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Fiat Chrysler faces $79 million U.S. penalty for fuel economy shortfall

WASHINGTON — Fiat Chrysler Automobiles NV on Wednesday said it faces a $79 million U.S. civil penalty for failing to meet 2017 fuel economy requirements, as regulators reported more automakers were falling short of U.S. greenhouse gas emissions standards. The Italian-American automaker said the payment is not expected to have a material impact on its business. Of 18 major carmakers in the United States, 13 including Fiat Chrysler failed to comply with fuel economy and greenhouse gas emissions standards for the 2017 model year without using credits, according to the National Highway Traffic Safety Administration (NHTSA). The agency said its review of model year 2017 vehicles showed "automakers falling further behind current standards." The 2017 model fleet fell 1 1/2 miles per gallon short of the 33.8 mpg standard based on yearly performance without including credits, NHTSA reported. The shortfall was a half-mile per gallon for the 2016 model year. NHTSA said more automakers were failing to comply with standards for the 2018 and 2019 model years, "and the potential penalties on automakers, which are passed along to consumers, are expected to continue to increase." The Trump administration has used the widening gap between the emissions of automakers' U.S. fleets, which are skewing toward larger vehicles, and national vehicle CO2 emissions standards to bolster its case for freezing vehicle emissions and mileage standards at current levels through 2026. Environmental groups and regulators in California and other states are fighting against any rollback in standards, saying tough rules are needed to address climate change and reduce consumer outlays for fuel. NHTSA and the Environmental Protection Agency are working to finalize as early as next month a rewrite of the Obama administrationÂ’s fuel efficiency requirements, which call for sharp reductions in fleet-wide emissions by 2026. Fiat Chrysler is paying fines for the shortfall in its domestic passenger car fleet, which includes several front-wheel-drive Jeep and rear-drive Dodge SUVs and some sedans and muscle cars. The automaker killed its slow-selling domestic small and midsize sedans. After paying $77.3 million last year for a 2016 model year fuel-economy shortfall, a Fiat Chrysler spokesman confirmed Wednesday the company had received a letter on the 2017 penalty and has 60 days to pay the fine.

What's the right car for the 'Planes, Trains, and Automobiles' remake?

As the Thanksgiving holiday approaches so, too, does the season in which many Americans will rewatch that holiday classic, "Planes, Trains, and Automobiles." The Steve Martin and John Candy movie is a staple of holiday-season viewing. Soon, however, it will be joined by a new version. Paramount Pictures is doing a remake of "Planes, Trains, and Automobiles," starring Will Smith and Kevin Hart. In the 1987 original, Martin and Candy rent a pea-soup green Chrysler LeBaron Town&Country convertible (well, sort of), which suffers a series of mishaps including catching fire yet still chugs along. It was a star turn for the wood-sided K-car droptop (though not the last), and that got us thinking: What should the Smith and Hart duo get stuck with at Marathon Rent-A-Car? Of course, it needs to be a convertible. Among the widely used rental-car convertibles, a Ford Mustang or a Chevy Camaro would be too sporty and cool. This trip is supposed to be miserable. A Buick Cascada or a Beetle convertible would be more appropriate. Of the two, a Beetle is probably better from a comedy standpoint.  But there is another car that stands out as the clear winner: the Chrysler PT Cruiser convertible. Granted, the PT convertible went out of production in 2008, making it a bit old for a current rental lot — but not too old. And the PT Cruiser was even offered with a Woodie package, providing even greater alignment with the LeBaron of old. However, the Woodie package was only offered from 2002–2004, so it predated the convertible by one model year. We think that in this case, the filmmakers should put aside strict historical accuracy and apply the faux-wood appliques to the PT convertible for maximum continuity with the original movie. Besides, the original car wasn't technically a Chrysler LeBaron: it had a different name and badging, plus a non-factory color. It wasn't too different from the Wagon Queen Family Truckster from "Vacation" in that regard. So, what do you think? Is it time for the PT Cruiser to join the great pantheon of movie road-trip cars? Or would something else make for a better movie motors classic?

Autoblog Minute: Marchionne seems prepared to lead FCA in takeover of GM

FCA CEO Sergio Marchionne wants industry consolidation but without any deal takers it seems as though he's ready to consider a hostile takeover. Autoblog's Chris McGraw reports on this edition of Autoblog Minute with commentary from Autoblog editor-in-chief Mike Austin. Show full video transcript text [00:00:00] It's no secret that FCA CEO Sergio Marchionne wants industry consolidation but without any deal takers it seems as though he's ready to consider a hostile takeover. I'm Chris McGraw and this is your Autoblog Minute. Marchionne is tired of waiting for the industry to get on board with his consolidation plan. In an interview with Automotive News Marchionne was quoted as saying, "it would be unconscionable not to force a partner." And when pushed further about the nature of any potential takeover plan the FCA chief had this to say: "Not hostile. There are varying degrees of hugs. I can hug you nicely, I can hug you tightly, I can hug you like a bear, I can really hug you. Everything starts with physical contact. Then it can degrade, but it starts with physical contact." Metaphor aside, Marchionne suggests his numbers for a GM-FCA merger are irrefutable, pointing to potential global earnings of a 30 billion dollars. Without a merger deal on the horizon we have to wonder if an FCA takeover of GM even possible. For more we go to Autoblog's Mike Austin: [Mike Austin Interview] Marchionne says GM won't take his phone calls, and while he admits a merger with GM would be a hard road to haul it's one he's still determined to travel. We'll continue to monitor the story as it develops. For Autoblog, I'm Chris McGraw. Autoblog Minute is a short-form video news series reporting on all things automotive. Each segment offers a quick and clear picture of what's happening in the automotive industry from the perspective of Autoblog's expert editorial staff, auto executives, and industry professionals. UAW/Unions Chrysler Fiat GM Autoblog Minute Videos Original Video