Freaky Friday: When Your Free Jeep Cherokee Recall Costs $24,000

Lucky is the new car buyer who isn’t saddled with a trip to the dealer for recall work within the first few years of ownership. The modern age provides us with a great many wonderful things — avocadoes year-round, transmission cogs we can count on all 10 fingers, UberEATS — but it hasn’t turned the average vehicle into a paragon of reliability.

Last year, Fiat Chrysler Automobiles issued a recall for 323,400 2014 and 2015 Jeep Cherokees, as well as 2015 Renegades, Chrysler 200s, and Ram ProMasters. FCA threw the 2018 Fiat 500X in there for good measure. The problem stemmed from the automaker’s finicky nine-speed automatic transmission. Thanks to insufficient crimps in the transmission sensor cluster’s wire harness (and the subsequent trouble code sent to the vehicle’s diagnostic system), some owners suddenly found their Jeep, Chrysler or Ram coasting along in neutral — a default position — instead of drive. Can’t have that.

The recall — a minor fix — didn’t seem like a big deal. The vehicles would normally be drivable (for a time, anyway) after the engine was shut off and turned back on again, making a trip to the nearest certified FCA dealership relatively trouble-free. For one Cherokee owner, however, the repair work stood to cost him $2,000 more than what he paid for the vehicle.

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FCA's Remaining Pentastar Product Pair, the Chrysler 300 and Chrysler Pacifica, See Prices Slashed for 2018

Only two models remain in Fiat Chrysler Automobiles’ U.S. Chrysler lineup, but both models will benefit from dramatic price cuts for the 2018 model year.

The 2017 Chrysler 300 was marketed with a U.S. base price of $33,435. That car, the Chrysler 300 Limited, will be renamed for 2018 as the Touring L, CarsDirect reports, one notch above the 300 Touring. Meanwhile, the Chrysler 300C loses its standard V6 engine and is now sold exclusively with the 5.7-liter V8 and rear-wheel drive.

As for the 2018 Chrysler Pacifica, a new Pacifica L below the Pacifica LX allows the 2018 Pacifica to sit well below the Honda Odyssey and Toyota Sienna in the minivan price hierarchy.

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Fiat Chrysler Automobiles Has Now Been Losing Sales For 12 Consecutive Months

August 2017 represented the twelfth consecutive month in which U.S. sales at Fiat Chrysler Automobiles declined on a year-over-year basis.

FCA volume slid 11 percent in August, a loss of nearly 21,000 sales, as retail and fleet volume declined. The decreases were most keenly felt at Jeep and Chrysler, which tumbled 15 percent and 33 percent, respectively. But Dodge, Ram, and Fiat sales also reported losses compared with August 2016.

More troubling than the poor August results, however, is the predictability of August’s results. FCA’s disappointing trendline began in September 2016. Year-over-year, FCA lost 187,000 sales over the last 12 months.

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No One's Kicking the Tires on Fiat Chrysler, Marchionne Says

He came to watch a race, but Fiat Chrysler Automobiles CEO Sergio Marchionne took some time out from a busy Saturday at the Italian Formula One Grand Prix to squash some rumors.

You know the ones. Reports emerged last month that Chinese automakers were hanging around FCA’s door, just waiting for a chance to sweep the company off its feet. An unnamed company pitched a buyout offer, the story goes. Not high enough, FCA allegedly responded. Another company, Great Wall Motors, isn’t interested in FCA, just its lucrative and growth-poised Jeep division.

Is a Chinese-Italian-American automaker in the works? Will the buck one day stop in Beijing or Shanghai, instead of at the desks of Auburn Hills executives? Hardly, says Marchionne. No one wants to dance with FCA.

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The Problem That Won't Go Away: Fatal Jeep Crash Puts Spotlight on Years-old Recall
It’s the same safety issue that saddled Ford’s Pinto with a notorious legacy that continues to this day, and Jeep can’t seem to put it in its rear-view.In 2013, at the urging of the National Highway Traffic Safety Administration, Fiat Chrysler Automobiles issued a recall for 1.56 million Jeep Liberty and Grand Cherokee SUVs to correct a serious flaw. The vehicles’ gas tanks, located between the rear axle and bumper, had proven especially vulnerable to rupturing in rear-end collisions. A total of 26 deaths were recorded at the time of the recall.After installing trailer hitches on each affected vehicle, FCA felt it had the issue well in hand. Unfortunately, the fires continued, as did the deaths. Now, it’s happened again.
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Automakers Bolt From the Gates With Post-Harvey Discounts

There was quite a debate occurring in TTAC’s private Slack channel yesterday — a conversation sparked by knowledge of a new discount from Fiat Chrysler Automobiles extended to those who lost insured vehicles in Hurricane Harvey.

The timing of the offer — CarsDirect claims the deal was valid as of August 28th, even as images and video of the waterborne and helicopter rescues of Houston-area residents filled television screens and social media — raised an eyebrow. How soon is too soon? It would seem the main concerns of impacted residents over the past couple of days included finding food and shelter, reconnecting with loved ones, and perhaps picking up the pieces in both flood- and wind-damaged communities. Not shopping for a new vehicle online.

