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Fiat/PSA's dominance in small vans hangs up EU's merger approval

BRUSSELS — EU antitrust regulators are concerned about Fiat Chrysler and Peugeot / PSA's combined high market share in small vans and may require concessions to clear their $50 billion merger, people familiar with the matter said. The companies, which are seeking to create the world's fourth biggest carmaker, were told of the European Commission's concerns last week. If Fiat and PSA fail to dispel the European Commission's doubts in the next two days and subsequently decline to offer concessions by Wednesday, the deadline for doing so, the deal would face a four-month-long investigation. The EU competition enforcer, which has set a June 17 deadline for its preliminary review, declined to comment. Fiat was not immediately available for comment while PSA had no immediate comment. Hiving off overlapping businesses, usually a regulatory demand to ensure more competition, could prove tricky for the carmakers because of the technicalities. Fiat and PSA are looking to merge to help offset slowing demand and shoulder the cost of making cleaner vehicles to meet tougher emissions regulations. The deal puts under one roof the Italian carmaker's brands such as Fiat, Jeep, Dodge, Ram, Maserati and the French company's Peugeot, Opel and DS. Related Video: Government/Legal Chrysler Dodge Fiat Jeep Maserati RAM Citroen Opel Peugeot

164K Jeep Cherokees recalled to protect liftgate from moisture

FCA is recalling 164,003 examples of the 2014 and 2015 Jeep Cherokee because moisture can damage the power liftgate controls on models that are equipped with that feature. Regionally, this includes 99,436 of them in the US, 13,195 in Canada, 2,406 in Mexico, and 48,966 outside of NAFTA. The problem came to light after the automaker started investigating a fire in one of the SUVs. There were no injuries, though. According to FCA US' research, the power hatch's control module potentially can be exposed to water. This can cause a short circuit and possibly a fire, as in this case. Until the issue is repaired, the company is advising owners to keep the cargo area dry on Cherokees equipped with this feature. To fix things, dealers will install a shield around the controls to protect them from moisture and will replace any modules showing exposure to water. Statement: Water-Shield Installation June 24, 2015 , Auburn Hills, Mich. - FCA US LLC is voluntarily recalling an estimated 99,436 SUVs in the U.S. to install shields that protect their power liftgate control modules, and related components, from moisture. FCA US LLC began an investigation after learning of a reported vehicle fire. The probe revealed power liftgate control modules in certain SUVs may be inadvertently exposed to water. This may cause a short-circuit, creating a fire hazard. However, the Company is unaware of any related injuries or accidents. The campaign affects model year 2014 and 2015 Jeep Cherokee SUVs, but is limited to vehicles equipped with power liftgates. An estimated 13,195 customers are affected in Canada, along with an estimated 2,406 customers in Mexico and 48,966 outside the NAFTA region. The estimated total recall population is 164,003. All affected customers will be advised when they may schedule service. If the modules show signs of water exposure, they will be replaced. All recall-related work will be performed free of charge. In the interim, the cargo areas of 2014-15 Cherokees equipped with power liftgates should be monitored and kept dry. Customers with questions may call the FCA US Customer Information Center at 1-800-853-1403.

Jeep going bigger with new Grand Wagoneer, smaller with sub-Renegade?

The headlines are still rolling in for the new Renegade that Jeep unveiled at the Geneva Motor Show last week, but already reports are surfacing, citing sources within the company, about what Chrysler's iconic off-road brand will do next.
Speaking with Auto Express (whose reports we tend to take with a grain of salt or two), Jeep chief Mike Manley suggested that two courses of action are currently under consideration at Auburn Hills to develop two very different new models - one smaller and one larger than anything Jeep currently makes.
One plan would be to make an SUV or crossover even smaller than the new Renegade, although it isn't immediately clear what platform it would take. The Renegade (pictured above in Trailhawk spec) will be built in Italy alongside Fiat's upcoming 500X, but uses a heavily modified platform. We figure the smaller model, if approved, could base itself on the new Fiat Panda Cross.