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Marchionne threatens to move Alfa production out of Italy

Fiat CEO Sergio Marchionne was unsurprisingly frank when asked by reporters about potential investments in Italian manufacturing for Alfa Romeo and Maserati, giving the Italian government the ultimatum, "Italy should decide if they want [Alfa Romeo's relaunch] to happen here or not as Fiat and Chrysler have several alternatives." Them's fightin' words.
Fiat's issue with the government stems directly from its courtroom clashes with the Fiom labor union. The two are currently embroiled in proceedings over longer shifts and shorter breaks, as Fiom has so far refused to sign a new contract citing revised labor laws that it says are anti-union.
According to Bloomberg, Fiat will be spending over $2.5 billion on development of eight new Alfas and six new Maseratis, in a bid to wrest some of the luxury pie away from BMW, Mercedes-Benz and Audi. But that's only going to happen if the government is willing to play ball and make life easier on Fiat.

VW, Fiat, Mercedes could be CNG winners in Europe

Fiat ads in the US try to play up the exotic, sexy side of Italian culture. On the home front in Italy, however, passenger-vehicle sales are marked by something less edgy and quite a bit more practical: the growth of compressed-natural-gas (CNG) powered car sales. In fact, Italy is leading a group of European countries where CNG sales are on the upswing and may be benefiting automakers like VW, Fiat and Mercedes-Benz, according to Automotive News. VW started sales of its Golf TGI natural-gas vehicle this year – the company's fourth in Europe – while Mercedes-Benz added a natural-gas B-class model. Fiat accounts for about 50 percent of CNG vehicles sold on the continent. In all, Europe's CNG sales through September totaled about 67,000, up seven percent from a year earlier, Automotive News Europe says, citing research firm JATO Dynamics. And the number of CNG vehicles on Europe's roads could jump tenfold within the next decade. The draw is a combination of lower refueling prices and a CNG drivetrain that typically emits less CO2 than diesel vehicles. As for Italy, about five percent of new-vehicle sales are CNG. To put that into perspective, hybrids, battery-electric vehicles, plug-in hybrids and diesels combined to account for about 4.2 percent of US vehicle sales last year. News Source: Automotive News - sub. req.Image Credit: Volkswagen Green Fiat Mercedes-Benz Volkswagen Natural Gas Vehicles CNG

Almost 70 percent of FCA-PSA Groupe models to ride on two PSA platforms

With the merger between PSA Groupe and Fiat Chrysler having been officially announced this week, we still don't know where everything will settle once the process concludes. We covered the catalog of models herded by the combined company's 12 brands, all of which will remain for now. Profound changes must be afoot somewhere, though, else there'd be no reason for the tie-up. Automotive News has a report on one of the big moves, writing that "more than two-thirds of [PSA-FCA] production would be concentrated on just two platforms." Around 2.6 million cars built by the combined company would sit on PSA's Common Modular Platform, also known as the EMP1, for B-segment city cars, entry-level and mid-range C-segment sedans, and compact crossovers. Three million vehicles would ride on the EMP2 architecture intended for C- and D-segment cars and higher-end crossovers. Those figures account for around 5.6 of the 8.7 million vehicles the combined company expects to sell annually. AN didn't mention the Giorgio platform that's already spread throughout the FCA kingdom to support numerous current and future offerings like the next-gen Jeep Grand Cherokee, but did write that "larger Jeep models will continue to use FCA underpinnings." The body-on-frame chassis' under Ram trucks and the Jeep Wrangler and Gladiator should hold pat. We'll wait for word on the fate of the Compact U.S. Wide platform carrying the Chrysler Voyager and Pacifica and Jeep Cherokee. Dodge products with questionable futures are anyone's guess; we've heard the Dodge Durango, still built on a Mercedes-derived platform it shares with the current Grand Cherokee, could go body-on-frame for the next generation, or die and have the Giorgio-based, three-row Jeep Grand Cherokee take its place. More mystery comes with the long-lived LA and LD platforms in the big sedan and coupe trio Chrysler and Dodge still milk quite successfully. And if there were ever a time for the Dodge Journey – last reported as a Giorgio recipient – to modernize or die, we don't know when that time is. Although FCA platforms have been designed with alternative powertrains in mind, AN says the PSA Groupe architectures "are more modern than FCA's equivalent platforms." After PSA acquired GM's Opel/Vauxhall division, the French company didn't waste time moving the Anglo-German products to in-house platforms, helping to put the formerly money-losing operations into the black in just 18 months.