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Why a Renault-FCA merger could be good news for Nissan, Mitsubishi

TOKYO — Nissan's advanced technologies including platforms and electric powertrains could give it leverage in a merger involving Renault and Fiat Chrysler, thanks to a royalty system it has with the former, two people with knowledge of the matter said. A merged Renault-Fiat Chrysler could face an extra hurdle each time it uses technology developed by Nissan or Mitsubishi Motors, while the two Japanese automakers stand to gain a client in Fiat Chrysler (FCA), one of the people said. Both sources declined to be identified because of the sensitivity of the matter. Nissan's technology, particularly in electrification and emissions reduction, could give it some sway in the $35 billion potential tie-up between Renault and FCA, even as its stake in the newly formed company would be diluted. Currently Renault SA pays less for technology developed by Nissan than the Japanese automaker pays for French technology, a third person said. This has long been a sticking point for Nissan, and an area where Nissan could seek more favorable terms. "Whenever Nissan transfers platform, powertrain or other technology to Renault, there is a margin or royalty which Renault has to pay for use of that tech," one of the people said. "In that sense, FCA, if everything went well, would become another 'client' of ours and that's good. More business for us." A Nissan spokesman declined to comment on its royalty system. The potential Renault-FCA deal has complicated the Japanese automaker's already uneasy alliance with Renault. A further deal with Fiat Chrysler looks likely at least in the near term to weaken Nissan's influence in the 20-year-old partnership. Renault owns a 43.4% stake in Nissan and is its top shareholder. Nissan holds a 15% non-voting stake in Renault and would see that diluted to 7.5% after the FCA deal, albeit with voting rights. The imbalance between the two has long rankled Nissan, which is by far the larger company. Alliance imbalance Renault had previously angled for a merger with Nissan but has been rebuffed by CEO Hiroto Saikawa. Securing benefits from the merger deal will be important for Saikawa, who is grappling with poor financial performance while he struggles to right the company after the ouster of former chairman Carlos Ghosn last year.

Mopar maneuvers into SEMA with a multitude of modified models

As the aftermarket and performance arm of Fiat Chrysler Automobiles, Mopar has a duty to extract everything from the company's models that it can, and there's no better place to show all of its work off than the annual SEMA Show.
Dodge really gets in on the act this year with several customs to show off different parts of the brand's performance heritage. Perhaps the most interesting among them is the track-prepped Viper ACR Concept (pictured above). It wears a custom body kit to produce even more downforce, thanks in no small part to a monstrous wing at the back. To shed weight, most of the interior is stripped out, as well. Next up, the Challenger T/A Concept takes inspiration from '70s Trans-Am racing in a livery of Sublime Green and matte black paint. The center scoop in the hood keeps the 6.4-liter V8 fed with cool air, and the special's 20-by-9.5-inch matte black wheels keep it planted in the corners.
Also getting the once-over from Mopar is the Charger R/T. It wears the division's body kit, and under the hood, a cold-air intake keeps the 5.7-liter V8 breathing. The suspension is retooled to hold the road better with a coil-over kit, upgraded sway bars and strut tower braces for the front and rear. The company is also showing off a snazzy blue Charger with a mean look. The final Dodge getting work from Mopar is the Dart R/T Concept with bright, O-So-Orange paint and a matte black hood with a scoop hooked directly to the air intake. The performance-oriented design is finished off with a coil-over suspension and big brake kit, as well.

Jeep hiring 1,000 part-time workers in Toledo on Wrangler, Cherokee demand

The new Jeep Cherokee has been quite a success for Chrysler, but its factory workers are getting tired. The automaker has agreed to hire up to 1,000 part-time, temporary employees at its Toledo Assembly Complex where the CUV and Wrangler are built. It will allow the company to keep Jeep production moving, while giving laborers a break.
According to plant manager Chuck Padden in the Toledo Blade, full-time workers are regularly taking on 60 hours a week, and it's beginning to wear on them. "To get them more time off is important to us, to make sure they're refreshed, and can work safely," said Padden.
Chrysler has already hired 380 temporary, part-time workers for the plant, and 50 have been converted to full-time employees. The company is in the process of interviewing the rest of the new hires now and plans to have all 1,000 in place by the summer. They will work between 10 and 30 hours a week mostly on weekends for $15.78 per hour with limited benefits. The temporary positions will last "as long as demand continues for the Jeep Wrangler and the Jeep Cherokee," said Jodi Tinson, Chrysler spokesperson for manufacturing and labor communications, to Autoblog in an email.