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Chrysler Recalls Jeep SUVs For Ignition Switches

The ignition switch defects that engulfed General Motors are now a rapidly growing problem at Chrysler. Chrysler said Tuesday it is recalling up to 792,300 older Jeep SUVs worldwide because the ignition switches could fall out of the "run" position, shutting off the engine and disabling air bags as well as power-assisted steering and braking. That's the same problem that has forced GM to recall more than 15 million cars over the last six months. Chrysler's recall covers 2005-2007 Grand Cherokees and 2006-2007 Commanders. The company said it is not sure exactly how many will be recalled, but said it will notify customers by mid-September. Chrysler said an outside force such as a driver's knee can knock switches out of the "run" position. Engineers are working on a fix. The Auburn Hills, Michigan-based automaker, now part of Fiat Chrysler Automobiles NV, said it knows of no related injuries and only one accident. But it said owners should keep clearance between their knees and keys until repairs are made. Chrysler has now recalled more than 1.7 million vehicles for ignition-switch problems. In June, the company added 696,000 minivans and SUVs to a 2011 recall to fix faulty ignition switches. Those recalls covered Dodge Journey SUVs and Chrysler Town & Country, Dodge Caravan and Volkswagen Routan minivans - which Chrysler made for the German automaker - from the 2007 to 2010 model years. Tuesday's recall is the outgrowth of two investigations opened by U.S. safety regulators last month as part of a broader probe into ignition-switch and air-bag problems across the auto industry. The agency wouldn't say Tuesday whether its investigation could lead to recalls at other automakers. The National Highway Traffic Safety Administration said in June that it was investigating Jeep Commanders and Grand Cherokees after getting 32 complaints that a driver's knee can hit the key fob or key chain, causing the ignition switch to move out of position. The federal investigation is still open. The agency said Tuesday that it is requesting additional information from Chrysler to ensure that its repairs will be effective. The investigations and recalls come after GM bungled an ignition-switch recall of older small cars. GM acknowledged that it knew of the ignition problem for more than a decade but failed to recall the cars until earlier this year, when it recalled 2.6 million small cars such as the Chevrolet Cobalt.

Government Ending Jeep Investigation

The government is closing its investigation into older-model Jeeps with fuel tanks that could rupture and cause fires. The National Highway Traffic Safety Administration said Friday it has "no reservations" with Chrysler Group's plans to recall the vehicles. The agency is expected to release a report on its investigation in a few weeks. The decision ends an unusually public struggle between Chrysler and NHTSA. The agency asked Chrysler to recall 2.7 million Jeeps last June, contending that their gas tanks - which are positioned behind the rear axle - were at risk of rupturing and catching fire in rear-end crashes. Involved were Grand Cherokee SUVs from the 1993 to 2004 model years and Liberty SUVs from 2002 to 2007. Chrysler initially refused to recall the vehicles. The company said the rate of fuel leaks and fires after crashes was similar to comparable vehicles that were sold during the time in question. It was the first time in two years that an automaker had refused NHTSA's request for a recall. Chrysler later agreed to recall 1.56 million of the Jeeps and install trailer hitches on them to help protect the gas tanks. The company sent notices to the remaining customers saying their vehicles were fine if they have factory-installed or Chrysler-made trailer hitches. NHTSA said late Friday that it has been in close contact with Chrysler and will monitor the recall as it continues. Chrysler has told customers that it will start installing the hitches soon. "Consumers should have their vehicles serviced promptly once they receive final notification from Chrysler,"NHTSA said in a statement. In its own statement Friday, Chrysler said, "We share NHTSA's commitment to safety." NHTSA's outgoing chief, David Strickland, told The Associated Press in an interview last month that Chrysler had convinced NHTSA that the Jeeps were no more dangerous than similar vehicles sold at that time. "Those vehicles performed at a rate similar to their peers. That is the keystone analysis as to whether something poses an unreasonable risk to safety," Strickland said. Friday was Strickland's last day at NHTSA. He is joining Venable, a law firm. NHTSA began investigating the Jeeps at the request of the Center for Auto Safety, a Washington-based advocacy group. "It is tragic that NHTSA approved Chrysler's sham trailer hitch recall for Jeeps that explode in rear impacts," the Center for Auto Safety's director, Clarence Ditlow, said Friday.

FCA to test Jeep car-sharing and other pilots

Fiat Chrysler plans to launch a trio of pilot programs in Boston aimed at boosting sales of its Jeep cash cow and other brands, according to media reports. The programs, which involve car-sharing and subscription services, are expected to roll out starting this month. Bloomberg reported earlier this month that Jeep is launching two small pilot programs in Boston — one in which owners can rent out their Jeeps through peer-to-peer car-sharing startup Turo, the other a three-month subscription service in partnership with Avis Budget Group in which owners can swap their Jeeps for other vehicles, like a Ram 1500 pickup or a Dodge Challenger. There's also a third program in the works, according to Motor Authority. It's called "Car Borrowing" and it's also a partnership with Avis. According to the report, it'll allow Jeep owners in Boston starting next month to purchase six "Jeep Coins," each good for a one-day rental of most Chrysler, Dodge, Jeep and Ram vehicles, valid for a year. Participants will be able to pick up the borrowed vehicles or have them delivered. The former two programs will reportedly be limited to the first 100 owners who register for each. Jeep brand manager Tim Kuniskis says the programs will help develop new prospective customers and help generate customer feedback to see whether the programs are right for the brand and could be offered at the dealerships at the point of sale. Avis would supply the inventory in the subscription pilot, and participants would be able to swap models up to six times in three months, two with delivery and the remainder by picking them up. It wasn't clear what services would be offered with the program. In a blog post, Turo CEO Andre Haddad said the "Jeep Freedom Experience" program was aimed at introducing Jeep enthusiasts to new models of mobility and was a natural fit, since Jeep models "have long been among the most popular vehicles for guests on Turo," and the Wrangler and Cherokee rank tops in the company's recent study ranking vehicles based on their potential return by sharing them on the platform. "As Turo hosts, Jeep buyers can get help covering their payments, offset the cost of ownership entirely, or even turn a profit," Haddad wrote.