

Much of the recent price rise is from changes in seasonal driving habits, including spring break road trips. At the same time, many refineries are retooling to produce summer blends, which leads to a temporary decline in local fuel production.

The U.S. Department of Energy is still projecting lower average gas prices this year than in 2015, barring unforeseen disasters or conflict.

[Images: Outlander PHEV, XR-PHEV II: Mitsubishi Motors]

Steph Willems
Steph Willems

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  • Flybrian Flybrian on Mar 25, 2016

    That Outlander PHEV is going to be a hit. Not. First, Mitsubishi buyers have no idea what that is. Second, Mitsubishi dealers have no idea what that is. They probably think Mitsubishi of American listened to them and gave them a way to tender the 12v car battery while Outlanders languish on the back fence line. Third, how much is it anyway? Like $40k?

    • See 2 previous
    • Corey Lewis Corey Lewis on Mar 28, 2016

      Yep, it will be $40 and flop. Just like $47 for the Montero didn't work out. Plus, this model has been continually delayed - for like years.

  • Geozinger Geozinger on Mar 25, 2016

    I'm liking that Mitsu CUV concept, it looks like they managed to get the Lexus spindle grille right. After spending time in my new boss' Nissan Murano, the Outlander looks positively restrained. I still think that FCA and Mitsubishi should join forces. If FCA is going to abandon the CUSW platform (at least for cars), I'm pretty sure Mitsu could whip up a couple of decent sedans for the B and C classes. It's not like they haven't done it before for Chrysler. I would still love to see FCA (whether they subcontract to Mitsu or anyone else for that matter) bring the 2006 Dodge Hornet Concept to life. But maybe that would compete too closely with the RAM ProMaster. Although, I'm not aware of a big push to sell the ProMaster in the passenger variant, either. EDIT: I forgot about the Fiat Strada. There's another place FCA could strike a new direction, that will probably sell. I still believe there's a desire for a little pickup similar to the ones from 30 years ago. Oh well, I guess I will keep on dreaming.

  • Redapple2 Love the wheels
  • Redapple2 Good luck to them. They used to make great cars. 510. 240Z, Sentra SE-R. Maxima. Frontier.
  • Joe65688619 Under Ghosn they went through the same short-term bottom-line thinking that GM did in the 80s/90s, and they have not recovered say, to their heyday in the 50s and 60s in terms of market share and innovation. Poor design decisions (a CVT in their front-wheel drive "4-Door Sports Car", model overlap in a poorly performing segment (they never needed the Altima AND the Maxima...what they needed was one vehicle with different drivetrain, including hybrid, to compete with the Accord/Camry, and decontenting their vehicles: My 2012 QX56 (I know, not a Nissan, but the same holds for the Armada) had power rear windows in the cargo area that could vent, a glass hatch on the back door that could be opened separate from the whole liftgate (in such a tall vehicle, kinda essential if you have it in a garage and want to load the trunk without having to open the garage door to make room for the lift gate), a nice driver's side folding armrest, and a few other quality-of-life details absent from my 2018 QX80. In a competitive market this attention to detai is can be the differentiator that sell cars. Now they are caught in the middle of the market, competing more with Hyundai and Kia and selling discounted vehicles near the same price points, but losing money on them. They invested also invested a lot in niche platforms. The Leaf was one of the first full EVs, but never really evolved. They misjudged the market - luxury EVs are selling, small budget models not so much. Variable compression engines offering little in terms of real-world power or tech, let a lot of complexity that is leading to higher failure rates. Aside from the Z and GT-R (low volume models), not much forced induction (whether your a fan or not, look at what Honda did with the CR-V and Acura RDX - same chassis, slap a turbo on it, make it nicer inside, and now you can sell it as a semi-premium brand with higher markup). That said, I do believe they retain the technical and engineering capability to do far better. About time management realized they need to make smarter investments and understand their markets better.
  • Kwik_Shift_Pro4X Off-road fluff on vehicles that should not be off road needs to die.
  • Kwik_Shift_Pro4X Saw this posted on social media; “Just bought a 2023 Tundra with the 14" screen. Let my son borrow it for the afternoon, he connected his phone to listen to his iTunes.The next day my insurance company raised my rates and added my son to my policy. The email said that a private company showed that my son drove the vehicle. He already had his own vehicle that he was insuring.My insurance company demanded he give all his insurance info and some private info for proof. He declined for privacy reasons and my insurance cancelled my policy.These new vehicles with their tech are on condition that we give up our privacy to enter their world. It's not worth it people.”
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