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Chrysler resolves recall issue with NHTSA, will inspect, upgrade affected Jeeps

Chrysler made big news earlier in the month by refusing a recall request from the National Highway Traffic Safety Administration for the 1993-2004 Jeep Grand Cherokee and 2002-2007 Jeep Liberty. Last week, NHTSA boss David Strickland countered by defending his agency's request for the recall of 2.7 million Jeep SUVs. Today marked the deadline for Chrysler to formally respond to NHTSA, and it seems that both parties have met in the middle with Chrysler inspecting and upgrading some of the affected vehicles without using the word "recall," which would constitute the admission of a defect; instead, Chrysler said that it is conducting a "voluntary campaign."
At issue on these vehicles is the positioning of the fuel tank behind the rear axle that could get damaged during a rear-end collision. NHTSA has stated that at least 51 people have been killed in rear-end collisions involving these Jeeps after the vehicles caught fire, to which Chrysler countered by pointing out that both models "met and exceeded" the requirements for fuel-system integrity.
As a compromise on the situation, Chrysler says that it will inspect all pre-2004 Grand Cherokees and pre-2007 Liberty models and, "if necessary, provide an upgrade to the rear structure of the vehicle." According to Automotive News, this upgrade will consist of adding a trailer hitch that will presumably better protect the rear-mounted gas tank. Vehicles already equipped with a factory or Mopar hitch will not be modified. Chrysler's official statement on the matter is posted below, but no additional information has been released, such as when the campaign will begin and how many vehicles could be affected.

NHTSA closes book on Jeep 'trailer hitch' recall after all

After much debating and hand-wringing, the National Highway Traffic Safety Administration now says it has "no reservations" with Chrysler's plan to recall certain Jeep Liberty and Grand Cherokee models over concerns that their fuel tanks, which are located behind the rear axle, could rupture or leak in the event of a rear impact. The longstanding argument between the two entities saw Chrysler openly defy the Feds after a request to recall 2.7 million units back in June.
Chrysler's "voluntary campaign" will instead see it recall 1.56-million 1993-2004 model year Grand Cherokee SUVs, along with 2002-2007 Liberty models. Affected vehicles will get a trailer hitch installed free of charge, which Chrysler says will provide an additional degree of protection for the fuel tanks in the event of a crash. Jeeps with Mopar-branded hitches or hitches that were installed at the factory aren't affected by this recall.
Chrysler's argument throughout this battle has been that the Jeeps in question are no more susceptible to fires than comparable vehicles from the same time period, a position that NHTSA has seemingly arrived at as well. "Those vehicles performed at a rate similar to their peers. That is the keystone analysis as to whether something poses an unreasonable risk to safety," said outgoing NHTSA boss David Strickland during an interview with the The Associated Press.

Chrysler investing $20M in Toledo plant to support 9-speed auto production

In 2011, Chrysler announced a $72-million investment in its Toledo Machining Plant to modernize production of the eight- and nine-speed torque-converters for automatic transmissions made there. That upgrade work won't be finished until Q3 of this year, but Chrysler has already announced a further $19.6-million investment to increase production capacity for the nine-speeders.
The extra units will be necessary because the nine-speed transmission they'll be mated to is going into three popular models: it will debut on the 2014 Jeep Cherokee, then go into the Chrysler 200 and Dodge Dart. The company predicted that this year alone it would sell 200,000 units equipped with the nine-speed tranny, and it is spending some $374 million in addition to the investment in Toledo to upgrade production capacity for it.
The work attached to this new investment won't begin until Q3 of 2014, and it will be finished by the end of that year. There's a press release below with all the details.