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FCA shifts Ram Heavy Duty trucks from Mexico to U.S., creating 2,500 jobs

DETROIT — Fiat Chrysler Automobiles said on Thursday it will shift production of Ram Heavy Duty pickup trucks from Mexico to Michigan in 2020, a move that lowers the risk to the automaker's profit should President Donald Trump pull the United States out of the North American Free Trade Agreement. Fiat Chrysler said it would create 2,500 jobs at a factory in Warren, Michigan, near Detroit, where the Ram 1500 is currently built, and FCA will invest $1 billion in the facility. The Mexican plant will be "repurposed to produce future commercial vehicles" for sale global markets. Mexico has free trade agreements with numerous countries. Fiat Chrysler Chief Executive Sergio Marchionne a year ago raised the possibility that the automaker would move production of its heavy-duty pickups to the United States, saying U.S. tax and trade policy would influence the decision.If the United States exits NAFTA, it could mean that automakers would pay a 25 percent duty on pickup trucks assembled in Mexico and shipped to the United States. About 90 percent of the Ram pickups made at Fiat Chrysler's Saltillo plant in Mexico are sold in the United States or Canada, company officials said. Negotiators for the United States, Mexico and Canada are scheduled to meet later this month for another round of talks on revising NAFTA. Canadian government officials earlier this week said they are convinced that Trump intends to announce his intention to quit the agreement. Trump has threatened to force the rollback of NAFTA, which enables the free flow of goods made in the United States, Canada and Mexico across the borders of those countries. He also has criticized automakers for moving jobs and investment in new manufacturing facilities to Mexico and prodded them to add more auto production in the United States. View 31 Photos On Wednesday, Toyota and Mazda announced they would build a new $1.6 billion auto assembly plant in Alabama, drawing praise from Trump. Vice President Mike Pence praised Fiat Chrysler's announcement. "Manufacturing is back. Great announcement. Proof that this admin's AMERICA FIRST policies are WORKING!" Pence said in a Twitter posting. Chrysler raised its output in Mexico by 39 percent in 2017 to 639,000 vehicles, according to Mexican government data. That made Fiat Chrysler the third-largest producer of vehicles in Mexico in 2017, after Nissan and General Motors.

Fiat/PSA's dominance in small vans hangs up EU's merger approval

BRUSSELS — EU antitrust regulators are concerned about Fiat Chrysler and Peugeot / PSA's combined high market share in small vans and may require concessions to clear their $50 billion merger, people familiar with the matter said. The companies, which are seeking to create the world's fourth biggest carmaker, were told of the European Commission's concerns last week. If Fiat and PSA fail to dispel the European Commission's doubts in the next two days and subsequently decline to offer concessions by Wednesday, the deadline for doing so, the deal would face a four-month-long investigation. The EU competition enforcer, which has set a June 17 deadline for its preliminary review, declined to comment. Fiat was not immediately available for comment while PSA had no immediate comment. Hiving off overlapping businesses, usually a regulatory demand to ensure more competition, could prove tricky for the carmakers because of the technicalities. Fiat and PSA are looking to merge to help offset slowing demand and shoulder the cost of making cleaner vehicles to meet tougher emissions regulations. The deal puts under one roof the Italian carmaker's brands such as Fiat, Jeep, Dodge, Ram, Maserati and the French company's Peugeot, Opel and DS. Related Video: Government/Legal Chrysler Dodge Fiat Jeep Maserati RAM Citroen Opel Peugeot

Ram extends Black Package to Heavy Duty trucks

If you liked the Black Express package Ram offers on its 1500 light-duty pickup but need the added capability of a Heavy Duty model, we've got good news for you.
This week at the Atlanta International Auto Show, the Ram truck brand is rolling out the Black package for the Ram HD 2500 and 3500 SRW. It features a sinister-looking exterior with 20-inch alloys, fog lamps, grille, front and rear bumpers and badges all blacked out. All the body-side badging has also been removed, unless you go for Cummins power, in which case you still get a chrome diesel badge on the side.
In correspondence with Autoblog, Ram spokesman Nick Cappa explained that the popularity of the Black edition light-duty truck was the impetus for the Heavy Duty edition you see here. "Ram has a reputation for going further on design and custom-looks from the factory," explained Cappa, pointing towards the Express, Sport and Longhorn editions. "This type of forward design-thinking led us to extend the aggressive appearance to the HD trucks, which in the past has been a bit more subtle."