1973 Chrysler Imperial With The Opera Windows,custom,rat Tod, Low Rider on 2040-cars

Auto blog

Rising aluminum costs cut into Ford's profit

When Ford reports fourth-quarter results on Wednesday afternoon, it is expected to fret that rising metals costs have cut into profits, even as rivals say they have the problem under control. Aluminum prices have risen 20 percent in the last year and nearly 11 percent since Dec. 11. Steel prices have risen just over 9 percent in the last year. Ford uses more aluminum in its vehicles than its rivals. Aluminum is lighter but far more expensive than steel, closing at $2,229 per tonne on Tuesday. U.S. steel futures closed at $677 per ton (0.91 metric tonnes). Republican U.S. President Donald Trump's administration is weighing whether to impose tariffs on imported steel and aluminum, which could push prices even higher. Ford gave a disappointing earnings estimate for 2017 and 2018 last week, saying the higher costs for steel, aluminum and other metals, as well as currency volatility, could cost the company $1.6 billion in 2018. Ford shares took a dive after the announcement. Ford Chief Financial Officer Bob Shanks told analysts at a conference in Detroit last week that while the company benefited from low commodity prices in 2016, rising steel prices were now the main cause of higher costs, followed by aluminum. Shanks said the automaker at times relies on foreign currencies as a "natural hedge" for some commodities but those are now going in the opposite direction, so they are not working. A Ford spokesman added that the automaker also uses a mix of contracts, hedges and indexed buying. Industry analysts point to the spike in aluminum versus steel prices as a plausible reason for Ford's problems, especially since it uses far more of the expensive metal than other major automakers. "When you look at Ford in the context of the other automakers, aluminum drives a lot of their volume and I think that is the cause" of their rising costs, said Jeff Schuster, senior vice president of forecasting at auto consultancy LMC Automotive. Other major automakers say rising commodity costs are not much of a problem. At last week's Detroit auto show, Fiat Chrysler Automobiles NV's Chief Executive Officer Sergio Marchionne reiterated its earnings guidance for 2018 and held forth on a number of topics, but did not mention metals prices. General Motors Co gave a well-received profit outlook last week and did not mention the subject. "We view changes in raw material costs as something that is manageable," a GM spokesman said in an email.

Autoblog Minute: Marchionne seems prepared to lead FCA in takeover of GM

FCA CEO Sergio Marchionne wants industry consolidation but without any deal takers it seems as though he's ready to consider a hostile takeover. Autoblog's Chris McGraw reports on this edition of Autoblog Minute with commentary from Autoblog editor-in-chief Mike Austin. Show full video transcript text [00:00:00] It's no secret that FCA CEO Sergio Marchionne wants industry consolidation but without any deal takers it seems as though he's ready to consider a hostile takeover. I'm Chris McGraw and this is your Autoblog Minute. Marchionne is tired of waiting for the industry to get on board with his consolidation plan. In an interview with Automotive News Marchionne was quoted as saying, "it would be unconscionable not to force a partner." And when pushed further about the nature of any potential takeover plan the FCA chief had this to say: "Not hostile. There are varying degrees of hugs. I can hug you nicely, I can hug you tightly, I can hug you like a bear, I can really hug you. Everything starts with physical contact. Then it can degrade, but it starts with physical contact." Metaphor aside, Marchionne suggests his numbers for a GM-FCA merger are irrefutable, pointing to potential global earnings of a 30 billion dollars. Without a merger deal on the horizon we have to wonder if an FCA takeover of GM even possible. For more we go to Autoblog's Mike Austin: [Mike Austin Interview] Marchionne says GM won't take his phone calls, and while he admits a merger with GM would be a hard road to haul it's one he's still determined to travel. We'll continue to monitor the story as it develops. For Autoblog, I'm Chris McGraw. Autoblog Minute is a short-form video news series reporting on all things automotive. Each segment offers a quick and clear picture of what's happening in the automotive industry from the perspective of Autoblog's expert editorial staff, auto executives, and industry professionals. UAW/Unions Chrysler Fiat GM Autoblog Minute Videos Original Video

2017 Chrysler Pacifica First Drive

I know this is supposed to be a shameful secret, but I like minivans. I like the way the kids can enter and exit easily with the sliding doors. I like the comfortable ride they provide on road trips. I like the way I can reconfigure the interior seats to haul groceries, furniture, and kids. For decades, the minivan has been maimed by its uncoolness. Sales of the family movers have tapered to about 500,000 units per year while American families have shifted their allegiance to crossovers and SUVs. But America loves a redemption story, and I believe the minivan can be redeemed. Chrysler does too. At a time when the company is shedding vehicles from its lineup – so long, Chrysler 200 and Dodge Dart – its executives aren't paying any attention to whatever conventional wisdom suggests the minivan segment has foundered and reached its end. Instead, Chrysler just spent $2 billion to overhaul the architecture for its minivan. Enter the 2017 Pacifica, an all-new vehicle that immediately replaces the Town & Country and eventually will replace the Dodge Grand Caravan. It couldn't have come at a better time. Consumer Reports recently named the outgoing Town & Country one of its "Ten Worst Picks" among 2016 vehicles, an eyesore for the company that pioneered the minivan segment. Enticed by a slew of standard features and heavy incentives, I happen to own one of those disparaged Town & Country vans. Other than a transmission that always seems to be searching for the right gear, I've got no substantial complaints about the car. While it'd be a reach to say that any minivan is attractive, the new design makes the Pacifica the best of the bunch. But my ownership experience made me curious about how the new Pacifica would fare, whether Chrysler's billions were invested well and mostly, whether the Pacifica would truly feel like an all-new vehicle or whether it had merely been incrementally advanced. Navigating the roads in the rolling hills of Southern California last week, it didn't take long to find out. A revised 3.6-liter Pentastar V6 engine delivered 287 horsepower and 262 pound-feet of torque, making the climbs up California's hills effortless. Likewise, the new nine-speed automatic transmission never strained or felt clunky, like it has in other recent products like our long-term Jeep Cherokee. The harmonious combination of the upgraded engine and transmission felt like the single-biggest differentiator between the old and new minivans.