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China-FCA merger could be a win-win for everyone but politicians

NEW YORK — Fiat Chrysler boss Sergio Marchionne has said the car industry needs to come together, cut costs and stop incinerating capital. So far, his words have mostly fallen on deaf ears among competitors in Europe and North America. But it appears Marchionne has finally found a receptive audience — in China. FCA shares soared Monday after trade publication Automotive News reported the $18 billion Italian-American conglomerate controlled by the Agnelli family rebuffed a takeover from an unidentified carmaker from the Chinese mainland. As ugly as the politics of such a combination may appear at first blush, a transaction could stack up industrially, and perhaps even financially. A Sino-U.S.-European merger would create the first truly global auto group. That could push consolidation to the next level elsewhere. Moreover, China is the world's top market for the SUVs that Jeep effectively invented, so it might benefit FCA financially. A combo would certainly help upgrade the domestic manufacturer; Chinese carmakers have gotten better at making cars, but struggle to build global brands, and they need to develop export markets. Though frivolous overseas shopping excursions by Chinese enterprises are being reined in by Beijing, acquisitions that support the modernization and transformation of strategic industries still receive support, and the government considers the automotive industry to be strategic. A purchase of FCA by Guangzhou Automobile, Great Wall or Dongfeng Motors would probably get the same stamp of approval ChemChina was given for its $43 billion takeover of Syngenta. What's standing in the way? Apart from price (Automotive News said FCA's board deemed the offer insufficient) there's the not-insignificant matter of politics. Even as FCA shares soared, President Donald Trump interrupted his vacation to instruct the U.S. Trade Representative to look into whether to investigate China's trade policies on intellectual property. Seeing storied Detroit brands like Jeep, Chrysler, Ram and Dodge handed off to a Chinese company would provoke howls among Trump's economic-nationalist supporters. It might not play well in Italy, either, to see Alfa Romeo and Maserati answering to Wuhan instead of Turin — though Automotive News said they might be spun off separately. Yet, as Morgan Stanley observes, "cars don't ship across oceans easily," and political considerations increasingly demand local manufacture of valuable products.

Ram 1500 Marines-inspired Built to Serve edition wears tank-like green paint

Ram rolled out the latest addition to its military-inspired Built to Serve lineup of trucks right before Thanksgiving. Based on the hot-selling 1500, it's available in two distinct colors named Tank and Flame Red, respectively. Each branch of the U.S. armed forces is getting a variant of the truck, and the newest member of the range honors the Marine Corps. Like the three previously-unveiled 1500s, it receives a decal of the American flag and Built to Serve stickers on each quarter panel, black exterior trim pieces, body-colored fender flares, and 20-inch aluminum wheels finished in a shade called Technical Gray. Ram expects active-duty service members and veterans will scoop up most of the production run, so it added Velcro panels on the side of each front seat that let motorists display the patch of their choice, whether it's a flag, a name badge, or a unit insignia. It also added front sport seats upholstered in cloth and vinyl, all-weather floor mats, and an emblem on the dashboard, while the Marines-inspired model gets Medium Greystone accent stitching. Buyers can combine the Built to Serve appearance package with all body styles and powertrains, even if they haven't served in the armed forces. Every truck comes with the 4x4 Off-Road Group, which bundles features like all-terrain tires, an electronic-locking rear axle, hill descent control, tow hooks, and four thick skid plates. Ram will start taking orders for the latest Built to Serve 1500 in December 2020, and production is scheduled to start in early 2021 at the firm's Sterling Heights, Michigan, plant. Pricing information hasn't been published yet, but production will be limited to 1,000 trucks finished in Tank and an additional 1,000 units painted Flame Red. The fifth and final member of the range, honoring the Coast Guard, will be unveiled in early 2021.  Related Video:

2019 Ram 1500 eTorque Drivers' Notes Review | Filling in the gaps

When the 2019 Ram 1500 debuted earlier this year at the 2018 Detroit Auto Show, the biggest news was arguably the addition of the 48-volt mild hybrid system. Dubbed eTorque, the system is standard on V6-equipped models and a $1,450 option on trucks with the 5.7-liter Hemi V8. It's not a hybrid in the traditional sense. Despite Ram's claim that the system adds up to 130 pound-feet of torque on the V8, it only does so for a fraction of a second and doesn't actually change the engine's total output. You'd be hard pressed to notice a difference if you didn't know the system was there. But that's kind of the point. There's been a lot of confusion about what eTorque is and how the system works. Much of that falls on FCA's shoulders. The automaker didn't do a great job of explaining the whole thing, leaving us to work out much of it for ourselves. This isn't meant to boost performance, towing or payload. The Ram eTorque can't run on battery power, so don't expect a Toyota Prius with a bed and wood trim. It's here to make the truck just a little bit more efficient by improving areas where conventional internal-combustion engine's fall short. The eTorque system replaces the engine's alternator with a small, belt-driven electric motor. On the V6, the motor is part of the water pump assembly and driven by that belt; the V8 uses a dedicated belt that's separate from the other accessories. A small battery pack is mounted upright behind the rear seats inside the truck's cabin. There's also a DC-to-DC converter to charge the battery and convert 48 volts down to 12 to power the truck's normal systems. Visually, the only difference between an eTorque-equipped model and a standard one is a small metal box at the top of the engine. There's no badging and the battery pack can't be seen, even with the rear seats folded up. The system is designed to be as seamless and innocuous as possible. The auto start/stop system spins up the engine a little quicker. Shifts from the eight-speed ZF automatic transmission are a little smoother as the eTorque system smooths out and fills in the gaps. It does so for a fraction of a second, but it works its magic often. Big gains in fuel economy have already been made. It's going to take things like Ram's eTorque system to improve internal combustion engines from here on out. Editor-in-Chief Greg Migliore: I'd like to say I noticed a huge difference between the Ram eTorque and the regular Ram, but I didn't. That's how it's supposed to work.