1988 Mitsubishi Starion Esi-r Not Chrysler Conquest Tsi, All Stock Unmolested on 2040-cars

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FCA-Renault merger faces tall odds delivering on cost-cutting promises

FRANKFURT/DETROIT — Fiat Chrysler Automobiles and Renault promise huge savings from a mega-merger, but such combinations face tall odds because of the industry's long product cycles and problems translating deal blueprints into real world success, industry veterans told Reuters. BMW's 1994 purchase of Rover, and Daimler's 1998 merger with Chrysler both made sense on paper. The companies promised to hike profits by combining vehicle platforms and engine families. Both combinations proved unworkable in reality, and were unwound. Renault and Nissan, which have been in an alliance since 1999 designed to share vehicle components, have only managed to use common vehicle platforms in 35% of Nissan's products despite an original target of 70%, according to Morgan Stanley. FCA and Renault have raised the stakes for themselves by ruling out plant closures. That increases the pressure to achieve more than $5 billion in promised annual savings from pooling procurement and research investments. The two companies have yet to fill in many of the blanks in the merger plan put forward by Fiat Chrysler. Renault's board is expected to act soon to accept the proposal, but that would lead only to a memorandum of understanding to pursue detailed operational and financial plans. A final deal and the legal combination of the two companies could take months to complete if all goes well. Pressure to cut automotive pollution is driving the latest round of consolidation. Automakers are looking at multibillion-dollar bills to develop electric and hybrid cars and cleaner internal combustion engines. Fiat Chrysler and Renault are betting they can design common electric vehicle systems, then sell more of them through their respective brands and dealer networks, cutting the cost per car. Developing all-new electric vehicles can bring more opportunities to share costs from the outset, industry experts said. "With the emergence of connected, autonomous, electric and shared vehicles, carmakers face immediate investments, so new opportunities for sharing costs have emerged," said Elmar Kades, managing director at Alix Partners. However, most electric vehicles lose money. This is a challenge for city car brands in Europe in particular. Both Renault and Fiat rely heavily on this segment for sales.

A realistic approach to fixing Mitsubishi

There are going to be a lot of words written about what Nissan needs to do with Mitsubishi in the coming months and years in the interest of turning the brand around. After Nissan's purchase of a controlling stake in the diamond star brand, there's been more interest in Mitsubishi thanks to the potential of platform sharing and plenty of cash from Nissan-Renault to get the juices flowing again. But, while some have been doing their best to advocate for the return of the 3000GT, Evolution, and even the Starion - Many of these posts forget the reality of the market we live in today. As much as we like to look back fondly at the sports coupes of the '90s, a byproduct of the insane cash flows all the Japanese manufacturers had at the time, the reality of today puts a much greater emphasis on what is most-boring; Crossover SUVs, alongside mid-size and compact sedans. We do need to ask a fundamental question, how much Mitsubishi is enough to be able to continue to call the cars Mitsubishis? Aside from slight product revisions and reconfigurations, Mitsubishi (at least in North America) has been largely dependent on the same GS platform and 4B1 engines that date back to their long-time partnership with Chrysler (and Hyundai) in the mid '00s. Admittedly, the chassis and engines have served the company well, underpinning a wide variety of vehicles sold around the world, and seeing quite a few revisions to at least attempt to keep products competitive. But, the GS chassis is old, heavy, and severely out of date - and when matched to the underpowered 4B1 series engines - make for largely uncompetitive offerings in the market. While something like the Outlander Sport is indeed interesting compared to a Honda CR-V, it is by no means the smart choice in the segment. So, going forward, unless Mitsubishi has had a skunkworks of sorts developing their chassis and engine replacements over the past few years, what exactly are they planning to do for their bread-and-butter models? I think the straightforward answer is without a doubt the Nissan North America parts bin. With so many of their models selling well, and for the most part, are reasonably well-reviewed, it would be quite simple to adapt the chassis and powertrain to Mitsubishi's liking to create a high-volume alternative to what is currently available now.

2019 Mitsubishi Eclipse Cross scores an IIHS Top Safety Pick

The 2019 Mitsubishi Eclipse Cross is a funky little crossover with a name that has angered more than a few Eclipse fans out there. Today it gets honors from the IIHS, though, in the form of a Top Safety Pick award. It’s great to see the totally new Mitsubishi get safety honors for what is probably the best car the company sells in the U.S. now. You will have to get an upmarket version of the vehicle for it to be one that qualifies for the award, though. That nets you the LED headlights rated as Acceptable and the front crash prevention technology. It avoided collisions when traveling at 12 mph and 25 mph in IIHS testing. On top of that, it needed to score Good in all the major crashworthiness tests, which it did. The full breakout of scores showed it scored an Acceptable rating for some of the specifics the IIHS was looking into, but the car appears plenty safe from a crash perspective. Child safety seat testing found that the carÂ’s LATCH system was extremely easy to use, netting it a Good rating in that category, too. The 2019 Mitsubishi Eclipse Cross starts at $24,690 for a completely base car, and stretches to around the $30,000 mark in its most expensive form.