August Brings Elevated Incentives, Higher Transaction Prices - But Not for Everyone

A flurry of new model additions benefitted many automakers with additional sales and greater revenue last month, and none more so than Fiat Chrysler, which saw its average U.S. transaction price rise 6.2 percent, year over year. Can you guess which segments pulled in the most extra money per vehicle? Bet you can.

At the other end of the yardstick, two foreign automakers basking in the glow of a very healthy sales month saw their average transaction prices fall.

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UAW Bargaining to Start With GM; Members Authorize Strike

With less than two weeks left before contracts with Detroit Three autoworkers expire, the United Automobile Workers has chosen General Motors as the first company to enter bargaining talks. What occurs between the UAW and GM will set the stage for subsequent contracts with Ford and Fiat Chrysler.

Going into the talks, which UAW does under a dark cloud born of its bribery and kickback scandal, the union comes armed with a strike authorization approved by its members.

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Incredibly Shrinking Fiat 500 Finally Dropped in North America

The model that helped relaunch a long-departed brand — a brand which subsequently failed to clear the tower — is effectively dead in North America. Fiat Chrysler has taken the retro-themed, pint-sized Fiat 500 off life support, removing it from the brand’s North American offerings for 2020.

The newly turbocharged 500, its beefier Abarth brother, and the eco-warrior 500e electric, were victims of America’s unrelenting desire for large, spacious automobiles. The illness took hold almost as soon as the 500 arrived.

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UAW Counting Strike Votes As Contract Negotiations Continue

The United Automobile Workers are tallying strike votes as union leadership decides which contract terms are worth fighting over. While this is par for the course in any contract negotiation with General Motors, Ford, or Fiat Chrysler Automobiles, this year’s talks have been mired in scandal and economic uncertainty.

Despite the continued strength of the U.S. economy, the automotive industry has been busily preparing itself for a global recession — encouraging quite a bit of restructuring over the past year. Meanwhile, the UAW finds itself the subject of a federal corruption probe that has severely undermined its credibility. We know that at least one automaker, Fiat Chrysler, was actively bribing union officials. Following the recent conviction of the former head of the union’s FCA Department, Norwood Jewell, General Motors has also been implicated.

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As It Plots a Modest Path Forward, Fiat Thinks Small

Fiat, the ancient automotive brand found at the top of very few American shopping lists, finds itself in the midst of a transformation. On its European home turf, emissions rules have grown ever more strict; meanwhile, many buyers are gravitating towards the type of vehicles offered by corporate sibling Jeep, and Fiat Chrysler would prefer they purchase the seven-slot brand. That leaves Fiat with a mandate to think small.

As details emerge from the latest meeting of Fiat brass, it looks like the brand’s future holds efficiency but precious little flash.

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UAW Corruption Probe Fingers Another Union Official, Implicates General Motors

A federal probe that’s been dropping United Auto Workers staff like flies has another one in its crosshairs, this time with ties to General Motors. Up until now, the investigation has primarily involved members connected to the union’s Fiat Chrysler Automobiles department or the UAW-Chrysler National Training Center. But, according to court records filed Wednesday, retired UAW-GM Center for Human Resources board member Michael Grimes is also formally accused of corruption.

Grimes becomes the ninth individual to be slapped with corruption charges and the first with links to an automaker outside of FCA. He is not, however, alone. Court documents suggest he’s one of several UAW officials suspected of accepting bribes and kickbacks from automakers; they’ve just yet to be named.

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Beleaguered Minivan Plant Granted a Reprieve

Home to the Dodge Grand Caravan, Chrysler Pacifica, and now the lower-tier Chrysler Voyager, Fiat Chrysler’s Windsor Assembly won’t see an expected shift cut next month. Instead, thanks to an uptick in volume, company brass has decided to ride out the year.

Originally scheduled to shed a shift (and along with it, about 1,500 jobs) at the end of September, Windsor Assembly will continue with its current workforce until at least New Year’s, Driving reports.

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Denied a Horsepower Hike for 2019, Dodge Grants the Charger a 2020 Bump

Dodge’s Charger and Challenger are rolling anachronisms we’ll miss after they’re gone. For now, the two full-size rear-drivers soldier on into the future atop their ancient underpinnings, with Fiat Chrysler bestowing an ever-growing list of variants upon still-interested buyers.

The latest corrects what some Mopar fans may have viewed as an oversight. Last year, following the release of the long-teased Challenger SRT Demon, Dodge pushed the Challenger SRT Hellcat’s supercharged 6.2-liter up to 717 horses, giving would-be buyers 10 more reasons to desire the model. A Redeye version delivered 797 hp, a downgrade (if it can really be called that) from the limited-edition Demon’s 840 hp.

Meanwhile, the Charger was left to “suffer” with only 707 hp. Not anymore.

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Fiat Chrysler Unveils 'Death Wobble' Fix, Lawsuit Plaintiffs Likely Not Satisfied

Reports of alarming oscillations transmitted through the steering wheels of various Jeep Wranglers started landing on the NHTSA’s lap last year, years after off-road enthusiasts began complaining of the same issue. A product of a solid front axle, higher speeds, and an unexpected jolt ⁠— like hitting a bump in the road ⁠— the so-called “death wobble” sparked a class-action lawsuit that alleges Jeep’s Wrangler boasts an inherently unsafe axle and suspension design.

