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Chrysler-Fiat Alliance: Who Gets What?
CHRYSLER: Access to compact vehicle technology
The automaker gets access to in the form of vehicle platforms, engines and transmissions from Europe's fuel-efficiency leader.
In addition to three platforms for minicars subcompacts and compacts, Fiat's family of 1.4-liter to 1.8-liter four-cylinder engines and its upcoming six-speed dual-clutch transmission are likely to be produced at Chrysler plants in North America.
Fiat also provides a ready-made worldwide sales network for Chrysler vehicles.
FIAT: Italian firm could save millions Fiat cuts the cost of re-entering the U.S. market by hundreds of millions of dollars with access to Chrysler plants and dealers. The Italian automaker significantly increases its economies of scale by adding up to 600,000 units of annual production to the roughly 2 million vehicles it already planned to build from its three main platforms. Three suppliers that are core parts of Fiat's business -- Comau, Magneti Marelli and Teksid -- should become key Chrysler suppliers, substantially boosting their sales. Some Chrysler platforms undoubtedly will be used for future vehicles from Fiat's brands.
UAW/CAW WORKERS: Marginal plants could remain open The deal promises to keep at least two, probably three, Chrysler car assembly plants open. Compact and subcompact cars would come from Chrysler's underutilized U.S. car plants, like those in Sterling Heights and Belvidere, Ill.
The Fiat 500 minicar and a possible Chrysler version are so small and inexpensive that they will almost certainly be built in Chrysler' s low-cost Toluca, Mexico, plant.
Fiat four-cylinder engines will probably be produced at a Chrysler plant.
Fiat's new dual-clutch transmission would replace the transmission Chrysler planned to get from an Indiana joint venture with German supplier Getrag. The production site is not clear, but all Chrysler's transmission manufacturing plants are in the United States.
Jeep plants in Detroit and Toledo would benefit from exports to regions where Fiat is stronger than Chrysler, particularly South America, central Europe, Russia and -- through Fiat's partnership with Tata Motors -- India. Fiat also might want Jeep-based vehicles for its own brands built at U.S. plants.
Chrysler's Canadian-built 300 and Dodge Charger sedans could be the basis for upscale models for Alfa Romeo or Lancia.
DEALERS: Quick lineup of fuel efficiency Chrysler-Jeep and Dodge dealers would get the quick infusion of a wide range of the small, fuel-efficient vehicles they lack. They also would have the chance to sell the high-fashion Fiat 500, which aims to compete with the Mini Cooper and become a stylish little car Americans will love. Alfa Romeo also will need a network of dealers to sell its cars. Alfa and the 500 combined could account for 100,000 to 250,000 sales a year in the United States. SUPPLIERS: New business could arise Companies that already supply Chrysler get to stay in business and compete for new work on the global platforms Fiat develops in Italy.
In addition, Fiat owns three suppliers that are likely to be major sources for the vehicles Chrysler will build in Italy.
Magneti Marelli, which specializes in electronics, lighting, powertrain and suspension parts; Teksid, which produces iron and aluminum engine components, and Comau, which sells automated equipment for factories, can all expect their North American sales to rise substantially, and could use their higher profile in the United States to bid for work from other automakers.
FIAT 500: Minicar may give Mini Cooper a run. The adorable 500 minicar won Europe's car of the year award and is the only Fiat-brand vehicle certain to be sold in the United States.
Fiat might ship a few European-built 500s to the United States as early as 2010, but the car is a near certainty for production in Chrysler's Toluca, Mexico, plant in 2011. Chrysler is reportedly considering designing a new body for the car and selling it under one of its own brands. In Europe, the 500 sells for $4,500 to $8,900 less than a Mini, depending on the model.
ALFA ROMEO: Models to round out plant lineup. Legendary for its style and performance, Alfa Romeo is developing the next generation of its cars to meet U.S. requirements. Look for at least two models -- the Milano and Giulia -- to come out of a Chrysler plant, probably an underutilized U.S. plant like the ones in Sterling Heights or Belvidere, Ill. A new Alfa sporty crossover also might be built there.
Other Alfa models slated for U.S. sale, including the delightful MiTo subcompact and the latest version of the iconic Alfa Spider convertible, will be produced in Europe.
Chrysler's rear- and all-wheel drive LX platform or a Jeep platform might provide the underpinnings for one or more larger Alfa vehicles. If built, they would probably come from Chrysler plants in the United States or Canada.
CHRYSLER/DODGE: Fiat compacts could compete Models based on Fiat's Lancia Delta upscale hatchback, the Fiat Grande Punto and Alfa Romeo's upcoming Milano and Giulia sport sedans would give Chrysler a broad and appealing line of compact cars and crossovers. Fiat's subcompact platform would underpin smaller vehicles that would fill the gap left when Chrysler and Nissan halted work on the Dodge Hornet. The subcompacts would compete with cars like the Chevrolet Aveo, Ford Fiesta, Honda Fit and Nissan Versa.
