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Dongfeng and PSA extend Chinese joint venture

BEIJING/PARIS — China's Dongfeng and Peugeot maker PSA are extending their business cooperation, despite the Chinese company reducing its stake in PSA to help smooth the French carmaker's merger with Fiat Chrysler Automobiles (FCA). Dongfeng said on Thursday it had agreed with PSA to extend the duration of their joint venture Dongfeng Peugeot Citroen Automobiles (DPCA). Under the deal, the venture could get the rights to PSA's new brands in China and will benefit from new technologies and intellectual properties, the Chinese company said. PSA was not immediately available for comment. The announcement comes a day after the companies said Dongfeng would reduce its 12.2% stake in PSA by selling 30.7 million shares to the French company. Analysts said the move could smooth U.S. regulatory approval for PSA's roughly $50 billion (GBP38.97 billion) merger with Italian-American carmaker FCA. The sale of Dongfeng's shares in PSA, worth around 680 million euros ($757 million), will leave the Chinese group holding around 4.5% of the merged PSA-FCA, which is set to become the world's fourth-biggest carmaker by sales volumes. "As the cooperation between Dongfeng and PSA deepens, we expect the joint venture to continue making good progress in China," a Dongfeng representative said. On a conference call, Dongfeng said DPCA would have exclusive rights to PSA's Opel cars should the partners agree to bring the brand to China, and enjoy lower prices on car parts imported from PSA. Earlier this year, a document seen by Reuters showed Dongfeng and PSA plan to cut jobs at Wuhan-based DPCA and reduce its number of car plants to try to make the venture more profitable. Chrysler Dodge Fiat Jeep RAM Citroen Peugeot China FCA PSA Dongfeng

Small number of 2013 Chrysler 200 and Dodge Avenger models recalled

A small number of units of the 2013 Chrysler 200 (inset) and 2013 Dodge Avenger are being recalled over a broken control valve in the fuel tank assembly. The potential 1,785 sedans were manufactured late last year, and if affected with a broken control valve could suffer from stalling or fuel leakage.
A bulletin from the National Highway Traffic Safety Administration notes that the recall should begin next month, at which time owners can take their cars to dealers for repair free of charge. The full release with more information is just below.

Dodge Journey gets more SUV-like look with new Crossroad model

Looking to play up its aging three-row crossover, Dodge will introduce a new model for its Journey franchise at next week's Chicago Auto Show. The 2014 Dodge Journey Crossroad will be a new trim level positioned between the SXT and Limited, and it will be distinguished from other Journey models thanks to a handful of styling add-ons.
Plucking a page right out of the appearance playbook of the Ford Explorer Sport, the Journey Crossroad gets a meaner, more SUV-like demeanor. The Journey has often straddled the line between tall wagon and crossover, but this new trim goes a long way toward skewing its visuals toward the utility vehicle end of the spectrum. That's thanks largely to the Platinum chrome exterior trim on its roof rails and side sills, unique fascias, smoked headlights and taillights and, of course, those black 19-inch wheels. Inside, the Journey Crossroad will get a similar treatment, with darker, Liquid Graphite accents throughout the cabin, and the model will also come standard with leather seats (which Dodge says are a new design), and Chrysler's giant 8.4-inch Uconnect screen.
The 2014 Journey Crossroad goes on sale this spring with a starting price of $24,995 (*not including $995 for destination) for the four-cylinder, front-wheel-drive model, but Dodge says that the model will also be offered with more power and capability from the optional 3.6-liter Pentastar V6 and all-wheel-drive. Scroll down for the full press release, and check back next week for our live coverage from Chicago.