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FCA and UAW deal could mean huge production shakeups

The big labor contract between Fiat Chrysler Automobiles and the United Auto Workers is likely to lead to some very serious production shakeups across the company's North American manufacturing operations. That's according to a new report from Automotive News, which details the sweeping changes at no fewer than five production facilities in Michigan, Illinois, Ohio, Mexico, and Poland. So without further ado, here's what's going where, presented in easy to digest bullet form. Ram 1500 production would move from Warren, MI to Sterling Heights, MI Warren, MI would be retooled for unibody production and would handle the Jeep Grand Wagoneer and could potentially build Grand Cherokees to ease the strain on Detroit's Jefferson North factory Chrysler 200 production would move from Sterling Heights, MI to Toluca, Mexico Dodge Dart production would move from Belvidere, IL to Toluca, Mexic Fiat 500 production, which is currently handled by Toluca, would be concentrated in Poland, where the Euro-spec Cinquecento is built Jeep Cherokee production would move from Toledo, OH to Belvidere, IL to make room for Wrangler and Wrangler Pickup production Like we said, those are some big changes. But, as FCA CEO Sergio Marchionne said in an earlier interview with Automotive News, this kind of shakeup would make a lot of sense. In that August interview the exec said that automakers moved truck production to Mexico because they were "threatened" by the UAW. "The only thing [the UAW] want is to move the truck back. Which is right. If you move the truck back here, which is [the UAW's] domain, [and move] all the cars that we get killed on somewhere else, we could actually make sense of this bloody industry and actually increase the number of people employed in this country and really share wealth because we are making money," Marchionne told AN. News Source: Automotive News - sub. req.Image Credit: Bill Pugliano / Getty Images Plants/Manufacturing UAW/Unions Chrysler Dodge Fiat Jeep RAM Sergio Marchionne FCA toluca warren sterling heights

Auto Mergers and Acquisitions: Suicide or salvation?

We love the Moses figure. A savior riding in from stage right with the ideas, the smarts, and the scrappiness to put things right. Alan Mullaly. Carroll Shelby. Lee Iacocca. Andrew Carnegie. Steve Jobs. Elon Musk. Bart Simpson. Sergio Marchionne does not likely view himself with Moses-like optics, but the CEO of Fiat Chrysler Automobiles recently gave a remarkable, perhaps prophetic interview with Automotive News about his interest and the inevitability of merging with a potential automotive partner like General Motors. Marchionne has been overtly public about his notion that GM must merge with FCA. For a bit of context, GM sold 9.9 million vehicles in 2014, posting $2.8 billion in net income, while FCA sold 4.75 million units and earned $2.4 billion in net income, painting a very rosy FCA earnings-to-sales picture. But that's not the entire picture. Most people in the auto industry still remember the trainwreck that was the DaimlerChrysler "merger" written in what turned out to be sand in 1998. It proved to be a master class in how not to fuse two companies, two cultures, two continents, and two management teams. Oh, it worked for the two individuals at both helms pre-merger. They got silly rich. And the industry itself was in a misty romance at the time with mergers and acquisitions. BMW bought Rolls-Royce. Volkswagen Group bought Bentley, Bugatti, and Lamborghini, putting all three brands into their rightful place in both products and positioning. No marriages there, so no false pretense. Finally, Nissan and Renault got married in 1999. A successful marriage requires several rare elements in this atmosphere of gas fumes and power lust. But a successful marriage requires several rare elements in this atmosphere of gas fumes and power lust, the principle part being honesty. Daimler and Chrysler lied to each other. The heads of each unit, the product planners, and finance all presented their then-current and long-range forecasts to each other with less-than-forthright accuracy. Daimler was the far greater equal and no one from the Chrysler side enjoyed that. The cultures were entirely different, too, and little was done to bridge that gap. Which brings me back to the present overtures by Marchionne to GM. "There are varying degrees of hugs," Marchionne stated in the Automotive News piece. "I can hug you nicely, I can hug you tightly, I can hug you like a bear, I can really hug you." Seriously?