Chrysler-Fiat Alliance: Who Gets What?
CHRYSLER: Access to compact vehicle technology
The automaker gets access to in the form of vehicle platforms, engines and transmissions from Europe's fuel-efficiency leader.
In addition to three platforms for minicars subcompacts and compacts, Fiat's family of 1.4-liter to 1.8-liter four-cylinder engines and its upcoming six-speed dual-clutch transmission are likely to be produced at Chrysler plants in North America.
Fiat also provides a ready-made worldwide sales network for Chrysler vehicles.
FIAT: Italian firm could save millions Fiat cuts the cost of re-entering the U.S. market by hundreds of millions of dollars with access to Chrysler plants and dealers. The Italian automaker significantly increases its economies of scale by adding up to 600,000 units of annual production to the roughly 2 million vehicles it already planned to build from its three main platforms. Three suppliers that are core parts of Fiat's business -- Comau, Magneti Marelli and Teksid -- should become key Chrysler suppliers, substantially boosting their sales. Some Chrysler platforms undoubtedly will be used for future vehicles from Fiat's brands.
UAW/CAW WORKERS: Marginal plants could remain open The deal promises to keep at least two, probably three, Chrysler car assembly plants open. Compact and subcompact cars would come from Chrysler's underutilized U.S. car plants, like those in Sterling Heights and Belvidere, Ill.
The Fiat 500 minicar and a possible Chrysler version are so small and inexpensive that they will almost certainly be built in Chrysler' s low-cost Toluca, Mexico, plant.
Fiat four-cylinder engines will probably be produced at a Chrysler plant.
Fiat's new dual-clutch transmission would replace the transmission Chrysler planned to get from an Indiana joint venture with German supplier Getrag. The production site is not clear, but all Chrysler's transmission manufacturing plants are in the United States.
Jeep plants in Detroit and Toledo would benefit from exports to regions where Fiat is stronger than Chrysler, particularly South America, central Europe, Russia and -- through Fiat's partnership with Tata Motors -- India. Fiat also might want Jeep-based vehicles for its own brands built at U.S. plants.
Chrysler's Canadian-built 300 and Dodge Charger sedans could be the basis for upscale models for Alfa Romeo or Lancia.
DEALERS: Quick lineup of fuel efficiency Chrysler-Jeep and Dodge dealers would get the quick infusion of a wide range of the small, fuel-efficient vehicles they lack. They also would have the chance to sell the high-fashion Fiat 500, which aims to compete with the Mini Cooper and become a stylish little car Americans will love. Alfa Romeo also will need a network of dealers to sell its cars. Alfa and the 500 combined could account for 100,000 to 250,000 sales a year in the United States. SUPPLIERS: New business could arise Companies that already supply Chrysler get to stay in business and compete for new work on the global platforms Fiat develops in Italy.
In addition, Fiat owns three suppliers that are likely to be major sources for the vehicles Chrysler will build in Italy.
Magneti Marelli, which specializes in electronics, lighting, powertrain and suspension parts; Teksid, which produces iron and aluminum engine components, and Comau, which sells automated equipment for factories, can all expect their North American sales to rise substantially, and could use their higher profile in the United States to bid for work from other automakers.
FIAT 500: Minicar may give Mini Cooper a run. The adorable 500 minicar won Europe's car of the year award and is the only Fiat-brand vehicle certain to be sold in the United States.
Fiat might ship a few European-built 500s to the United States as early as 2010, but the car is a near certainty for production in Chrysler's Toluca, Mexico, plant in 2011. Chrysler is reportedly considering designing a new body for the car and selling it under one of its own brands. In Europe, the 500 sells for $4,500 to $8,900 less than a Mini, depending on the model.
ALFA ROMEO: Models to round out plant lineup. Legendary for its style and performance, Alfa Romeo is developing the next generation of its cars to meet U.S. requirements. Look for at least two models -- the Milano and Giulia -- to come out of a Chrysler plant, probably an underutilized U.S. plant like the ones in Sterling Heights or Belvidere, Ill. A new Alfa sporty crossover also might be built there.
Other Alfa models slated for U.S. sale, including the delightful MiTo subcompact and the latest version of the iconic Alfa Spider convertible, will be produced in Europe.
Chrysler's rear- and all-wheel drive LX platform or a Jeep platform might provide the underpinnings for one or more larger Alfa vehicles. If built, they would probably come from Chrysler plants in the United States or Canada.
CHRYSLER/DODGE: Fiat compacts could compete Models based on Fiat's Lancia Delta upscale hatchback, the Fiat Grande Punto and Alfa Romeo's upcoming Milano and Giulia sport sedans would give Chrysler a broad and appealing line of compact cars and crossovers. Fiat's subcompact platform would underpin smaller vehicles that would fill the gap left when Chrysler and Nissan halted work on the Dodge Hornet. The subcompacts would compete with cars like the Chevrolet Aveo, Ford Fiesta, Honda Fit and Nissan Versa.
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