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FCA fibbed on sales according to internal report

Following last week's news that Fiat Chrysler Automobiles (FCA) is under investigation by the Department of Justice and Securities and Exchange Commission for allegedly fudging sales figures, a new report in Automotive News says an internal investigation at FCA uncovered misreported sales. According to the AN story, 5,000 to 6,000 vehicles from various FCA brands were reported sold by dealers, but no customers existed for those cars. FCA sales chief Reid Bigland has already put a stop to the practice. One potential reason for the practice was to maintain the company's month-to-month sales increase streak, currently at 75 months. In April, FCA added a lengthy disclaimer to its sales announcements: "FCA US reported vehicle sales represent sales of its vehicles to retail and fleet customers, as well as limited deliveries of vehicles to its officers, directors, employees and retirees. Sales from dealers to customers are reported to FCA US by dealers as sales are made on an ongoing basis through a new vehicle delivery reporting system that then compiles the reported data as of the end of each month. "Sales through dealers do not necessarily correspond to reported revenues, which are based on the sale and delivery of vehicles to the dealers. In certain limited circumstances where sales are made directly by FCA US, such sales are reported through its management reporting system." FCA did not provide comment to Automotive News. Click through for the full story and more details. Related Video: Earnings/Financials Government/Legal Chrysler Dodge Fiat Jeep RAM sales Sergio Marchionne FCA USDOJ reid bigland

Stellantis lays off salaried workers, cites uncertainty in EV transition

DETROIT — Jeep maker Stellantis is laying off about 400 white-collar workers in the U.S. as it deals with the transition from combustion engines to electric vehicles. The company formed in the 2021 merger between PSA Peugeot and Fiat Chrysler said the workers are mainly in engineering, technology and software at the headquarters and technical center in Auburn Hills, Michigan, north of Detroit. Affected workers were notified starting Friday morning. “As the auto industry continues to face unprecedented uncertainties and heightened competitive pressures around the world, Stellantis continues to make the appropriate structural decisions across the enterprise to improve efficiency and optimize our cost structure,” the company said in a prepared statement Friday. The cuts, effective March 31, amount to about 2% of Stellantis' U.S. workforce in engineering, technology and software, the statement said. Workers will get a separation package and transition help, the company said. “While we understand this is difficult news, these actions will better align resources while preserving the critical skills needed to protect our competitive advantage as we remain laser focused on implementing our EV product offensive,” the statement said. CEO Carlos Tavares repeatedly has said that electric vehicles cost 40% more to make than those that run on gasoline, and that the company will have to cut costs to make EVs affordable for the middle class. He has said the company is continually looking for ways to be more efficient. U.S. electric vehicle sales grew 47% last year to a record 1.19 million as EV market share rose from 5.8% in 2022 to 7.6%. But sales growth slowed toward the end of the year. In December, they rose 34%. Stellantis plans to launch 18 new electric vehicles this year, eight of those in North America, increasing its global EV offerings by 60%. But Tavares told reporters during earnings calls last month that “the job is not done” until prices on electric vehicles come down to the level of combustion engines — something that Chinese manufacturers are already able to achieve through lower labor costs. “The Chinese offensive is possibly the biggest risk that companies like Tesla and ourselves are facing right now,Â’Â’ Tavares told reporters. “We have to work very, very hard to make sure that we bring out consumers better offerings than the Chinese.

Three Ram recalls affect more than a million pickups

Millions of Ram pickups across many of its model lines in the US are in need of recall repairs due to three campaigns by the truck maker. The largest of this trio covers 1.06 million examples in the US of the 2012-2014 Ram 1500, 2500, 3500, and chassis cab versions of the 3500, 4500, and 5500 because of potential inadvertent driver-side airbag deployment. In addition to those affected here, there are 235,925 in Canada, 26,543 in Mexico, and 23,635 elsewhere. There are also two related injures from this problem, but no reports of accidents, according to the company. While the recall was mysteriously ignored in the media at the time, the National Highway Traffic Safety Administration announced details of this campaign in late July. The next largest among the three covers 188,000 examples of the 2014 and 2015 Ram 1500 Quad Cab in the US because their side-curtain airbags don't fully overlap the C-pillars when deployed, which is in violation of federal rules. Conceivably, rear passengers not wearing their seatbelt could be more likely to be ejected in a crash. Ram's repair for the issue is still being developed, according to the National Highway Traffic Safety Administration, but the company advises all occupants to be buckled in. The final campaign affects 156,498 the company's heavy-duty trucks in the US, including the 2013 Ram 3500 and 2014 Ram 2500, 3500, and 3500 Chassis Cab. In addition, there are 20,603 in Canada and 3,241 elsewhere. Of the 13,236 in Mexico, a few units of the 2014 Ram 1500 exclusive to that market are also covered. The company found that the welds for some steering parts might have "insufficient fusion." If the part breaks, then vehicles are still controllable but with diminished response. There are no reported injuries but one minor accident. The fix involves installing a reinforcement bracket. Related Video: Statement: Steering-wheel Wiring Harness September 10, 2015 , Auburn Hills, Mich. - FCA US LLC is conducting a voluntary safety recall to inspect and service, as required, wiring harnesses in an estimated 1.06 million U.S.-market trucks. Investigation by FCA US discovered certain trucks may have steering-wheel wiring harnesses that wear because of contact with a spring. Such wear may cause a short-circuit that may lead to inadvertent driver-side air-bag deployment. The Company is aware of two related injuries, but no accidents.