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All Fiat 500 production moving to Poland by 2015?

With the next-generation Fiat 500 expected to debut in 2015 with more of a global presence, there is a growing possibility that production of the cute little hatchback will be consolidated to a single plant in Poland. According to Automotive News Europe, Fiat plans to end production of the 500 in Toluca, Mexico, which is expected to better fill Fiat's European production capacity, free up more North American capacity and create a single Fiat 500 design for all markets.
Currently, Fiat builds two similar but structurally different 500 models for Europe and North America, and assembling just one version at the Tychy, Poland would allow it to cut costs for development of the new car. This would also help fill some of the capacity void that Tychy has suffered in recent years, building just 300,000 units last year compared to more than double that in 2009. The report says that while Chrysler's North American production capacity is near its limit, Fiat's European plants will be used to meet increased demand before a new plant is built in North America. As for Toluca, there is no indication as to what vehicle Chrysler would replace the 500 with at this facility, which also builds the Dodge Journey.

Fiat 500 Fiore Rosa is Italian-Japanese cute-overload fusion

If you live in Japan and you want to get something for your special someone for Valentine's Day, then slow dance down to your Fiat dealer and check out the Fiat 500 Fiore Rosa. A holiday special, the pale metallic pink Cinquecento is limited to 150 examples and only on sale from February 14-17. But beware the connotations, because as far as we can glean from Google Translate, the 500 Fiore Rosa is a bargain model, getting halogen lights instead of bi-xenons, manual air-con instead of climate control, 14-inch steel wheels instead of 15-inch alloys, and going without chrome trim, glass roof, parking sensors and alarm.
It's fitted with the TwinAir engine and gets the same price as the regular 500 TwinAir, however - 2,200,000 yen ($23,559 US). Other than the special name, we can't figure out where the 500 Fiore Rosa is hiding its treats, especially because it gets the el-cheapo wheel covers of the 500 Pop fitted with the 1.2-liter engine instead of the 500 TwinAir wheels. But if you want to make a statement, it's there. And we're talking to the women of Japan, because apparently they're the ones who buy the gifts on Valentine's day in Nippon.

Fiat contemplating sub-brand to compete with Dacia, Datsun

You can add Fiat to the admittedly short list of automakers considering a low-cost brand to rival Dacia. The inexpensive Eastern European brand from Renault-Nissan has performed on the balance sheet like a premium model line, and the money the alliance is taking off the table is encouraging other players to deal themselves in. Pretty soon Nissan's Datsun sub-brand will join the Dacia party, going on sale in Russia, Indonesia and India and will claim even more rubles, rupiahs and rupees for the parent company. Volkswagen recently said it will make a decision this year on a budget line for the Chinese market. With the euthanasia of Lancia and plans to move the Fiat brand upmarket, company CEO Sergio Marchionne wonders aloud to Automotive News Europe whether there could be room for a new budget brand underneath Fiat.
We're told that the initiative has been in the idea box for five years and even moved to the stage of name considerations, like Innocenti, but worries about profit kept it from realization. If such a range were to be developed, Marchionne says it couldn't be built in Italy and stay within budget, and the company is "analyzing its manufacturing capacity outside of Europe to see if a low-cost brand is viable."

Wish you had a world-famous auto exec give your commencement speech? Watch this

We've seen some pretty great commencement speeches over the years. There was Steve Jobs' incredibly inspiring Stanford address in 2005, John Stewart's insightful speech to the graduating class of William and Mary in 2004 and Steven Colbert's hilarious 2011 address at Northwestern, but automotive executives aren't strangers to honorary degrees. Former General Motors CEO Rick Wagoner spoke at Virginia Commonwealth University in 2011, and Chrysler CEO Sergio Marchionne recently gave the keynote at Walsh College's 100th Commencement Ceremony. The executive knows a thing or two about success and following one's beliefs to fulfillment.
"I constantly encourage my co-workers at Fiat and Chrysler to go beyond the cliche and the conventional to try new approaches and change perspective each and every day," Marchionne said. "I exhort them not to repeat the same things, the same approaches, and I remind them they are indeed free. The freedom I am talking about is something inside you. It is determined by how open minded you remain, how receptive you are to the new and to the different, to the infinite possibilities that present themselves even if you don't go looking for them or could never have imagined. Being free means that you have the strength not to be conditioned by what others want you to do or by what may seem to be the easiest choice."
Amen to that. You can check out the brief press release on the address below as well as a video of a few highlights from the speech.