The nature of the offer sparked further debate. Affected residents in certain Texas and Louisiana counties can show a copy of their insurance claim form to receive $500 off the purchase or lease of a new FCA vehicle, certain models (like the Jeep Wrangler, Chrysler 200, SRT models, and Alfa Romeo Giulia Quadrifoglio) not included. Buyers can combine the offer with other applicable discounts.

$500 off that new Grand Cherokee? Whoo-wee, you might say. At what dollar amount does a post-disaster offer change from feeling like an opportunistic sales grab and more like a gesture of kind-hearted humanitarian assistance? Or is this just cynical thinking — should we regard any offer as a sign of generosity? It’s certainly not a new practice for any automaker. On and on it went.

Of course, any conclusion comes down to the individual. But this morning we heard FCA isn’t alone in offering deals to Harvey victims.

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Fiat Chrysler, Volkswagen in Talks About Joint Truck and Van Production: Report

Fiat Chrysler Automobiles, the manufacturer currently at the center of rampant speculation over a possible Chinese buyout and a spin-off of its Italian luxury brands, is reportedly in early talks with Volkswagen over the joint production of certain light utility vehicles.

Volkswagen, which has made crystal clear it wants nothing to do with a merger, might have products the Italian-American automaker could find beneficial. Despite the awkward back-and-forth between FCA CEO Sergio Marchionne and VW Group chief Matthias Müller earlier this year, the German automaker didn’t rule out discussions with FCA.

According to a source close to the issue, the discussions include future versions of VW’s small commercial van and, interestingly, a midsize pickup truck.

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6.2 Liters, No Lube: Dodge Hellcats Recalled Over Catastrophic Oil Dump Risk

Dodge is recalling Charger and Challenger Hellcats due to faulty engine oil cooler lines which may result in a rapid, catastrophic loss of fluids. The National Highway Traffic Safety Administration filed a recall request earlier this month, saying 1,207 vehicles assembled between February and May of 2017 may be affected.

According to the recall information, the issue stems from rubber used in the oil cooler line. Chrysler’s testing revealed that the rubber doesn’t meet the company’s usual criteria. Substandard materials can allow the hose to separate from a crimped aluminum portion of the line, letting oil gush out as if someone unscrewed a drain plug.

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Jeep's Probably Too Important to Spin Off, but Other Brands Could Get the Heave-ho: Report

So, a Chinese automobile manufacturer, Great Wall Motors, would totally love it if Fiat Chrysler Automobiles flung the Jeep brand its way. Who wouldn’t? In the mid-1980s, Jeep was the ruby in AMC’s crown, and its new (and highly profitable) Cherokee line had Chrysler Corporation chairman Lee Iacocca salivating at the thought of where he could take the brand if given the chance.

Three decades later and Jeep is FCA’s biggest asset, not just due to current volume, but future volume in untapped markets. CEO Sergio Marchionne wants people the world over to drop what they’re doing and buy a Jeep. Having global Jeep models that are popular in numerous regions would act as a hedge against trouble in, say, North America, where its Chrysler, Dodge and Fiat brands aren’t exactly setting sales charts on fire.

Too big to spin off? Perhaps, but other brands in the FCA fold aren’t nearly as indispensable. With no corporate sugar daddy waiting in the wings with a checkbook, the automaker is reportedly considering spinning off a couple of brands, a new report claims.

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Great Wall Motors Does Want Jeep; Hasn't Done Much About It

In what is almost certainly going to be little more than a faint memory in the minds of devoted readers at AmericasJeepLovers.org, the potential relationship between Wang Fengying’s Great Wall Motors Co. and Sergio Marchionne’s Fiat Chrysler Automobiles has taken a turn for the less likely already.

It seems like years ago — no, wait, it seems like yesterday — that Great Wall Motors Co. publicly declared its viability as a suitor for FCA Jeep, the most important, highest-value, primary source of desirability within the FCA family. Jeep, you’ll recall, is likely worth substantially more on its own than the whole of FCA, Jeep included. This explains why it came as no surprise that Great Wall Motors or any other automaker would express an interest in purchasing Jeep from FCA. With huge global potential for a hugely popular brand that hasn’t yet tapped many open markets, Jeep has reach.

But does Great Wall even have the money? Would FCA even entertain the idea of selling off its most valuable component? And is there even any hope of negotiation?

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China's Great Wall Motors Co. Completely Open About Its Desire to Purchase Jeep, But Not FCA

In the week that’s elapsed since initial reports surfaced of a Chinese automaker planning a takeover of Fiat Chrysler Automobiles, Geely, Dongfeng, and Guangzhou Automobile Group have all taken themselves out of the running.

Automotive News now reports, however, that the seventh-largest automaker in China, Great Wall Motors Company, has a keen interest in FCA, which has long courted unwilling suitors.

There’s one outstanding issue. Great Wall Motors Co. is open about its desire to acquire Jeep as part of a mission “to become the world’s largest SUV maker,” but Great Wall doesn’t want FCA’s other, far less valuable entities.

