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Fiat Chrysler may build an AWD Pacifica minivan

Fiat Chrysler is reportedly considering building an all-wheel-drive variant of the Chrysler Pacifica as a salve for the minivan's flagging sales, especially in Canada, where it's built, and where the Dodge Grand Caravan is eating its lunch. Automotive News cites a ranking official with Unifor, Canada's autoworker union, and two anonymous sources familiar with the company's internal machinations. In addition, the outlet cites the CEO of AutoForecast Solutions, a consulting firm, who says his industry data show that FCA will begin production of an AWD Pacifica in the second quarter of 2020 at its plant in Windsor, Ontario. "It's going to help them with their leadership of the product," it quoted CEO Joe McCabe as saying. An FCA spokeswoman told Autoblog the company doesn't comment on speculation about future products. Pacifica sales have held relatively steady in the U.S. Full-year 2018 sales were a respectable 118,322, essentially flat with 2017, compared to 151,927 Grand Caravans, an increase of 21 percent. Sales through February of this year were down by 24 and 27 percent, respectively, but FCA says its share of the overall U.S. minivan market has nevertheless risen to 57.7 percent. But cross the Detroit River into Canada, FCA's second-largest market for minivans, and things don't look as rosy for the company's flagship minivan. There, the Grand Caravan in 2018 outsold the Pacifica by a 5-to-1 ratio, 32,253 to 5,999, which represented respective declines of 31 percent and 3 percent. Things haven't gotten any better in 2019, either, with Pacifica sales falling 55 percent through the first two months to 512 and Grand Caravan sales slipping 20 percent to 4,836. FCA's share of the Canadian minivan market was 59 percent at the end of 2018, the company says. Canada is known as the Great White North, after all, so it makes perfect sense that all-wheel drive is a popular sell there as a way to navigate the long, snowy winters. But there are questions about whether adding a rear driveshaft would affect the Pacifica's Stow 'n Go system, which allows users to fold the third-row seats into the floor to add cargo space. Chrysler in fact offered all-wheel drive versions of its minivans through 2004, when it first introduced the Stow 'n Go, AN reports.

Nissan tells Renault it is 'not opposed' to Fiat Chrysler merger plan

TOKYO – Nissan on Wednesday told Renault it wasn't opposed to its partner's potential $35 billion merger with Fiat Chrysler, the Nikkei newspaper said, as the two met to hash out the future of their alliance amid a deal that could upend the auto industry. The leaders of Nissan Motor Co, France's Renault SA and junior partner Mitsubishi Motors Corp gathered at Nissan's headquarters in Yokohama for a scheduled alliance meeting - one overshadowed by Fiat Chrysler's proposal this week for a merger-of-equals with Renault. The plan, which would create the world's third-largest automaker, raises difficult questions about how Nissan would fit into a radically changed alliance. Renault Chairman Jean-Dominique Senard arrived in Japan on Tuesday to discuss the proposed tie-up with Nissan, 43.4% owned by the French automaker. "We are not opposed," the Nikkei quoted an unnamed Nissan source who had attended the meeting as saying. The person also said "many details need to be worked out" before the Japanese automaker solidifies its position on the issue, the Nikkei reported. In a statement, the alliance members confirmed that they had "an open and transparent discussion" on the proposal. The deal looks designed to tackle the costs of far-reaching technological and regulatory changes, including the drive toward electric vehicles. Nissan, which has rebuffed overtures by Renault for a merger of their own despite their 20-year alliance, was blindsided by the discussions, sources have told Reuters, stoking concerns that a deal with Fiat Chrysler could weaken Nissan's relations with Renault. The tie-up also poses an additional challenge for Nissan CEO Hiroto Saikawa, already grappling with poor financial performance and an uneasy relationship with Renault after Nissan led the ousting last year of long-standing alliance chairman Carlos Ghosn. There have long been tensions between Nissan and Renault over the imbalance of power in their alliance. Nissan, the bigger company, holds a 15% non-voting stake in the French automaker, while Renault owns 43.4% of Nissan. Ahead of Wednesday's meeting, Japanese media quoted Saikawa as telling reporters that he would look at the potential opportunities afforded by a Renault-FCA merger. Credit ratings agency Moody's said it was vital for Nissan to stabilize its partnership with Renault to expand operational synergies and improve margins.

Google's deal with FCA is the 'first phase' of partnership

Google and Fiat Chrysler Automobiles confirmed a partnership Tuesday in which the two companies will collaborate on creating autonomous minivans. The two companies will work together to build and test approximately 100 Chrysler Pacifica hybrid minivans, and they first of the bunch could hit the road by the end of the year. This marks the first time Google has worked with a traditional automaker in designing a self-driving car since the start of its autonomous project in 2009. "FCA will design the minivans so it's easy for us to install our self-driving systems, including the computers that hold our self-driving software and the sensors that enable our software to see what's on the road around the vehicle," Google said in a written statement. "The minivan design also gives us an opportunity to test a larger vehicle that could be easier for passengers to enter and exit, particularly with features like hands-free sliding doors." "Those of us in the tech industry recognize how hard it is to build cars." – Jennifer Haroon. That could be particularly important if Google and FCA intend to launch the autonomous minivans as a competitor to traditional public transportation options. Chris Urmson, the director of Google's self-driving car project, indicated that may be a potential business model during a public meeting on autonomous operations last week. "Public transit executives could be buying autonomous minivans rather than expensive buses," he said. "Federal standards determine what kinds of vehicles cities can use for transit. This needs attention." In the Pacifica, Google's engineers get an all-new minivan. Chrysler showcased the vehicle for the first time in January at the North American International Auto Show in Detroit, and sales of the non-hybrid versions of the vans went on sale last month. FCA CEO Sergio Marchionne says further collaboration between his company and Google is possible. "This first phase of the operation is very targeted. It's designed to take Google technology into the minivan. It's very, very focused," he said, according to Automotive News. The collaboration won't be Google's first experience with hybrids. The Lexus RX 450h SUV is one of the two cars in its current test fleet, which consists of approximately 70 vehicles. With roughly 100 autonomous minivans slated to be part of the collaboration, Google's test fleet will more than double.