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Trump Administration will look 'very carefully' at FCA/Peugeot deal

WASHINGTON — U.S. President Donald Trump's administration will look very closely at the planned merger between Fiat Chrysler and Peugeot owner PSA, White House economic adviser Larry Kudlow said on Friday. The deal, announced on Thursday, would create the world's fourth-largest automaker. "We will obviously look at it very, very carefully," Kudlow said on Bloomberg. "The president has not commented on the deal ... We're not afraid of doing business with international companies, Lord knows." When asked about the 12.2% equity stake and 19.5% voting stake China's Dongfeng Motors holds in PSA, Kudlow said: "With respect to the Chinese story, we obviously are alert and on guard." The deal, which would be structured as a 50-50 merger, would create the fourth-largest global automaker with annual sales of nearly 9 million vehicles. Fiat Chrysler told employees the deal could generate synergies of 3.7 billion euros but added "these synergies are NOT based on closing plants." Fiat Chrysler declined to comment. There has been speculation Dongfeng might sell its holdings, which could help ease the deal's passage through U.S. regulators, given U.S.-Chinese trade tensions. "We will welcome a good deal. We hope it will get more production in the United States, more factories and workers and employment in the U.S. And with respect to the Chinese angle, we will take a careful look at it," Kudlow said. Fiat Chrysler said on Thursday that "teams at both companies are working to finalize discussions and reach a Memorandum of Understanding in the coming weeks."

FCA and UAW deal could mean huge production shakeups

The big labor contract between Fiat Chrysler Automobiles and the United Auto Workers is likely to lead to some very serious production shakeups across the company's North American manufacturing operations. That's according to a new report from Automotive News, which details the sweeping changes at no fewer than five production facilities in Michigan, Illinois, Ohio, Mexico, and Poland. So without further ado, here's what's going where, presented in easy to digest bullet form. Ram 1500 production would move from Warren, MI to Sterling Heights, MI Warren, MI would be retooled for unibody production and would handle the Jeep Grand Wagoneer and could potentially build Grand Cherokees to ease the strain on Detroit's Jefferson North factory Chrysler 200 production would move from Sterling Heights, MI to Toluca, Mexico Dodge Dart production would move from Belvidere, IL to Toluca, Mexic Fiat 500 production, which is currently handled by Toluca, would be concentrated in Poland, where the Euro-spec Cinquecento is built Jeep Cherokee production would move from Toledo, OH to Belvidere, IL to make room for Wrangler and Wrangler Pickup production Like we said, those are some big changes. But, as FCA CEO Sergio Marchionne said in an earlier interview with Automotive News, this kind of shakeup would make a lot of sense. In that August interview the exec said that automakers moved truck production to Mexico because they were "threatened" by the UAW. "The only thing [the UAW] want is to move the truck back. Which is right. If you move the truck back here, which is [the UAW's] domain, [and move] all the cars that we get killed on somewhere else, we could actually make sense of this bloody industry and actually increase the number of people employed in this country and really share wealth because we are making money," Marchionne told AN. News Source: Automotive News - sub. req.Image Credit: Bill Pugliano / Getty Images Plants/Manufacturing UAW/Unions Chrysler Dodge Fiat Jeep RAM Sergio Marchionne FCA toluca warren sterling heights

2017 Chrysler Pacifica isn't your parents' Town & Country [w/video]

I'm sick of people hating on minivans. There's something about two incredibly functional sliding doors that give people this idea that they've given up, and given in to family life. But if the van you see here had two fixed rear doors, and maybe an extra inch of ride height, it'd be gobbled up like mad as part of the growing crossover craze. So yes, the 2017 Chrysler Pacifica – that's right, Pacifica – is a minivan. But it's so packed full of features, technology, and functionality, that you really ought to look past those sliding doors. There promises to be an incredibly rewarding vehicle within. The 2017 Pacifica rides on an all-new platform, but dimensionally, it's similar to the outgoing Town & Country. That whole "ugh, minivans" thing is one of the reasons why Chrysler decided to axe the Town & Country name for 2017. Simply put, the target customers for the new minivan (young parents) would have grown up in their parents' Town & Country vans (or Caravans, or Voyagers...) in the 1980s. Three decades later, FCA wants to make it absolutely clear that this isn't just your parents' minivan. Why it chose to bring back the name of a lackluster part of its mid-2000s history, though, is anyone's guess. The 2017 Pacifica rides on an all-new platform, but dimensionally, it's similar to the outgoing Town & Country. It's a tenth of an inch shorter in length, about an inch wider, and roughly half an inch taller. The body itself looks great – influence from the 200 sedan is obvious up front, and around back in the taillights, and top-trim models can be had with 20-inch wheels – a big change from the old van, which topped out with 17-inch rolling stock. There's big weight-savings here, too – the Pacifica tips the scales at 4,330 pounds in base spec, which is over 300 pounds less than the Town & Country. Inside, it's more of the same from Chrysler. The interior design uses language brought up from the 200, and the different color and material choices look really rich, especially in Limited Premium trim. Of course, I'll wait to make final judgments on the cabin until I see it in base cloth spec, rife with kid fingerprints and french fries ground into the carpets. Up front, the Uconnect 8.4-inch touchscreen houses familiar infotainment functionality, and for backseat passengers, there's a new Uconnect Theater system, with a pair of 10-inch touchscreen displays.