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Fiat 500X may get Abarth treatment

Nissan has Nismo and Mini has John Cooper Works versions of their sub-compact CUVs, so it's only natural that Fiat is playing around with the idea of an Abarth-badged 500X. That's the rationale behind a new report from Autocar, which claims the higher-output CUV is coming in 2017. It all comes down to growing the Abarth line. Autocar reports that Fiat is very keen on scorpion-badged models. Abarth brand chief Paolo Gagliardo told Automotive News Europe, "We want to keep growing and stabilize at a certain level." We already know that plan requires a 124 Abarth, but it seems impossible to accomplish without Abarth-izing the Fiat with the most mainstream appeal, the 500X. Increasing performance in the 500X shouldn't be a problem, although it won't be quite as easy here in the US. As AC explains, the Euro-market 500X's 1.4-liter, turbocharged four-cylinder only produces 138 horsepower, a figure that would likely be bumped up to 170 hp in an Abarth model. But that same engine makes 160 ponies in the US, and it already coexists with a 180-hp, 2.4-liter, naturally aspirated four-cylinder. That almost certainly means a US-market 500X Abarth will need much more than the 32-hp bump AC is forecasting. It's not just competition within the US-market 500X line, though. The new Abarth's chief rivals, the Juke Nismo RS and JCW Countryman both produce in excess of 200 hp. The idea of a 500X Abarth is appealing, but if Fiat expects the CUV to survive in North America – which AC expects to be Fiat's main market – it'll need to take a closer look at how much power is on offer. Related Video:

Nissan didn't have much say in merger talks, but it had what FCA wanted

TOKYO — Nissan wasn't consulted on the proposed merger between its alliance partner Renault and Fiat Chrysler, but the Japanese automaker's reluctance to go along may have helped bring about the surprise collapse of the talks. While Nissan Motor Co. had a weaker bargaining position from the start, with its financial performance crumbling after the arrest last year of its star executive Carlos Ghosn, it still had as its crown jewel the technology of electric vehicles and hybrids that Fiat Chrysler wanted. The board of Renault, meeting Thursday, didn't get as far as voting on the proposal, announced last week, which would have created the world's third biggest automaker, trailing only Volkswagen AG of Germany and Japan's Toyota Motor Corp. When the French government, Renault's top shareholder with a 15% stake, asked for more time to convince Nissan, Fiat Chrysler Chairman John Elkann abruptly withdrew the offer. Although analysts say reviving the talks isn't out of the question, they say trust among the players appears to have been broken. "The other companies made the mistake of underestimating Nissan's determination to say, 'No,' " said Katsuya Takeuchi, senior analyst at Mitsubishi UFJ Morgan Stanley Securities in Tokyo. The Note, an electric car with a small gas engine to charge its battery, was Japan's No. 1 selling car, the first time in 50 years that a Nissan beat Toyota and Honda. Renault and Fiat Chrysler highlighted possible synergies that come from sharing parts and research costs as the benefits of the merger. But what Fiat Chrysler lacks and really wanted was what's called in the industry "electrification technology," Takeuchi said. With emissions regulations getting stricter around the world, having such technology is crucial. Yokohama-based Nissan makes the world's best-selling electric car Leaf. Its Note, an electric car equipped with a small gas engine to charge its battery, was Japan's No. 1 selling car for the fiscal year through March, the first time in 50 years that a Nissan model beat Toyota and Honda Motor Co. for that title. Nissan is also a leader in autonomous-driving technology, another area all the automakers are trying to innovate. "Although Nissan had no say, its cautionary stance on the merger ended up being very meaningful," Takeuchi said.

Fiat Chrysler to get $105M fine from NHTSA for recall woes

The National Highway Traffic Safety Administration is about to send a powerful message to automakers doing business in the United States, assuming reports of an upcoming $105 million fine against Fiat Chrysler Automobiles comes to fruition. In addition to the record-setting monetary fine, according to The Wall Street Journal, FCA will have to accept an independent auditor that will monitor the company's recall and safety processes and will be forced to buy back certain recalled vehicles. In other cases, such as with Jeep Grand Cherokee and Liberty models with gas tanks that could potentially catch fire in certain types of accidents, FCA will offer financial encouragement for owners to get their recall work done or to trade those older vehicles in on new cars, according to the report. FCA could reportedly reduce its fines if it meets certain conditions, though those remain unclear at this time. These actions against FCA are being taken after NHTSA began a probe into the automaker over almost two dozen separate instances where the government claims FCA failed to follow proper procedures for recalls and safety defects. Included in those safety lapses are more than 11 million vehicles currently in customer hands. These penalties and fines are separate from the investigation over security problems with Chrysler's Uconnect system that allowed hackers to obtain remote access into key vehicle systems in 1.4 million vehicles. Related Video: Image Credit: Marco Bertorello/AFP/Getty Earnings/Financials Government/Legal Recalls Chrysler Dodge Fiat Jeep RAM Safety fiat chrysler automobiles fine