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'Fat, Dumb and Happy': Fourth Executive Charged as Feds Dish on UAW-FCA Conspiracy

Federal prosecutors charged a fourth player in the widening United Auto Workers-Fiat Chrysler Automobiles corruption scandal on Friday, providing a clearer picture of how the years-long conspiracy went down.

Virdell King, a former senior UAW official and the first black woman to head a UAW-FCA local, now faces the same charges as three others indicted in the $4.5 million money-funnelling scheme. King, who retired in 2016, served on the board of the scandal-plagued UAW-Chrysler National Training Center — a facility prosecutors claim acted as a money pit for the enrichment of FCA and UAW execs.

In a document filed in U.S. District court in Detroit yesterday, prosecutors allege former FCA vice president Alphons Iacobelli opened the cash taps to UAW brass in an attempt to bribe them into taking “company-friendly positions.” The training center’s funds, earmarked for autoworkers, served as the bank. NTC credit cards apparently made making the lavish purchases a breeze.

“If you see something you want, feel free to buy it,” Iacobelli said, according to the court filing.

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FCA Losing Potential Dance Partners, Foreign and Domestic

First it was Geely. Then Dongfeng. Now add Guangzhou Automobile Group to the list of Chinese automakers that have denied interest in acquiring Fiat Chrysler Automobiles (FCA).

FCA has seemingly been seeking a dance partner for a merger or acquisition for a year or two now, and the company’s stock rose earlier this week when Automotive News reported that a “well-known Chinese automaker” had made an offer to acquire FCA. The company has a market value close to $20 billion. Automotive News reported that the offer was rejected for not being enough.

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High-end Shotgun, Designer Purses Among the Latest Items ID'd in UAW-FCA Spending Scandal

On the surface, the UAW-Chrysler National Training center is a facility offering a helping hand to blue-collar workers looking to improve their employability. But the widening spending scandal involving former top brass at both the union and automaker has exposed a previously unknown use for the Fiat Chrysler Automobiles-funded NTC: a trough of cash at which to gorge oneself.

Two weeks after former Fiat Chrysler Automobiles financial analyst Jerome Durden, indicted for funnelling $4.5 million in training center funds to other execs, pleaded guilty to conspiracy to defraud the United States, the scandal has spread to existing execs.

The Detroit News reports current United Auto Workers Vice President Norwood Jewell (seen above, on left) became the recipient of some of those funds in the form of a high-powered gift: a $2,180 shotgun.

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R.I.P. Snake: Dodge's Final Viper Rolled Down the Assembly Line Yesterday

It’s a wrap on the Dodge Viper. FCA’s flagship supercar just rolled down the assembly line for the last time. In production from 1992 to 2010 and from 2013 through 2017, we’re hoping this is just another three-year hiatus for the snake. But, as production is ending indefinitely, we have no way of knowing if that will be the case.

What is assured is that the Viper’s current incarnation is over. Ralph Gilles, FCA’s head of design, posted a series of photos on social media documenting the vehicle’s last two production models as they made their way out of Detroit’s Conner Avenue Assembly Plant, the Dodge Viper’s home since 1995.

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  • JLGOLDEN Enormous competition is working against any brand in the fight for "luxury" validation. It gets murky for Cadillac's image when Chevy, Buick, and GMC models keep moving up the luxury features (and price) scale. I think Cadillac needs more consistency with square, crisp designs...even at the expense of aerodynamics and optimized efficiency. Reintroduce names such as DeVille, Seville, El Dorado if you want to create a stir.
  • ClipTheApex I don't understand all of the negativity from folks on this forum regarding Europeans. Having visited the EU multiple times across different countries, I find they are very much like us in North America-- not as different as politicians like to present them. They all aren't liberal "weenies." They are very much like you and me. Unless you've travelled there and engaged with them, it's easy to digest and repeat what we hear. I wish more Americans would travel abroad. When they return, they will have a different view of America. We are not as perfect or special as we like to believe. And no, many Europeans don't look up to America. Quite the opposite, actually.
  • Dwford Let's face it, Cadillac is planning minimal investment in the current ICE products. Their plan is to muddle through until the transition to full EV is complete. The best you are going to get is one more generation of ICE vehicles built on the existing platforms. What should Cadillac do going forward? No more vehicles under $50k. No more compact vehicles. Rely on Buick for that. Many people here mention Genesis. Genesis doesn't sell a small sedan, and they don't sell a small crossover. They sell midsize and above. So should Cadillac.
  • EBFlex Sorry BP. They aren’t any gaps
  • Bd2 To sum up my comments and follow-up comments here backed by some data, perhaps Cadillac should look to the Genesis formula in order to secure a more competitive position in the market. Indeed, by using bespoke Rwd chassis, powertrains and interiors Genesis is selling neck and neck with Lexus while ATPs are 15 to 35% higher depending on the segment you are looking at. While Lexus can't sell Rwd sedans, Genesis is outpacing them 2.2 to 1.Genesis is an industry world changing success story, frankly Cadillac would be insane to not replicate it for themselves.