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Ram and Jeep Wrangler drive Fiat Chrysler profits up 61 percent

MILAN — Italian American automaker Fiat Chrysler says fourth-quarter net profits rose by 61 percent, powered by North American sales of the all-new Ram 1500 and Jeep Wrangler. Fiat Chrysler Automobiles on Thursday reported quarterly net profits of 1.29 billion euros ($1.46 billion), compared with 804 million euros in 2017. Revenues rose 6 percent to 30.6 billion euros. North America profits grew by 19 percent to 6.2 billion euros, accounting for the lion's share of the automaker's global profits. The carmaker continued to have trouble in Asia, which swung to a loss due to market weakness in China and more competition in Fiat Chrysler's core SUV market. Europe also lost ground, with profits dipping 44 percent on lower shipments and weaker pricing, while Latin America more than doubled. Based on the company's earnings last year, 44,000 unionized U.S. auto workers will get $6,000 profit-sharing checks. That's $500 more than in 2017, but smaller than U.S. rivals Ford and General Motors. On Wednesday, GM announced that workers would get $10,750, while Ford workers will get $7,600.Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Chrysler hoons Pacifica minivan, issues recall

Chrysler is recalling about 50,000 Pacifica minivans after finding an issue with a seat belt. According to the NHTSA recall notice, "In certain passenger seating and vehicle situations, the second-row center seating position seat belt buckle could cause the left outboard seat belt to become unlatched." The affected vehicles have the eight-passenger configuration, and includes 47,927 Pacificas in the U.S. from model years 2017 and 2018, plus another 1,908 vehicles in Canada. It appears the problem occurs under spirited driving (or "extreme handling maneuvers"), which is kind of funny, because: minivan. FCA's statement, though, adds a little more clarity. The problem was discovered through Chrysler's own testing, not some dad hooning his minivan on the way to soccer practice. The problem only occurs when there are people sitting in both the center and left outboard seat of the second row. In hard cornering, the left seat belt's release button would come into contact with the center buckle, which caused it to unlatch. FCA will notify owners, and will install a shorter second-row seat belt buckle for free. The automaker is unaware of any injuries related to this issue, but urges customers to "avoid using the second-row center seat in conjunction with the other second-row positions." Better yet, if you're going to autocross your Pacifica this weekend, leave your kids on the sidelines. They're just added weight anyway. Related Video: Featured Gallery 2017 Chrysler Pacifica: First Drive View 35 Photos News Source: NHTSA, FCAImage Credit: Copyright 2017 Chris McGraw / Autoblog Recalls Chrysler Safety Minivan/Van chrysler pacifica seat belt

The Chrysler brand could be axed under Stellantis management

MILAN — While running NissanÂ’s North American operations from 2009 to 2011, Carlos Tavares had a reputation for closely watching costs with little tolerance for vehicles or ventures that didnÂ’t make money. Experts say that means Tavares, currently the head of PSA Group, is likely to follow that blueprint when he becomes leader of a merged PSA and Fiat Chrysler Automobiles. The low-performing Chrysler brand might get the axe as could slow-selling cars, SUVs or trucks that lack potential. Already the companies are talking about consolidating vehicle platforms — the underpinnings and powertrains — to save billions in engineering and manufacturing costs. That could mean job losses in Italy, Germany and Michigan as PSA Peugeot technology is integrated into North American and Italian vehicles. “You canÂ’t be cost efficient if you keep the entire scale of both companies,” said Karl Brauer, executive analyst for the iSeeCars.com auto website. “WeÂ’ve seen this show before, and weÂ’re going to see it again where they economize these platforms across continents, across multiple markets.” Shareholders of both companies are to meet Monday to vote on the merger to form the worldÂ’s fourth-largest automaker, to be called Stellantis. The deal received EU regulatory approval just before Christmas. Tavares, who for years has wanted to sell PSA vehicles in the U.S., wonÂ’t take full control of the merged companies until the end of January at the earliest. He likely will target Europe for consolidation first, because thatÂ’s where Fiat vehicles overlap extensively with PSAÂ’s, said IHS Markit Principal Auto Analyst Stephanie Brinley. Europe has been a money-loser for FCA, and factories in Italy are operating way below capacity — a concern for unions, given FiatÂ’s role as the largest private sector employer in the country. “We are at a crossroads,Â’Â’ said Michele De Palma of the FIOM CGIL metalworkersÂ’ union. “Either there is a relaunch, or there is a slow agonizing closure of industry, in particular the auto industry, in Italy.” ItalyÂ’s hopes lie with the luxury Maserati and sporty Alfa Romeo brands, but De Palma said investments are needed to bring hybrid and electric technology up to speed. FiatÂ’s Italian capacity stands at 1.5 million vehicles, but only a few hundred thousand are being produced each year. Most factories were on rolling short-term layoffs due to lack of demand, even before the pandemic.