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Fiat Chrysler recalls 1.33 million vehicles over fire, air bag risks

WASHINGTON - Fiat Chrysler Automobiles NV said on Friday it is recalling 1.33 million vehicles worldwide in two separate campaigns for potential fire risks and inadvertent airbag deployments. The Italian-American automaker said it is recalling about 770,000 sport utility vehicles because of a wiring issue that may lead to inadvertent deployment of the driver-side air bag and is linked to reports of five related minor injuries, but no crashes. The company said wiring could chafe against pieces of steering-wheel trim, potentially causing a short-circuit and ultimately leading to an inadvertent air bag deployment. The issue could also cause unintended windshield wiper operation or inoperable switches. The recall covers 538,000 2011-2015 Dodge Journey vehicles in North America and 233,000 2011-2015 Fiat Freemont crossovers sold elsewhere. Dealers will inspect and replace the wiring, as needed and equip it with additional protective covering. The automaker is also recalling 565,000 vehicles to replace their alternators because of fire risks. The company said hot ambient temperatures could lead to premature diode wear, may result in a burning odor or smoke, could impact the anti-lock braking system or lead to engine stalls. The company said it is aware of two potentially related accidents but no injuries. The recall covers 2011-2014 model year Chrysler 300, Dodge Charger and Dodge Challenger cars and Dodge Durango SUVs and 2012-2014 Jeep Grand Cherokee SUVs. In October, Fiat Chrysler recalled about 86,000 Ram 2500 and 3500 pickup trucks, 3500, 4500 and 5500 chassis cabs from the 2007-2013 model years and 2011-2014 Dodge Charger Pursuit sedans for the same alternator issue. Fiat Chrysler said at the time one minor injury was related to the recall. Dealers will replace the alternators. By David ShepardsonRelated Video: Auto News Chrysler Fiat RAM Safety Coupe SUV Sedan FCA dodge journey fiat chrysler automobiles fiat freemont

Jeep Begins Fixing 1.56 Million Recalled Grand Cherokee, Liberty SUVs

Chrysler is just now beginning the big job of fixing 1.56 million older Jeep SUVs seven months after a recall was announced, according to The Detroit News. Jeep Grand Cherokees sold between 1992 and 1998 and Jeep Liberty models sold between 2002 and 2007 are being recalled because the gas tank can leak in the event of a rear-end collision, leading to a fire. The National Highway Traffic Safety Administration originally requested the recall of 2.7 million vehicles. Chrysler initially disputed NHTSA's findings and seemed willing to go through a court battle until an 11th-hour deal reduced the number of vehicles involved in the recall. The remaining vehicle owners left out of the recall will receive a "customer service action" notification and may not get fixed. Chrysler says the vehicles are safe and need no repairs. Fixing the 1.56 million Jeeps will cost Chrysler $151 million. NHTSA cited 51 deaths causes by such tank fires. Chrysler plans to install protective trailer hitches to protect the gas tanks, but even the automaker admits the hitches will only provide incremental protection in a low-to-moderate speed rear-end crash. Related Gallery 2014 Jeep Cherokee Test Drive View 9 Photos Recalls Chrysler Jeep jeep liberty

GM, Chrysler bailouts saved 2.6 million jobs

The Center for Automotive Research (CAR) has been studying the effects of the General Motors and Chrysler bailouts in 2009. Now that the US Treasury has officially sold off the rest of its stake in GM (and Chrysler has already paid back its loan), CAR has released its study on the effects of the bailout with this concluding note: "CAR is confident that in the years ahead, this peacetime intervention in the private sector by the US government will be seen as one of the most successful in US economic history."
Big words, for sure, but there's plenty of evidence to back up the claim. Bailing out GM alone saved 1.2-million jobs. If both GM and Chrysler hadn't been bailed out, US employment would have been reduced by 2.631-million jobs in 2009 and another 1.519-million jobs in 2010, according to the study. If both automakers were allowed to fail, personal income in the US would have decreased by $173.5 billion in 2009 and $110.9 billion in 2010. Instead, the study found that $284.4 billion of personal income was saved by the bailouts.