Weekly Recap: Jaguar takes a leap with price cut, new strategy

Jaguar was one of the famous automotive props and plotlines in the now-iconic drama Mad Men. There's a scene where the show's protagonist, Don Draper, deftly undercuts an influential Jaguar dealer by indicating that get-me-in-the-door local radio spots would be an effective way to sell cars like the slinky E-Type. The British executives think this is folly – Draper knows they will – and his advertising strategy wins out over the dealer's approach to move the metal. Jaguar's not doing that, but half a century later in the real world the company is launching plans to make its cars more attainable to new and younger customers like Millenials. These aren't coupons, but this is a leap for Jaguar, which has long banked on sexy styling and its rich motorsports history to overshadow its past mechanical flaws. Put simply, Jaguar is addressing the reasons why people, especially the younger set, don't buy its cars. The 2017 XE will start at $35,895 when it launches next spring – which makes it an attractive buy for a successful, relatively young person. When it's time to move up, the redesigned XF will be more attainable, coming in at $52,895, which is $5,275 less than the 2015 model. The flagship XJ sedan and the enthusiast-oriented F-Type sports car will also get thousands of dollars worth of added standard features, and Jag is actively pitching them as a better value than their competitors. "The Jaguar brand is on the eve of a major transformation that will see it dramatically increase its presence in the United States luxury marketplace with an expanded lineup, pricing focused on the core of the luxury market, and an all-new ownership package with best-in-class coverage," Joe Eberhardt, CEO of Jaguar Land Rover North America, said in a statement. The brand's quality and reliability dings have also lurked in the back of buyers' minds for decades, though that's an outdated notion. Jaguar placed third in J.D. Power's Initial Quality Study in June and was the top-ranked luxury brand in J.D. Power's Customer Service Index in March. Not content, the company is rolling out an enhanced program called Jaguar EliteCare that launches on 2016 models. It offers a five-year, 60,000-mile limited warranty, the longest among its competitors, with free scheduled maintenance during that period. The plan also covers roadside assistance and connectivity features.

Wrangler Pickup, Triumph Fined, Cherokee Production Moves | Autoblog Minute

"Autoblog senior editor Greg Migliore reports on highlights from the week in automotive news. " UAW/Unions Jeep Autoblog Minute Videos Original Video FCA recap

Autoblog Minute: Wrangler Pickup, Triumph Fined, Cherokee Production Moves

Autoblog senior editor Greg Migliore reports on highlights from the week in automotive news on this edition of Autoblog Minute. Show full video transcript text [00:00:00] Triumph Motorcycles in violation of the Safety Act, Jeep looks to adjust its vehicle production strategy, and a Wrangler pickup may soon be be produced in Toledo. I'm senior editor Greg Migliore, and this is your Autoblog Minute Weekly Recap. Triumph Motorcycles was hit with a $2.9-million fine because of a failure to submit safety documents to NHTSA in a timely fashion. An investigation of 1,300 bikes in September of 2014 led to this finding. Other violations were then discovered, like the late reporting of quarterly recall completion rates, and Triumph's failure to supply warranty data. Fines for these violations may seem harsh but U.S. Transportation Secretary Anthony Foxx said: "Manufacturers must comply with their reporting obligations. The law requires it, and public safety demands it. When companies fail to meet those obligations, we will hold them accountable." In FCA news, it seems that production of the Jeep Cherokee will be moved from the Toledo plant to a nearby state. Automotive News first reported on this adding that Jeep may produce a pickup alongside Wrangler to fill the void left by Cherokee. Jeep declined to comment on this news. Speculation surrounding Jeep's production plans depends on the automaker's ongoing negotiations with the UAW. Those are the highlights from the week that was. Be sure to check out my full recap this Saturday, including details on Ford's performance Fusion. For Autoblog, I'm Greg Migliore. Autoblog Minute is a short-form video news series reporting on all things automotive. Each segment offers a quick and clear picture of what's happening in the automotive industry from the perspective of Autoblog's expert editorial staff, auto executives, and industry professionals. Jeep Autoblog Minute Videos Original Video Triumph Motorcycles

Jeep Renegade recalled to prevent hacking

Jeep is issuing a voluntary recall of some 7,800 Renegades over fears that their radios may be vulnerable to hacking. The company is quick to stress that this campaign is independent of the hacking scare earlier this year. Only Renegades fitted with the 6.5-inch touchscreen display are affected by the recall. Owners of the affected vehicles will be mailed a USB jump drive that they can plug into their vehicle for a free software update. Alternatively, owners can head over to the UConnect website, enter their VIN, and download the software to their own jump drive. (See how in our video below.) Dealers will also perform the upgrade free of charge. The software update provides "additional security features," that should prevent remote tampering. If this sounds worrying, it's actually not that huge of a problem. First, Fiat Chrysler Automobiles estimates that over half the affected vehicles are still sitting on dealer lots. More importantly, according to FCA, the vulnerability on the Renegade "required unique and extensive technical knowledge, prolonged physical access to a subject vehicle and extended periods of time to write code," making it considerably different than the Cherokee problem. No injuries or hacks have been reported by any Renegade owner. Related Video: Statement: Software Update September 4, 2015 , Auburn Hills, Mich. - FCA US LLC is conducting a voluntary safety recall to update software in approximately 7,810 U.S.-market SUVs equipped with certain radios. More than half remain in dealer hands and will be serviced before they are sold. The campaign – which involves radios that differ from those implicated in another, similar recall – is designed to protect connected vehicles from remote manipulation. If unauthorized, such interference constitutes a criminal act. FCA US has already applied measures to prevent the type of vehicle manipulation demonstrated in a recent media report. These measures – which required no customer or dealer actions – block remote access to certain vehicle systems. The Company is unaware of any injuries related to software exploitation, nor is it aware of any related complaints, warranty claims or accidents – independent of the media demonstration. Affected are certain 2015 Jeep Renegade SUVs equipped with 6.5-inch touchscreens. Customers will receive a USB device which they may use to upgrade vehicle software. This provides additional security features.

