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How Renault, Fiat Chrysler, and yes, Nissan, could save through sharing

If French automaker Renault green-lights a proposed merger with Fiat Chrysler Automobiles, the companies almost immediately could begin saving money by consolidating components and basic structures on many of their most popular vehicles, an industry analyst said on Tuesday. The synergies could multiply if they invite Japanese automaker Nissan, currently Renault's alliance partner, to join the merger, according to a former Renault and Nissan executive. Renault and Italian-American rival Fiat Chrysler Automobiles are in talks to tackle the costs of far-reaching technological and regulatory changes by creating the world's third-biggest automaker. A Renault-Fiat Chrysler combination "would mean a greater sharing of parts (which) could really boost the profitability of Fiat Chrysler's smaller vehicles," said Sam Fiorani, vice president, AutoForecast Solutions. Building similar models on a common vehicle architecture, Fiorani said, "would give both companies a lot more freedom in manufacturing. They could mix brands and vehicle sizes on the same assembly line, switch vehicles between plants to balance production, and even shift production from one country to another, depending on changes in demand, tariffs or other considerations." Fiorani said Fiat Chrysler could benefit from sharing the French automaker's expertise in electric vehicles and powertrains, where Renault and Nissan have jointly invested more than $5 billion. These are areas in which Fiat Chrysler has little in the way of components or intellectual property. Another sector that is ripe for consolidation is light commercial vehicles, where Renault and Fiat Chrysler could build a variety of vans in several sizes on common platforms that could be assembled and sold in global markets. Ford Motor Co and Volkswagen AG began their alliance discussions a year ago by focusing on potential collaboration in light commercial vehicles. Getting Nissan's blessing Fiorani said Renault's CMF architecture, which was jointly developed with Nissan and underpins many of Renault's passenger cars and crossovers, could be used by Fiat Chrysler on a wide variety of vehicles. As an example, he said the CMF could provide a new single foundation for at least five Jeep models, including the Renegade, Compass and Cherokee, which now are based on four different platforms.

Nissan planning 90-second Super Bowl commercial, plus two debut cameos

The Super Bowl is still a few days away, but the big ads from several automakers for the game are already streaming online. Nissan is bucking the trend, though, and the Japanese brand is only releasing the first 10 seconds of its spot before the actual premiere. Much like one of Toyota's ads, Nissan is choosing to focus on fathers this year. The story of the commercial is about a racecar-driving dad balancing work and life with his new child, but despite the motorsports connection, the teaser shows cars for just a few seconds. Hopefully, setting the commercial to Harry Chapin's Cat's in the Cradle doesn't make the whole thing too maudlin. We'll be seeing even more from Nissan during the Super Bowl than originally thought, as well. The automaker will now be taking 90 seconds of ad time during the game, rather than the original plan for 60 seconds. Perhaps the extension will give the company even more time to show off its two surprise product cameos during the spot. One of them is rumored to be the first official glimpse at the GT-R LM Nismo LMP1 racer. Nissan lengthens Super Bowl commercial to 90 seconds, teases "With Dad" spot with release of brief clip Nissan back as Super Bowl advertiser after nearly two decades Releases first 10 seconds of its ad as a teaser Announces the in-game commercial has been lengthened to 90 seconds Story will depict the struggle of work-life balance facing many American families Iconic song "Cats in the Cradle" by the late Harry Chapin featured Two surprise products to make cameo appearances NASHVILLE, Tenn. – Nissan, which has been teasing its Super Bowl plans through a one-of-a-kind social media campaign using YouTube "content creator" videos and the hashtag #withdad, is giving the first hint of its in-game commercial by releasing a short preview of the spot today. Nissan previously announced it would feature a 60-second spot in the Super Bowl. The company has increased its stake in the game to a 90-second ad, which it says will tell a unique family story while maintaining a strong Nissan brand connection.

Kayaba, Sumitomo to pay millions for price-fixing in US

Kayaba Industry Co, which does business in the US as suspension parts maker KYB, and Sumitomo Electric Industries are facing payments in the millions to settle price-fixing cases about the components that they make. As part of the Department of Justice's ongoing crackdown of price fixing in the auto industry, KYB agreed to pay $62 million and pleaded guilty to conspiracy to set the cost of shock absorbers from the mid '90s through 2012. The company allegedly worked with co-conspirators to keep the cost of the parts high, and those components then made it into vehicles from Honda, Kawasaki, Nissan, Subaru, Suzuki, and Toyota. "Any collusive agreement among competitors to restrict price competition undercuts our free enterprise system and violates the law," said Carter M. Stewart, US Attorney of the Southern District of Ohio, in the DoJ's announcement. Over the past few years, the DoJ has brought cases against 37 parts suppliers and 55 executives, leading to over $2.6 billion in fines. The investigations haven't always been so successful – some of the Japanese execs fled from the US to avoid prosecution. Critics allege that price fixing is simply how business is done. According to Automotive News, Sumitomo Electric Industries is also facing a $50 million settlement in a civil lawsuit that's related to price fixing of parts like wiring harnesses and heater control panels. The plaintiffs include owners and dealers that purchased vehicles with these parts. The company asserts that the violations are from before 2010, and it now has different process in place to avoid further violations. KYB Agrees to Plead Guilty and Pay $62 Million Criminal Fine for Fixing Price of Shock Absorbers Kayaba Industry Co. Ltd., dba KYB Corporation (KYB) has agreed to plead guilty and to pay a $62 million criminal fine for its role in a conspiracy to fix the price of shock absorbers installed in cars and motorcycles sold to U.S. consumers. According to charges filed today, KYB conspired from the mid-1990s until 2012 to fix the prices of shock absorbers sold to Fuji Heavy Industries Ltd. (manufacturer of Subaru vehicles), Honda Motor Co. Ltd., Kawasaki Heavy Industries Ltd., Nissan Motor Company Ltd., Suzuki Motor Corporation and Toyota Motor Company, including their subsidiaries in the United States.