2016 Jeep Grand Cherokee 4x4 Limited-edition(heavily Optioned) on 2040-cars

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Stellantis reports surprising 2020 results, is 'off to a flying start'

MILAN — Low global car inventories and cost cuts should boost Stellantis's profit margins this year, though a shortage of semiconductors and investments in electric vehicles could weigh on results, the newly-formed automaker said on Wednesday. The forecast came as Stellantis, created by the January merger of Peugeot-maker PSA and Fiat Chrysler (FCA), reported better-than-expected results for 2020 that sent its shares up around 3% in morning trading. "Stellantis gets off to a flying start and is fully focused on achieving the full promised synergies (from the merger)," Chief Executive Carlos Tavares said in a statement. Stellantis is the world's fourth largest carmaker, with 14 brands including Fiat, Peugeot, Opel, Jeep, Ram and Maserati. It said 2021 results should be helped by three new high-margin Jeep vehicles in North America and a strong pricing environment there. The U.S. market has driven profits for years at FCA and starts off as the strongest part of Stellantis. The group's guidance assumes no more significant lockdowns caused by the global COVID-19 pandemic, which shuttered auto plants around the world last spring. Stellantis should also get a lift as its starts to implement a plan aimed at delivering over 5 billion euros a year in savings, without closing any plants. Tavares has also pledged not to cut jobs. But a pandemic-related global shortage of semiconductors, used for everything from maximizing engine fuel economy to driver-assistance features, could hurt business. Auto industry executives have said the shortage should ease by the second half of 2021. Stellantis said its "electrification offensive" could also weigh on results this year. Automakers are racing to develop electric vehicles to meet tighter CO2 emissions targets in Europe and this week Volvo joined a growing number of carmakers aiming for a fully-electric line-up by 2030. Stellantis plans to have fully-electric or hybrid versions of all of its vehicles available in Europe by 2025, broadly in line with plans at top rivals such as Volkswagen and Renault-Nissan, although Stellantis has further to go to meet that goal. The carmaker is targeting an adjusted operating profit margin of 5.5%-7.5% this year. That compares with a 5.3% aggregated margin last year: 4.3% at FCA and 7.1% at PSA excluding a controlling stake in parts maker Faurecia, which is set to be spun-off from Stellantis shortly.

Total auto recalls already on record pace in 2014

If you've noticed that there have been more recalls than usual this year, you may be on to something. According to a report from the National Highway Traffic Safety Administration, the US market is on pace to break a record for recalls. In 2013, 22 million cars were recalled. We're only a third of the way through 2014, though, and we've already halved that figure, with 11 million units recalled. That's wild.
Considering the past few months, it shouldn't be a surprise that General Motors is leading the charge, with six million of the 11 million units recalled coming from one of the General's four brands. Between truck recalls, CUV recalls and the ignition switch recall, 2014 hasn't been a great year for GM.
Other recall leaders include Nissan (one million Sentra and Altima sedans), Honda (900,000 Odyssey minivans), Toyota (over one million units in a few recalls), Volkswagen (150,000 Passat sedans), Chrysler (644,000 Dodge Durango and Jeep Grand Cherokee SUVs) and most recently, Ford (434,000 units, the bulk of which were early Ford Escape CUVs). So while it's been a bad year for GM so far, its competitors aren't doing too well, either.

Side-X-Sides: The next Wrangler?

The Jeep Wrangler has a huge following, but I've long thought that it is ripe for plucking. And if rumors of a neo-Bronco prove to be true, it sounds like Ford may agree. If a new Bronco does pan out, I hope it's small like the original Bronco, and not a huge F-150-based vehicle. To be a true Wrangler-fighter it has to be small and nimble. Here's another option How about developing a slightly larger, but street-legal version of the popular side-x-sides which are so popular with hunters, fishermen, farmers and anyone outdoors-oriented? This, to me, seems to be the next logical evolution of these side-x-sides. Currently side-x-sides have to be either trailered or stuffed into the back a of a pickup to wherever they're going to be used. Offering a street-legal off-roader solves that problem. There's no shortage of side-x-side makers out there. Any one of them could engineer and market such a vehicle, should they decide to. Plus there are plenty of dealer outlets, although Honda is the only one that currently sells cars, etc.; so they could have an edge in the selling and servicing aspects of such a vehicle. That said, I'm not sure Honda would want to sell such a vehicle in their car outlets. It may be better suited to their dealers that sell motorcycles, ATVs, watercraft, etc., as that outdoorsman type of customer already frequents those dealers. Then again, if the new Ridgeline proves popular, such a vehicle could offer something much more capable and sporting to that customer who is looking for something more extreme. The Wrangler has its fans, and they love it just as it stands. In fact Wrangler fans would reject any drastic engineering changes to their beloved off-roaders Side-x-sides, on the other hand, offer a completely different take on how to engineer a small but serious off-roader. Both are valid approaches. Currently the only thing missing are street-legal side-x-sides that go head-to-head against the Wrangler. Having more purchase options available is always a good thing; seems like a no-brainer to me. Image Credit: Honda Jeep Off-Road Vehicles open road