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Fiat/PSA's dominance in small vans hangs up EU's merger approval

BRUSSELS — EU antitrust regulators are concerned about Fiat Chrysler and Peugeot / PSA's combined high market share in small vans and may require concessions to clear their $50 billion merger, people familiar with the matter said. The companies, which are seeking to create the world's fourth biggest carmaker, were told of the European Commission's concerns last week. If Fiat and PSA fail to dispel the European Commission's doubts in the next two days and subsequently decline to offer concessions by Wednesday, the deadline for doing so, the deal would face a four-month-long investigation. The EU competition enforcer, which has set a June 17 deadline for its preliminary review, declined to comment. Fiat was not immediately available for comment while PSA had no immediate comment. Hiving off overlapping businesses, usually a regulatory demand to ensure more competition, could prove tricky for the carmakers because of the technicalities. Fiat and PSA are looking to merge to help offset slowing demand and shoulder the cost of making cleaner vehicles to meet tougher emissions regulations. The deal puts under one roof the Italian carmaker's brands such as Fiat, Jeep, Dodge, Ram, Maserati and the French company's Peugeot, Opel and DS. Related Video: Government/Legal Chrysler Dodge Fiat Jeep Maserati RAM Citroen Opel Peugeot

NHTSA boss Strickland weighs in on Jeep recall fracas

Adding yet another chapter to the ongoing Jeep recall story, the National Highway Traffic Safety Administration (NHTSA) head David Strickland has gone on record to defend the government's request that Chrysler recall 2.7 million out-of-production Jeep Grand Cherokee and Jeep Liberty vehicles after the agency investigated fiery rear-end collisions that have reportedly killed at least 51 people over the years. In statements made to The Detroit News, Strickland said, "We felt very strongly that the process that we undertook and the findings that we made and ... we made the decision to issue a recall request. We do not take that very lightly." The top US auto safety regulator stopped short of telling owners to park their cars until the automaker takes action. "They can make their own risk assessment and their own choices," he said.
Chrysler does not intend to recall the models, insisting the "vehicles met and exceeded all applicable requirements of the Federal Motor Vehicle Safety Standards, including FMVSS 301, pertaining to fuel-system integrity" when they were manufactured and sold. "The company does not agree with NHTSA's conclusions and does not intend to recall the vehicles cited in the investigation. The subject vehicles are safe and are not defective," Chrysler announced last week in a statement. "We believe NHTSA's initial conclusions are based on an incomplete analysis of the underlying data, and we are committed to continue working with the agency to resolve this disagreement."
Legally, Chrysler has until June 18 to formally respond to NHTSA's request. If the automaker does not take action, NHTSA is expected to issue a formal finding and seek a recall.

Jeep three-row Chinese SUV will be called Grand Commander

China is still very much a Jeep country, and the boxy XJ generation Cherokee lived and prospered there far longer than it did in the United States — until 2014. There have also been China-built Grand Cherokees, but the biggest Chinese Jeep has been previewed in the form of the Yuntu concept seen at the Shanghai Auto Show in April. Now, leaked shots of the Yuntu's production version have emerged a couple weeks after the SUV was spotted testing still in camouflage, and it appears to wear the nameplate Grand Commander. While a name like Grand Wagoneer would have been a stronger memento of Jeeps gone by, at least it's not called Grand Compass or Grand Nitro. The official reveal of the Grand Commander is expected to be held at the Beijing Auto Show in April, where more information will be available. Car News China says the big, nearly 16-foot-long SUV is a seven-seater, and the engine is the same 2-liter turbo unit also seen in the freshly updated Wrangler. There will be two power levels, 234 hp and 265 hp. The Grand Commander will most likely remain China-only, where it will be priced at $38,000. That sees it competing with Volkswagen's large Teramont SUV, which starts at nearly $45,000. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.