Texas student drives Barbie Jeep to school after DWI

A Texas college student who lost her license when she was charged with a DWI this spring found a creative way of getting around campus. Tara Monroe, 20, is a student at the University of Texas at Austin. She had her driver's license automatically suspended when she refused a breathalyzer test after leaving a Waka Flocka concert on March 4. He dad took her car away and left her with a bike. But that just wasn't classy enough for Monroe. "Riding a bike around campus sucks," she told MySA.com. "Like really sucks." She searched Craigslist to find an alternative and settled on a bright pink Fisher-Price Barbie Jeep Power Wheel toy to help lug her stuff around campus. She named it after the original owner, a little girl named Charlene. The unorthodox ride has turned Monroe into a minor celebrity. Pictures of her slowly making her way around campus in the toy car have been popping up on social media. "This is the best way I could have gotten my 15 minutes of fame," she said. "Basically, it was the best decision I've made in college, yet..." The Barbie Jeep has a 12-volt battery and only goes about five miles per hour. Monroe says she loves the attention she is getting from her immature hijinks. If you enjoy the sight of adults crammed into Power Wheels check out our attempt to cruise around the Autoblog office in a tike-sized Ford F-150. News Source: mySA.com Humor Weird Car News Jeep Driving Electric Videos college power wheels student barbie

Autoblog Minute: Wrangler production to remain in Toledo, pickup may come

Jeep seems to be changing its production strategy, with Wrangler to remain in Toledo but Cherokee slated to leave. Autoblog's Mylencia Gillenwaters reports on this edition of Autoblog Minute.Wrangler to remain in Toledo but Cherokee is slated to leave. Autoblog's Mylencia Gillenwaters reports on this edition of Autoblog Minute. Show full video transcript text [00:00:00] Jeep seems to be changing its production strategy. Wrangler to remain in Toledo but Cherokee is slated to leave. I'm Mylencia Gillenwaters and this is your Autoblog Minute. According to a report from the Automotive News production of the Jeep Cherokee will be moved to another state. To fill the void, Jeep might develop a pickup that would be built alongside Wrangler at the Toledo, Ohio plant. A Wrangler pickup is an exciting prospect [00:00:30] for Jeep fans ever since the Jeep Gladiator concept was first introduced in 2005. Jeep officials declined to comment on its production and future vehicle development plans. We will most likely get an official statement from the automaker when they wrap up negotiations with the UAW. Leave us a comment below. Would you buy a Wrangler pickup? For Autoblog, I'm Mylencia Gillenwaters. Autoblog Minute is a short-form video news series reporting on all things automotive. Each segment offers a quick and clear picture of what's happening in the automotive industry from the perspective of Autoblog's expert editorial staff, auto executives, and industry professionals.

Jeep Wrangler Stays in Toledo, Cherokee Leaves | Autoblog Mintue

According to a report from the Automotive News production of the Jeep Cherokee will be moved to another state. To fill the void, Jeep might develop a pickup that would be built alongside Wrangler at the Toledo, Ohio plant.

FCA's Pentastar V6 gets more power, efficiency for 2016

Already a vital member of FCA's powertrain lineup, the 3.6-liter Pentastar V6 is receiving major efficiency improvements for 2016. Thanks to a massive amount of new tech attached to the mill, fuel economy is up six percent, and torque below 3,000 rpm jumps nearly 15 percent. The updates arrive first in the 2016 Jeep Grand Cherokee, but they should proliferate to other models eventually. At least in the Grand Cherokee, the tweaks push power up five horsepower to 295 ponies. FCA's engineers went through the Pentastar from top to bottom to eke out as much efficiency as possible. For example, there's now a two-speed variable-valve lift system that can run in low- or high-lift modes. This upgrade is responsible for 2.7-percent better economy, the company claims. A new intake manifold with longer runners and updated variable-valve times also helps boost the torque output. Further improvements come from pushing the compression ratio to 11.3:1, from 10.2:1 before. Perhaps most impressive is that despite all of the innovations, the latest Pentastar actually weighs four pounds less than the current version. Beyond the Pentastar improvements, all of the FCA US gasoline engines, except for the Viper's 8.4-liter V10, will be E15-compatible for 2016. The company says that it wants to be ready for the higher ethanol content fuel's greater use in the near future.