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Ram boss says not to expect midsize pickup in America

Remember that mysterious midsize four-door pickup FCA was spotted testing recently? It may be sold as a Fiat in markets overseas, but don't expect it to join the Ram lineup in North America. At least not according to the latest word from the truck brand's new boss. Speaking with Automotive News at the New York Auto Show, Ram CEO Bob Hegbloom outlined four criteria for a successful midsize pickup, particularly in the North American marketplace: they have less capability than a fullsize truck, but return with a more compact form, lower price and considerably higher fuel economy. "I've been able to develop a strategy to come up with three of the four," said Hegbloom, but "I haven't seen anyone who can deliver on all four." Smaller and less capable are easy, but getting both the price and the fuel consumption down at the same time is where it gets tricky. As it is, a Ram 1500 with the diesel engine and rear-wheel drive delivers 29 miles per gallon on the highway, which is already more than the 27-mpg rating on the midsize Chevy Colorado and GMC Canyon. But Hegbloom figures that in order to justify a midsize pickup, American buyers would expect at least 35 mpg on the highway, and in order to do so, FCA would have to employ some trick tech, which would in turn raise the price beyond an attractive level. The last time Chrysler offered a midsize truck in America was with the Dakota that was discontinued in 2011. Ford similarly ceased offering the Ranger in North America in 2012, leaving the new Colorado and Canyon to take on the Toyota Tacoma and Nissan Frontier in the compact/midsize pickup market in the US. With the prospect of a Ram version apparently off the table, then, Fiat's midsize four-door pickup is likely take on the likes of the Volkswagen Amarok, Mitsubishi Triton and Toyota Hilux in markets like Europe and South America. But like those trucks, it will likely never see the inside of an American showroom.

Marchionne recruiting activist investors to prompt GM merger

Sergio Marchionne may have been rebuffed in his previous advances at General Motors, but he's not about to give up that easily. According to The Wall Street Journal, the Fiat Chrysler chief is now turning to activist investors to help coax GM into joining forces. Marchionne has been a staunch and ceaseless advocate of the need for consolidation, arguing that the industry needs to amalgamate into larger groups that will share resources and reduce overhead. Under his leadership, the Fiat group consolidated its own operations, and officially merged with Chrysler last year. But he's also been pursuing additional mergers with the likes of Volkswagen, Peugeot, Ford, and Opel (to name just a few). Now he's pursuing a merger with GM, which has not shown much enthusiasm towards the idea. For one thing, GM is a much larger company, and probably doesn't need FCA as much as FCA needs it. For another, it has a troubled past with Marchionne, who in 2005 dissolved an agreed merger (of sorts) with GM, yet still managed to get the General to pay Fiat some $2 billion in the process. However, Marchionne is evidently hoping that the intervention of activist investors could compel GM CEO Mary Barra and company to proceed with a merger anyway. For precedent, he's looking at the recent negotiation between GM and some of its stakeholders that prompted the company to buy back $5 billion of its own shares, demonstrating Barra's willingness to deal with investors. The more compelling precedent, however, may have been set in 2006, when activist investor Kirk Kerkorian locked arms with Carlos Ghosn to get GM to consider joining the alliance between Renault and Nissan. GM ultimately declined, and Ghosn turned instead of Daimler (which of course has its own history of having merged with Chrysler). Only time will tell if this initiative will prove more successful, but one thing's for sure, and that's that Marchionne isn't about to relent in his pursuit of a major merger partner.

Marchionne impressed by 'that kid' Elon Musk

FCA boss Sergio Marchionne has a reputation as an incredibly canny businessman. Some examples of his acumen include finishing Fiat's takeover of Chrysler from a beachside home and winning a challenge with Luca di Montezemolo for the reins of Ferrari. The Italian exec recently took a trip to California and lavished praise on Elon Musk after a meeting with the Tesla CEO. Although, the compliment did come off as a little patronizing. "I'm incredibly impressed with what that kid has done," Marchionne said to Reuters about his conversation with Musk. Unfortunately, the FCA exec didn't go into detail about what he and Tesla boss discussed. Although, calling the 43-year-old billionaire a "kid" does seem a little rude, especially given Musk's success with Paypal, in the auto industry and at SpaceX. While in the Golden State, Marchionne also had a talk with Apple CEO Tim Cook. Although, he was similarly cagey about what the men discussed. "He's interested in Apple's intervention in the car, that's his role," Marchionne said to Reuters about the conversation without divulging more. The two companies already have some small links thanks to Ferrari's use of the tech giant's products. As one additional highlight for Marchionne's California trip, he took a ride in the Google autonomous car. News Source: ReutersImage Credit: Paul Sancya / AP Photo Green Chrysler Fiat Tesla Green Culture Technology Emerging Technologies Autonomous Vehicles Electric Sergio Marchionne FCA