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Dongfeng and PSA extend Chinese joint venture

BEIJING/PARIS — China's Dongfeng and Peugeot maker PSA are extending their business cooperation, despite the Chinese company reducing its stake in PSA to help smooth the French carmaker's merger with Fiat Chrysler Automobiles (FCA). Dongfeng said on Thursday it had agreed with PSA to extend the duration of their joint venture Dongfeng Peugeot Citroen Automobiles (DPCA). Under the deal, the venture could get the rights to PSA's new brands in China and will benefit from new technologies and intellectual properties, the Chinese company said. PSA was not immediately available for comment. The announcement comes a day after the companies said Dongfeng would reduce its 12.2% stake in PSA by selling 30.7 million shares to the French company. Analysts said the move could smooth U.S. regulatory approval for PSA's roughly $50 billion (GBP38.97 billion) merger with Italian-American carmaker FCA. The sale of Dongfeng's shares in PSA, worth around 680 million euros ($757 million), will leave the Chinese group holding around 4.5% of the merged PSA-FCA, which is set to become the world's fourth-biggest carmaker by sales volumes. "As the cooperation between Dongfeng and PSA deepens, we expect the joint venture to continue making good progress in China," a Dongfeng representative said. On a conference call, Dongfeng said DPCA would have exclusive rights to PSA's Opel cars should the partners agree to bring the brand to China, and enjoy lower prices on car parts imported from PSA. Earlier this year, a document seen by Reuters showed Dongfeng and PSA plan to cut jobs at Wuhan-based DPCA and reduce its number of car plants to try to make the venture more profitable. Chrysler Dodge Fiat Jeep RAM Citroen Peugeot China FCA PSA Dongfeng

FCA goes all-in on Jeep and Ram brands on cheap gas bet

It's no surprise that as SUV and truck sales remain strong in the wake of unusually cheap gas, Jeep and Ram sales are taking off. What is a surprise is that FCA CEO Sergio Marchionne thinks that cheap gas will be a "permanent condition," and feels strongly enough about it to change up North American manufacturing plans. Jeep appears to be the biggest beneficiary of the product realignment. In addition to increasing the sales estimates for the brand worldwide upwards to 2 million units a year by 2018, the brand will get a flood of investment for new product and powertrains. Consider the Wrangler Pickup to be part of the salvo, as well as the Grand Wagoneer three-row announced in 2014 as part of the original five-year plan. The Wrangler four-door will get at least two new powertrains, a diesel and mild hybrid version, in its next generation. That mild hybrid powertrain may utilize a 48-volt electrical system like the one that's being developed by Delphi and Bosch – which the suppliers think will be worth a 10 to 15 percent fuel economy gain at a minimum. Down the road, in the 2020s, the Wrangler could adopt a full hybrid system. The diesel powertrain is planned for 2019 or 2020. The Ram 1500 is also pegged to receive a mild hybrid system, again potentially based on 48-volt architecture, sometime after 2020. Lastly, Jeep and Ram will take over some of the production capacity of existing plants. The Sterling Heights, MI, plant that builds the Chrysler 200 will now build the Ram 1500; the Belvidere, IL, facility that produces the Dodge Dart will take over Cherokee output; the big Jeep facility in Toledo, OH, will be used for increased Wrangler demand. In 2015, according to FCA's numbers, car and van demand went down by 10 percent, but SUV demand went up 8 percent and truck demand 2 percent. Considering that these are high-margin vehicles, FCA can't ignore the math. FCA also won't build any new factories to supplement production to meet demand, but instead are reshuffling production priorities. Think of it this way: FCA is gambling on cheap gas being a permanent part of our lives, at least into the 2020s. By doubling down on SUVs and trucks, the company stands to win big, unless a spike in gas prices changes the landscape. FCA isn't talking about a Plan B, so they're all in. It'll be interesting to see how this plays out.

2021 Ram 1500 TRX Suspension Deep Dive | Underbelly of the beast

I think we can all agree that we have been waiting for a gonzo full-size truck like the 2021 Ram 1500 TRX for a long time. After all, it has been over a decade since the Ford F-150 Raptor came out, and it was such an immediate hit that I expected its direct competitors to respond much sooner than this. We all knew something was finally brewing in 2016, when the TRX concept was unveiled at the Texas State Fair. I was there, and was among the many who gave the assembled Ram higher-ups an enthusiastic thumbs-up. That’s what they were hoping to see before they greenlit the project. The pace of development being what it is, and with the redesigned, current-generation Ram 1500 a prerequisite that understandably had to come first, itÂ’s no surprise that weÂ’re only seeing it now as a 2021 model. You may be biting your tongue that I overlooked the Tundra TRD Pro or the Chevrolet Silverado Trail Boss, but neither of those comes close to following the formula established by the Raptor: big engine, a much wider stance than the base truck, greatly enhanced suspension travel, huge tires and swollen fenders to cover it all. Only the Raptor and the TRX fit that mold. For now.   Before I got started, I first pointed the TRX up my RTI ramp and measured its Flex Index score. Please excuse the shaded nose; the truck ran farther up than IÂ’d guessed and literally drove out of the picture. But something in my subconscious warned me to keep the garage door open, which was fortuitous because the nose of the Ram ended up inside. The TRX hiked its front wheel 29 and 7/8 inches off the ground before the left rear tire reached the point of lift-off, and that equates to a climb of 87.4 inches up the deck of my ramp. Divide that by the TRXÂ’s wheelbase of 145.1 inches, multiply by 1,000, and you arrive at a Flex Index score of 602 points. It could have been a few points higher, I think, if I could have straightened out the steering a bit better. But the high-grip cheese grater surface of my ramp was firmly dug in and having none of it. This is an extremely good score for a full-size crew cab pickup. LetÂ’s take a closer look at what made that possible.   The track width of the TRXÂ’s double wishbone front-suspension is a full 6 inches broader than a regular Ram 1500, and you are looking at the parts that are responsible. The lower wishbone (yellow arrow), the upper control arm (green) and the steering knuckle (red) conspire to add 3 inches per side to the TRXÂ’s stance.