Now Fiat Chrysler says it has a solution to the wobble, with notifications headed to owners’ mailboxes from coast to coast. Will the supposed fix serve to pour cold water over the lawsuit? At this point, it doesn’t seem so.

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Buying Credit: FCA Says It Won't Need to Pay EU's CO2 Fines

Fiat Chrysler Automobiles CEO Mike Manley said the automaker will not have to pay fines for failing to meet the demands of tightening European air quality regulations. But that’s not because the automaker is actually going to adhere to them. FCA has been pretty open in explaining its willingness to simply endure fines or, conversely, buy enough carbon credits to circumvent the issue entirely. And, over the next two years, the latter strategy will be how it copes with the EU’s pollution mandates.

It’s not ignoring efficiency, however. FCA still plans on releasing an improved Fiat 500 BEV while expanding its hybrid offerings via the Jeep brand this year. It’s just easier (and cheaper) to buy credits in advance, knowing the manufacturer will need them.

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2020 Chrysler Voyager's Price Undercuts Today's Pacifica, but Only Just

It’ll be a different story when the 2020 model year arrives at Chrysler, at which point a large pricing gap will open up between the brand’s Pacifica minivan and the newly-arrived Voyager. The Voyager name, as you may recall, has been dusted off in order to serve as a stepping stone to the Pacifica.

It’s the same vehicle, to be sure, but one which replaces the former Pacifica L and LX at the bottom of the minivan totem pole. Here’s how the pricing breaks down between the two family-friendly siblings.

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UAW Corruption Probe Continues as Jewell Heads to Prison

Former union vice president Norwood Jewel has become the highest ranking UAW member to be convicted of corruption charges in a federal investigation that has lasted four years and delivered prison sentences for eight people, including Fiat Chrysler’s former labor negotiator, Alphons Iacobelli. You might recall him from to his extravagant spending habits.

The probe amassed evidence showing UAW officials receiving extravagant gifts, private residences, vacations, parties, and even cash furnished by FCA. Bribes, essentially, to help draw union concessions. Investigators looked into claims that high-ranking UAW members received kickbacks after giving business executives contracts to produce union-branded chachkies (shirts, keychains, frisbees, etc) and concerns that union members’ donations to flower funds intended for funeral services were misappropriated by the leadership.

Ford and General Motors are also under the microscope, with both saying they’re in full cooperation with authorities and cannot comment further.

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FCA Says Maserati Will Remain Unprofitable Until Post-2020 Product Offensive

Maserati posted an ugly financial report for the second quarter of 2019. Revenue was down 40 percent, resulting in a loss of $132 million before interest and taxes. The good news, according to Fiat Chrysler Automobiles, is that the brand will become profitable once new product hits the ground.

The bad news? None of those vehicles are scheduled to arrive until after 2020, meaning Maserati probably won’t see any improvements until sometime afterward. FCA CEO Mike Manley has already said the rest of 2019 will be ugly for the brand, though he remains hopeful that the 10 new or refreshed vehicles the premium nameplate had in the works would help it turn a corner.

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There's More Than One Name in This Little Black Book, Manley Tells Renault

Maybe that’s a dated reference in this age of smartphones and hookup romance apps. Regardless, the list of potential partners for a prowling Fiat Chrysler doesn’t begin and end with Renault-Nissan-Mitsubishi.

Oh sure, it wouldn’t mind getting down to business with the French-Japanese auto giant, but there’s plenty of fish in the sea. FCA knows it’s a catch, and wants to put Renault on notice that it has plenty of choice in who it goes home with.

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Classic-er: With No Midsize in Sight, Ram's 1500 Holdover Stands to Live On

For those of you who value, um, value in your pickup purchase, there’s good news. Ram’s 1500 Classic, the name given to the previous-generation half-ton that soldiers on alongside the new-for-2019 1500, shows no signs of impending death.

Fiat Chrysler CEO Mike Manley made that point abundantly clear during an earnings call last week. Debuting for the 2009 model year, the Classic earns its moniker, yet the advancements and refinements showered on its successor hasn’t diminished demand for the old model — the new-gen 1500’s higher price point assures FCA of a steady stream of buyers.

Amazingly, a refresh may be in the works.

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  • ToolGuy The only way this makes sense to me (still looking) is if it is tied to the realization that they have a capital issue (cash crunch) which is getting in the way of their plans.
  • Jeff I do think this is a good thing. Teaching salespeople how to interact with the customer and teaching them some of the features and technical stuff of the vehicles is important.
  • MKizzy If Tesla stops maintaining and expanding the Superchargers at current levels, imagine the chaos as more EV owners with high expectations visit crowded and no longer reliable Superchargers.It feels like at this point, Musk is nearly bored enough with Tesla and EVs in general to literally take his ball and going home.
  • Incog99 I bought a brand new 4 on the floor 240SX coupe in 1989 in pearl green. I drove it almost 200k miles, put in a killer sound system and never wish I sold it. I graduated to an Infiniti Q45 next and that tank was amazing.
  • CanadaCraig As an aside... you are so incredibly vulnerable as you're sitting there WAITING for you EV to charge. It freaks me out.