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Marchionne now considering 'Plan B' partners for FCA merger

Okay Sergio, just stop. With the sting of rejection from General Motors CEO Mary Barra still fresh, Fiat Chrysler Automobiles CEO Sergio Marchionne is moving on and trying to find another automaker to merge with. FCA may not be giving up hope on a merger with GM, but that doesn't mean it isn't at least considering alternatives. Sergio's so-called "Plan Bs" include the Volkswagen Group, as well as smaller Asian outfits, like Mazda, Honda, Suzuki, and Hyundai. Bloomberg reports that France's beleaguered PSA Peugeot Citroen could as a sort of "fallback" option due to its relative lack of volume, an unidentified source claimed. There are, of course, problems with each option. According to Bloomberg, Volkswagen expects complete control of a company, but the Agnelli family, which holds a large portion of FCA stock, is loathe to relinquish its stake in the company. On top of that, VAG just isn't looking to make a deal right now. Mazda, meanwhile, is enjoying a new partnership with Toyota and Suzuki is partially owned by VW. Honda and Hyundai have never expressed any interest in a partnership with a western automaker. That kind of just leaves the French then, but even that remains a long shot. As Bloomberg tells it, PSA boss Carlos Tavares is still working on a turn-around plan, and would want at least another six months to execute before even considering a deal with FCA. And even then, Tavares hasn't given any indication that he's considering a pairing. News Source: BloombergImage Credit: Paul Sancya / AP Chrysler Fiat GM Honda Hyundai Mazda Suzuki Citroen Peugeot Sergio Marchionne FCA Mary Barra psa peugeot citroen

Mazda CX-3 to be diesel-only in Japanese home market

Diesel power. It's not just for Europeans anymore. In fact, when Mazda introduces its new CX-3 compact crossover to its home market of Japan, the model will be exclusively diesel-powered, Reuters says, citing remarks made by Mazda CEO Masamichi Kogai. Consistent with its recent push for better fuel economy, Mazda is embracing diesel power as a way to boost fuel-economy for cars that may be larger than the compact variety. Mazda, which plans to make about 150,000 gas- and diesel-powered CX-3s for global consumption per year, is pricing the diesel CX-3 at about $20,000 in Japan. Diesel sales accounted for less than three percent of new-vehicle sales in Japan last year, so there's a risk to Mazda's strategy. But the automaker, which is the fifth-largest in Japan, says performance and noise (and smoke) issues largely associated with diesel powertrains in the past have largely been eliminated. In all, Mazda expects worldwide sales for the year ending March 31 to rise almost five percent from a year earlier to about 1.4 million units. Mazda showed off an early version of the CX-3 at the Los Angeles Auto Show last November, though North American versions of the model will indeed be gas-powered. Related Video: Featured Gallery 2016 Mazda CX-3: LA 2014 View 17 Photos News Source: Reuters Green Mazda Diesel Vehicles mazda cx-3

Mazda's new turbo four fits in both the 6 and the 3

Despite the size differences, the Mazda CX-9 shares a lot with its smaller car-based siblings, the Mazda6 and Mazda3. That could allow Mazda to slot its full-sizer's new 2.5-liter, turbocharged four-cylinder engine under the hood of its smaller offerings. Pardon us while we do a happy dance. "[The 2.5-liter turbo] fits in a lot of our cars, and where we're actually going to put it is another question," Mazda North America vehicle development engineer Dave Coleman told Australia's Car Advice. Coleman specified that the turbocharged engine will fit in all the same applications that can accommodate the company's 2.5-liter gas and diesel engines. "Basically, that big space we used for the bundle of snakes exhaust manifold, the turbo is in that space too. They're all packaged to occupy the same space. It's exactly the same clearance as the exhaust manifold of the other engines." This kind of logic – if Engine A is the same size as Engine B, then both should fit in Car C – is what's lead us to imagine a turbocharged Mazda6 since the new engine was announced. In short, it's great news. Mazda's 2.5-liter turbo is a hell of an engine in the CX-9, and it's hard to imagine it'd be worse in a lighter vehicle. But just because it works from an engineering standpoint doesn't mean it's going to happen. At least, not soon. "It fits. I'm not a product planner so I don't get to make that call," Coleman told Car Advice. "It's up to the product planners to decide what they're going to put it in." The most obvious application for a turbocharged engine in the 3 or 6 is as a reborn Mazdaspeed model. But don't get too excited – Coleman said Mazda hasn't even gotten as far as building an engineering prototype with this engine. We're still firmly at the theoretical stage. And that's bad news, because it gels with what we've been reporting – that Mazda will wait a generation for future Mazdaspeed models. We just stopped doing our happy dance. Related Video: