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Fiat Chrysler halts European production as coronavirus hits demand

MILAN — Fiat Chrysler Automobiles (FCA) is halting production for two weeks at most of its European plants to help protect staff against the coronavirus pandemic and adjust to a slump in demand, the Italian-American carmaker said on Monday. Italy has been the European country worst hit by the crisis and the first to enforce a nationwide lockdown, which has now been replicated by Spain and, to a lesser extent, by France as the virus sweeps through the continent. With all non essential services closed, including car dealers, and people forced home except for strict working needs, many forecast a heavy fall in car sales in March. FCA — which according to analyst estimates produces around 25% of its vehicles in Europe — said the suspensions through March 27 would allow it "to effectively respond to the interruption in market demand by ensuring the optimization of supply." Ferrari, meanwhile, said it closed its two plants until March 27. Ferrari said it had so far ensured production continuity, and it already implemented all the health measures decided by the Italian government at the two sites, in hometown Maranello and in Modena. But it was "now experiencing the first serious supply chain issues, which no longer allow for continued production." Marco Opipari, an analyst at Fidentiis, said a few weeks of closures was not a big problem in an over-supplied European auto industry and lost production could be recovered later on. "The real problem is on the demand side, people are not buying cars now, and sales volumes are expected to be very bad in March, with a real impact on automakers' earnings," he said. FCA said in a statement that production for its FCA Italy and luxury Maserati units would stop for two weeks, extending a temporary closure period already planned for some Italian facilities. Affected plants are Melfi, Pomigliano, Cassino, Mirafiori, Grugliasco and Modena in Italy, Kragujevac in Serbia and Tychy in Poland. The FIOM union said FCA's decision was "necessary". The carmaker said the freeze would help it to resume activity promptly once market conditions allow it. "The group is working with its supply base and business partners to be ready to enable our manufacturing operations to deliver previously planned total levels of production despite the suspension when market demand returns," it said.

Killing the Dart and 200 might lower FCA's fuel economy burden

Killing the Dodge Dart and Chrysler 200 could allow FCA US to take advantage of an intriguing quirk in the next decade's fuel economy regulations. By increasing its ratio of trucks versus cars, the automaker might not need to worry so much about hitting the more stringent efficiency rules. At first thought, it might seem harder for an automaker with a ton of trucks to meet the government's mandated 54.5 mile per gallon corporate average fuel economy for 2025. However, every company doesn't need to hit that lofty figure, according to The Detroit Free Press. The exact target varies by the product mix between trucks and cars. "While passenger car and light truck categories have separate CAFE targets, it's still true that more trucks versus cars in a company lineup means a lower combined CAFE target," Brandon Schoettle, Project Manager Sustainable Worldwide Transportation at the University of Michigan Transportation Research Institute, told Autoblog. "While passenger car and light truck categories have separate CAFE targets, it's still true that more trucks versus cars in a company lineup means a lower combined CAFE target." FCA US' current product blend has 80 percent pickups and CUVs, which means the company stands to benefit from a lower fuel economy target. It might not seem entirely fair environmentally, but this is a great move from a business perspective. The new CAFE rules aren't set in stone, according to The Detroit Free Press, but potentially taking advantage of the regulation is just one more reason to cut the Dart and 200. Modern crossovers also aren't gas guzzlers like older SUVs, which could make it easier to hit the fuel economy target. "Utilities offer practicality and versatility that cars do not, and now, built on car architectures, they do not penalize consumers on fuel economy as they once did," AutoTrader Senior Analyst Michelle Krebs told Autoblog. Schoettle warns that FCA is still making a gamble by killing the small sedans. "Depending on the previous sales volumes and how much these vehicles might have exceeded their specific CAFE targets, it's possible that these cars helped earn CAFE credits for FCA that they could bank for future use," he said. "Future sales breakdowns [car vs.

2021 Dodge Durango lineup gets price increases

The 2021 Dodge Durango is another example of Dodge's profitable specialty — minor exterior visual changes that bring outsized improvements, easily identifiable interior updates that elevate the cabin experience, and a whopping chungus engine at the top of the lineup. For 2021, the Durango wears Charger Widebody cues outside plus a new rear hatch spoiler, a new Tow N Go package for the Durango R/T, and a redesigned, driver-focused interior with an 8.4-inch or 10.1-inch touchscreen. Prices go up across the lineup. Next year's Durango SXT RWD starts at $33,260, after the $1,495 destination charge, which is $970 more than in 2020. At the top end, the limited-run Durango SRT Hellcat starts at $80,995, an $18,000 jump over the current top of the line, the Hellcat-less SRT that picks up a "392" badge to signify its new position. Below those two are nine more models in rear- and all-wheel drive. Price for the whole range with the differences to 2020 are: Durango SXT RWD $33,260 ($970) Durango SXT AWD $35,860 ($970) Durango GT RWD $37,460 ($970) Durango GT AWD $40,060 ($970) Durango R/T RWD $46,800 ($910) Durango R/T AWD $49,400 ($910) Durango R/T AWD Tow N Go $54,395 Durango Citadel RWD $49,300 ($1,535)  Durango Citadel AWD $51,900 ($1,535) Durango SRT 392 AWD $64,490 (No Change) Durango SRT Hellcat AWD $82,490 If the Citadel price raises eyebrows, it's because Dodge reworked the model to stand out as the clear luxury buy above the R/T. It appears Dodge eliminated the Citadel trim currently priced below the R/T, which is $4,810 less than the 2021 Durango Citadel. The carmaker rebranded this year's Citadel Anodized Platinum, priced above the R/T, as the Citadel. The higher price pays for driver and front passenger seats that add leather and standard ventilation to the heating function, a suede headliner, the 10.1-inch touchscreen with Uconnect 5 as standard with TomTom navigation, and driver assistance and safety features like adaptive cruise control, blind spot monitoring, forward collision warning with active braking, and lane departure warning as standard. Those latter two features and some others can't be had on this year's model. Dodge has also thrown in the Trailer-Tow Group IV, a $1,195 option presently. The group installs an integrated trailer brake switch, heavy-duty engine oil cooler, Class IV hitch receiver, rear load-leveling shocks, full-size spare tire with the Class IV trailer receiver, and integrated brake controller.