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Marchionne: Maserati to ‘switch all of its portfolio to electrification’  

After 2019, all Maseratis will be electrified, according to FCA CEO Sergio Marchionne. It's part of a larger electrification strategy from FCA as a whole, which intends to have half of its fleet electrified by the end of its five-year plan through 2022, Marchionne said. On an earnings call last week, he said: I'll give you a couple of broad sort of indications of where we are today in terms of the delineation of the post 2018 FCA. The first one and I've mentioned this in passing and other occasions about the fact that there's nothing that will prevent an OEM from engaging in the type of development work that Tesla has done so far. We have been – as you well know, we have been reluctant to embrace that avenue until we saw a clear – a path forward. I think we're now in a position to acknowledge at least one of our brands and in particular Maserati will, when it completes the development of its next two models effectively switch all of its portfolio to electrification. It's especially significant because of FCA's feet-dragging when it comes to offering hybrid and electric vehicles. As it currently stands, Fiat offers the 500e ­– of which Sergio Marchionne has said "I hope you don't buy it" because the company loses money on them — and Chrysler offers the Pacifica Hybrid minivan, which experienced significant launch delays. While diesel is an important part of the emissions strategy for 2020 standards in Europe, Marchionne said he thinks the current situation leaves diesel in a "weaker state" as a solution. Hence the electrification push. He said, "I think what has really made the issue absolutely mandatory now is the fate of diesel and the fact that it's actually the inclusion of, especially in Europe, of some type of electrification on gas engines is inevitable." In the short term, at least, it will put pressure on prices. Though Marchionne said he's "encouraged" by the direction of battery costs, he said, "I still think that there's going to be a huge increase in prices in 2021, 2022. If effectively the electrification becomes as widespread as people expect, there has to be a shift in pricing." He also says that FCA has no intention of making its own batteries. "Given the level of knowledge and depth of that knowledge that sits with other people in the industry, what right do I have to enter that space? None." We already know what the first two plug-in vehicles from Maserati will likely be. The company plans to launch an all-electric Alfieri in 2020.

Renault delays decision on merger with Fiat Chrysler

PARIS — Renault has delayed a decision on whether to merge with Fiat Chrysler Automobiles, a deal that could reshape the global auto industry as carmakers race to make electric and autonomous vehicles for the masses. The deal still looks likely, but faced new criticism Tuesday from Renault's leading union and questions from its Japanese alliance partner Nissan. The French government is also putting conditions on the deal, including job guarantees and an operational headquarters based in France. The French carmaker's board will meet again at the end of the day Wednesday to "continue to study with interest" last week's merger proposal from FCA, Renault said in a statement. A Renault board meeting Tuesday to study the deal was inconclusive. The company didn't explain why, but a French government official said board members don't want to rush into a deal and are seeking agreement on all parts of the potential merger. The official, who spoke on condition of anonymity in line with government policy, told The Associated Press the conditions outlined by France's finance minister still "need to be met." France and Italy are both painting themselves as winners in the deal, which could save both companies 5 billion euros ($5.6 billion) a year. But workers worry a merger could lead to job losses, and analysts warn it could bog down in the challenges of managing such a hulking company across multiple countries. And a possible loser is Japan's Nissan, whose once-mighty alliance with Renault and Mitsubishi is on the rocks since star CEO Carlos Ghosn's arrest in November. Nissan CEO Hiroto Saikawa cast doubt Tuesday on whether his company will be involved in a Renault-Fiat Chrysler merger — and suggested adding Fiat Chrysler to the looser Renault-Nissan-Mitsubishi alliance instead. Saikawa said in a statement that the Renault-Fiat Chrysler deal would "significantly alter" the structure of Nissan's longtime partnership with Renault, and Nissan would analyze its contractual relationships to protect the company's interests. If Renault's board says "yes" to Fiat Chrysler, that would open the way for a non-binding memorandum of understanding to start exclusive merger negotiations. The ensuing process — including consultations with unions, the French government, antitrust authorities and other regulators — would take about a year. A merger would create the world's third-biggest automaker, worth almost $40 billion and producing some 8.7 million vehicles a year.

New Barracuda, Grand Cherokee Trackhawk coming soon

As we write this, Fiat Chrysler Automobiles is conducting a major dealership event in sunny Las Vegas. New vehicles are being announced, redesigned offerings are being teased, and promises are being made to the sprawling company's dealer body. And, as all these announcements are meant to be tip-top secret, they're leaking out left, right, and center. Naturally. FCA is telling its dealers all of the vehicles shown at the Vegas gala will be in showrooms within 12 to 24 months, and that the product offensive will include at least 30 new or significantly refreshed models. Some of those we've known about since FCA boss Sergio Marchionne unveiled his highly ambitious five-year plan in May 2014, while we're hearing about others for the very first time. We've reached out to our sources within FCA, and will update this post as we learn more. It should be noted that while we've tried to rely on concrete sources or corroborations from multiple sources, some of the news here comes from people claiming to have been in attendance and posting in forums like Allpar and Jalopnik's Opposite Lock. Unless corroborated by a mainstream source or confirmed by our own sources within FCA, we're listing each item that comes from a forum. Have those grains of salt at the ready. Chrysler Dodge Durango-sized SUV with stow-and-go was shown. A poster on Allpar Forums claims it had a Durango's interior. New Aspen? Town and Country PHEV confirmed (again). A plug-in minivan was originally announced as part of five-year plan. No news on 200 or 300. Dodge The redesigned Charger will use the Alfa Romeo Giulia's rear-drive platform and, according Automotive News, draw inspiration from 1999's Charger concept car. We're wagering the 24-month time frame specified to dealers will move the new sedan's arrival up from 2018 to mid-2017. Jalopnik's Opposite Lock claims two new Challenger models are coming. Challenger ADR (American Drag Racer) and T/A. ADR should appeal to bracket racers and is more powerful than the SRT Hellcat, while T/A is for track rats, just like Viper T/A. Automotive News claims the legendary Barracuda nameplate will be revived as a Dodge. The Barracuda will be smaller than Challenger, offered as both a coupe and a convertible. Allpar claims it will feature modern styling. A Dodge Durango SRT was announced with 6.4-liter Hemi V8 and rear-drive. Sources within FCA confirmed its arrival with Autoblog. Apparently, dealers were shown an example in B5 Blue.