Fiat 500 least safe vehicle to drive according to insurance website [w/video]

When the Insurance Institute for Highway Safety crashed a 2012 Fiat 500, the little car got the best scores in all categories. It's a safe car, then, right?
"If safety is a priority, you should avoid the smallest cars," advises Russ Rader, spokesperson for IIHS. "Weight counts. Smaller, lighter cars are safer than they used to be, but all things being equal, people riding in bigger, heavier vehicles get more protection in crashes."
That's why, despite its near-perfect crash-test score, the Fiat 500 is No. 1 on Insure.com's list of worst vehicles for protecting passengers from injuries. In an accident with a larger object, the Fiat's safety cage and array of air bags do what they can to protect passenges, but like eggs in a coffee can, the passengers get thrown about and smashed up.

Chrysler earns $1.7B in 2012, revises product plans for US

Hot on the heels of Ford's earnings announcement for the year that was, Chrysler today reported a 2012 net income of $1.7 billion, up substantially from the comparatively minuscule $183 million profit earned in 2011 when it repaid its US government loans.
Chrysler's good year ended with an excellent fourth quarter that saw net income rise 68 percent from $225 million in 2011 to $378 million. Where are all those extra earnings coming from? Market share, which Chrysler saw increase to 11.4% last year on sales of 1.65 million vehicles. In fact, the Auburn Hills, MI-based automaker out-paced the industry's market growth of 13 percent last year with sales up 21 percent for the year.
The company also revealed an updated product plan for its Chrysler Group and Fiat brands that looks all the way out to 2016. It's an updated version of the plan introduced in 2009 shortly after Fiat took control of the American automaker, and includes such new additions as an Alfa Romeo model, likely the 4C, to be introduced in the US this year, as well five more Alfa models by 2016. Likewise, Fiat will be growing by an additional seven models in the coming few years.

Marchionne on Alfa's US return, Dodge Dart's powertrain weakness and minivan plans

As a reporter covering an auto show, the one opportunity you never want to miss is going to the Sergio Marchionne press briefing.
"This undertaking to bring Alfa back is a one-shot deal... We are not going to do this twice."
There just aren't that many real characters left in the auto industry. Marchionne, who sits atop both Chrysler and Fiat, is not only one of the smartest execs in the business, but also the most frank. Herein, a sample of the quotable always-sweatered executive:

Mazda and Fiat finalize deal for Alfa roadster, next-gen MX-5 Miata

Although a little bit later than expected, Mazda and Fiat have signed a final agreement that will bring a next-generation MX-5 Miata to the Japanese automaker and a new roadster to Alfa Romeo. When the proposed arrangement was announced back in May, the two automakers had hoped to seal the deal last year, but it doesn't appear that the production timeline for these cars has slipped any, with both expected to start rolling off assembly lines in 2015.
Other than a shared chassis with a rear-wheel-drive layout, it sounds like the two cars are still planned to be distinct in their own ways from their styling right down to their engines. Mazda will produce both cars at a plant in Hiroshima, Japan, but it isn't clear what role each automaker will play in the cars' developmental process. The big question, of course, is what clever portmanteau name we can come up with, like Toyobaru. Mazda Romeo is the easy choice, but Alfazda might roll off the tongue a little better.
Scroll down for a brief press release from both automakers.

Fiat and PSA predicted to be Europe's biggest losers in 2013

Industry observers are expecting Europe's new vehicle sales to fall to lows not seen in decades, with Fiat and PSA/Peugeot-Citroën sitting in the lead car of the plummeting coaster. Both of those automakers traditionally count on the southern part of the continent for sales, yet consumers in that region have slowed spending due to the financial crisis.
Compounding the problem for Fiat is a lack of new product, as CEO Sergio Marchionne has stalled development to conserve cash during the downturn. PSA has invested in new vehicles, but aggressive price wars have forced it to sell its product with steep discounts. Making matters even more difficult, both companies may have their credit ratings cut this year. That would raise borrowing costs and only deepen the wounds.
The news isn't just bad for Fiat and PSA. Analysts are predicting that volume automakers in Europe lost 8 billion euros (about $10.68 billion in today's rates) overall in 2012, and they won't break even until mid-decade.

Marchionne uses racial epithet to describe what must power future Alfa Romeo models

Sergio Marchionne and his Fiat empire have a lot riding on the US return of the Alfa Romeo brand. The endeavor has been in progress for what feels like a lifetime - certainly for as long as Fiat has had the Chrysler brand under its Italian wing.
It's not surprising that Fiat CEO Marchionne needs a perfect first Alfa to mark a return to America. And here's where things get dicey. Nobody would argue with Marchionne's insistence that Alfa Romeo's be powered by Italian engines - as Marchionne himself is quoted to have said at the 2013 Detroit Auto Show, "There are some things that are well done in Italy."
If not what he said, then, it's how he said it that has eyebrows raised. "I cannot come up with a schlock product, I just won't. I won't put an American engine into that car. With all due respect to my American friends, it needs to be a wop engine." Wait, what's that?