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China-FCA merger could be a win-win for everyone but politicians

NEW YORK — Fiat Chrysler boss Sergio Marchionne has said the car industry needs to come together, cut costs and stop incinerating capital. So far, his words have mostly fallen on deaf ears among competitors in Europe and North America. But it appears Marchionne has finally found a receptive audience — in China. FCA shares soared Monday after trade publication Automotive News reported the $18 billion Italian-American conglomerate controlled by the Agnelli family rebuffed a takeover from an unidentified carmaker from the Chinese mainland. As ugly as the politics of such a combination may appear at first blush, a transaction could stack up industrially, and perhaps even financially. A Sino-U.S.-European merger would create the first truly global auto group. That could push consolidation to the next level elsewhere. Moreover, China is the world's top market for the SUVs that Jeep effectively invented, so it might benefit FCA financially. A combo would certainly help upgrade the domestic manufacturer; Chinese carmakers have gotten better at making cars, but struggle to build global brands, and they need to develop export markets. Though frivolous overseas shopping excursions by Chinese enterprises are being reined in by Beijing, acquisitions that support the modernization and transformation of strategic industries still receive support, and the government considers the automotive industry to be strategic. A purchase of FCA by Guangzhou Automobile, Great Wall or Dongfeng Motors would probably get the same stamp of approval ChemChina was given for its $43 billion takeover of Syngenta. What's standing in the way? Apart from price (Automotive News said FCA's board deemed the offer insufficient) there's the not-insignificant matter of politics. Even as FCA shares soared, President Donald Trump interrupted his vacation to instruct the U.S. Trade Representative to look into whether to investigate China's trade policies on intellectual property. Seeing storied Detroit brands like Jeep, Chrysler, Ram and Dodge handed off to a Chinese company would provoke howls among Trump's economic-nationalist supporters. It might not play well in Italy, either, to see Alfa Romeo and Maserati answering to Wuhan instead of Turin — though Automotive News said they might be spun off separately. Yet, as Morgan Stanley observes, "cars don't ship across oceans easily," and political considerations increasingly demand local manufacture of valuable products.

Dodge recalls 121,603 examples of Dart for loss of brake assist

Dodge will recall 121,603 worldwide examples of the 2013-2014 Dart with the 2.0- and 2.4-liter engines because of possible loss of power brake assistance. The company reports two minor injuries and seven accidents potentially related to this problem. The affected models have build dates before Jan. 24, 2014. There are 105,458 of these vehicles in the US; 11,996 in Canada; 3,705 in Mexico; and 444 outside of NAFTA. This campaign doesn't affect Darts with the 1.4-liter engine. These vehicles' brake-booster vacuum tube routing can potentially allow oil to access and eventually to degrade the brake booster diaphragm. If this happens, then the vehicles could lose braking assist. The brakes themselves would continue to work, but the driver would experience longer stopping distances. A pop or similar sound of a vacuum leak sometimes precedes the problem, according to the automaker. Dealers will inspect the components and replace the vacuum tube. If technicians find oil in the tube, they'll also swap out the vacuum pump, brake booster, and master cylinder. Affected owners will receive notice from the company within the next 60 days. Statement: Vacuum-tube Assembly December 3, 2015 , Auburn Hills, Mich. - FCA US LLC is voluntarily recalling an estimated 105,458 compact sedans in the U.S. to inspect and replace vacuum-tube assemblies and certain other components, as required. Some of the affected vehicles may be subject to oil migration that could affect their brake systems' power-assist feature. Foundation brake function is unaffected. However, if this condition occurs, the driver may notice hard pedal-feel on brake application, and longer distances may be required to stop the vehicle in emergency situations. An FCA US investigation identified certain model-year 2013-14 vehicles equipped with 2.0-liter and 2.4-liter engines, may have brake-booster vacuum-tube routing that inadvertently allows oil to reach the brake booster diaphragm, if ever the vacuum-pump check valve fails. Oil may degrade the diaphragm and lead to a loss of brake-assist – a feature that helps reduce stopping distances. FCA US is aware of two minor injuries and seven accidents that are or may be related to this condition. The recall is limited to model-year 2013-14 Dodge Dart sedans produced before Jan. 24, 2014. It also affects an estimated 11,996 cars in Canada; 3,705 in Mexico and 444 outside the NAFTA region. Vehicles equipped with 1.4-liter engines are excluded.

Here are the cars Fast 8 characters will drive in Iceland

The eighth installment of the Fast & Furious franchise will feature some characteristic wheel-to-wheel adventuring, this time on Icelandic ice. As revealed by the F&F production team, here are some of the vehicles that will be seen in the film. What else could Dominic Toretto drive than a Dodge? The previous film showed a Charger fitted for off-road driving, and this time the classic shape has been formed into an ice racer. The muscle car is still recognizable, but the altered wheelbase and fender flares make this something quite different. And as the bullet holes testify, the matte black machine is definitely going to see some action. Letty drives a Local Motors Rally Fighter, which might be the best fit for the ice scenes. The off-road coupe has been modified with a brush bar and some serious roof-mounted lights. Roman will be seen behind the wheel of an orange Lamborghini Murcielago, easily standing out in the frozen wastes. To top it off, there are some tank-like machines: There's a tracked Ripsaw for Tej Parker and an "Ice Ram" for Hobbs, who is played by Dwayne "The Rock" Johnson. Both of these look like mean machines, and on the screen they'll probably prove to be the admission ticket's worth. Related Video: Featured Gallery Fast 8 Ice Cars Image Credit: Fast & Furious Facebook page Celebrities TV/Movies Dodge Lamborghini Off-Road Vehicles Special and Limited Editions Supercars local motors fast 8 ripsaw