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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.

Autoblog Minute: 2016 Dodge Charger pursuit vehicle gets Uconnect 12.1

Dodge introduces new tech into its 2016 pursuit vehicles that even Jake and Elwood couldn't outrun. Autoblog's Adam Morath reports on this edition of Autoblog Minute. Show full video transcript text [00:00:00] Dodge introduces new tech into its 2016 pursuit vehicles that even Jake and Elwood couldn't outrun. I'm Adam Morath and this is your Autoblog Minute. The 2016 Dodge Charger Pursuit vehicles are getting Uconnect 12.1. The system's new laptop size touch screen will be dash mounted and at 12.1" is 5 times larger than the current Uconnect 5.0 system. Features of Uconnect 12.1 [00:00:30] include an all-new drag and drop menu bar and Siri Eyes Free. No clunky laptops needed because the system is ergonomically located in the dash. The SRT pursuit vehicles will also be getting 370 hp, factory-installed Mopar upfit packages and an advanced all-wheel-drive system for maximum tactical performance, all-weather traction and fuel-efficiency. [00:01:00] It's clear that the new Charger pursuit vehicles have all the best tech available from Dodge but one important question remains: Do these cruisers got S.C.M.O.D.S.? For Autoblog, I'm Adam Morath. Autoblog Minute is a short-form video news series reporting on all things automotive. Each segment offers a quick and clear picture of what's happening in the automotive industry from the perspective of Autoblog's expert editorial staff, auto executives, and industry professionals. Dodge Technology Autoblog Minute Videos viral video

Dodge performance trio thrashed on Roadkill

Of all the shows that Motor Trend does, Roadkill is probably the last one we'd pick to evaluate the latest performance automobiles. That's not a slight against David Freiburger or Mike Finnegan, who host the show: they're certified gear-heads and the go-to guys when it comes to hot rods, rat rods and anything grungier than it is shiny. But as exemplary as they are of Detroit muscle, the Charger Hellcat, Challenger Hellcat and Viper are also shiny new pieces of metal. Still, since it will now be sponsoring the show, someone at Dodge apparently thought it would be a good idea to hand Freiburger and Finnegan the keys to the company's top performance models. So to ring the best out of them, they solicited help from some of their colleagues at MT, gained access to a closed-down air strip, devised as many ways as they could to destroy the tires, and proceeded to set about doing exactly that. Watch the grin-inducing mayhem unfold in the half-hour clip above. Related Video: