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FCA Five Year Plan 2018-2022


Anthony

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Lots of very interesting industry stats (Ford GM / Ram) in the Ram presentation. Avg Transaction Prices, cab mixes and more.

 

 

Ram

 

Ram to offer a Raptor type competitor called the TRX (we saw that concept a year or two ago).

 

Avg transaction price for Raptor is $71k.

 

Ram to get a mid-sized pickup.

 

All new HD Ram to launch January of 2019

 

Exiting Pickups (last gen) lag market in Avg Transaction Prices, new ones expect to match Ford (currently highest)

 

Gas prices expected to remain below $3.50 per gallon....through 2030 (!?!?)

 

Goal for 2022 is to sell 1 million units and become Number 2 Commercial Vehicle brand in NAFTA . (currently sell ~770k)

 

Jeep

 

Jeep to offer a new series of sand-based off road vehicles under the trim of "Desert Hawk" (in addition to existing off road "Trail Hawk" and performance based "Track Hawk").

 

Jeep to get a lot more vehicles (globally). Currently cover 80% market coverage, expect 100% by 2022.

 

Electrification options for all Jeep vehicles by 2021

 

 

 

 

Updating.....

Edited by Anthony
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Exiting Pickups (last gen) lag market in Avg Transaction Prices, new ones expect to match Ford (currently highest)

 

Which confirms what we've been saying about RAM taking market share on lower pricing. Do they think they can match Ford's ATPs and keep their current market share? That will be tough.

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.

RAM may want you to think of this...

 

cover_trex.png

 

.

But, I think this...

e752f93440aa3f70c4866a1746a48b10.png

You made me laugh out loud?

 

Seriously though, this will be good for Ford Raptor buyers, as this means Ford will have to respond to whatever it is they come up with. It could mean a V8 at some point. Things are about to get interesting. I cant imagine Chevy will not get into this game after Ram joins in.

Edited by tbone
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Some quotes from conference (ie. Chrysler brand is sticking around):

 

Sergio:Fiat and Chrysler brands are not Global brands......we wanted to highlight the Globals brands of the house.

 

Sergio: Chrysler brand is "undisturbed" will focus on electric.

 

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Did it really take me this long to figure out that TRX is a thinly-veiled reference to "T-Rex"....a la Raptor?

 

tumblr_m2aj5b7EdG1qc7geho1_500.gif

Just like the trin mevel namining convention of:

ST

SLT

Laramie

Longhorn (for a saddle leathered truck)

 

For decades now, i dont think Dodge/Ram has innovated anything in pickups or vans. They seem to spend their time copying Ford and GM.

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Sergio says Chrysler/Dodge is safe for next five years as N.A. brands. I think he called them NAFTA brands, whatever that means?
The future of both brands has been laid out by the FCA CEO himself.

Chrysler and Dodge faced an unwarranted end recently as Automotive News released an image of the FCA’s five-year strategy, which was missing a clear future for both American brands.

Fortunately, it’s all in the past tense now as FCA CEO Sergio Marchionne confirms that both brands will continue on and will have their own place in FCA’s five-year strategy.

 

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Sergio says Chrysler/Dodge is safe for next five years as N.A. brands. I think he called them NAFTA brands, whatever that means?

"Chrysler will be introduced in China..." Really? Did Sergio day so?

.

Assuming that by referring to NAFTA, he is saying USA, Canada, and Mexico for markets

 

as for China, it would be foolish to think they could not make it a go in the Chinese luxury car market with Chinese specific cars with the vaunted Chrysler nameplate on them...whatever we think about it here is irrelevant as one only has to see the growth of Buick, Cadillac and Lincoln in that market.

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There's going to be more competitive pressure on the aging F-Series from both RAM and GM so it's going to drive Ford's ATP's down most likely as they have to compete on pricing this year and next. I definitely think RAM can match F-Series on ATPs, especially since they have obviously upped the ante on interior refinement and features while Ford is noticeably weaker in those areas. Hopefully all the competition, especially on the premium end, will motivate Ford to design a more upscale interior. RAM also has a host of other technologies like the mild Hybrids and MUCH more advanced suspension systems that give them a significant edge on premium pricing for those type of customers. I think Ford's strength in ATPs comes down to their SuperDuty range which they really have locked. Ford does have some ambitious plans for an F-Series update with Hybrids which should make them the star of the show again in about 2 years.

Edited by Assimilator
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I think Chrysler and Dodge will last as long as the current models make money. I am skeptical there will ever be Giulia based replacements for the Charger, Challenger, and 300, but I am sure there will be cheaper updates. A Ram based Durango replacement also should make money.

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There's going to be more competitive pressure on the aging F-Series from both RAM and GM so it's going to drive Ford's ATP's down most likely as they have to compete on pricing this year and next. I definitely think RAM can match F-Series on ATPs, especially since they have obviously upped the ante on interior refinement and features while Ford is noticeably weaker in those areas. Hopefully all the competition, especially on the premium end, while motivate Ford to design a more upscale interior. RAM also has a host of other technologies like the mild Hybrids and MUCH more advanced suspension systems that give them a significant edge on premium pricing for those type of customers. I think Ford's strength in ATPs comes down to their SuperDuty range which they really have locked. Ford does have some ambitious plans for an F-Series update with Hybrids which should make them the star of the show again in about 2 years.

 

The current F-series already has a great interior. Ram has always been about flash and little substance. It doesn't have the powertrains to compete - both Ford and GM outclass them in the 1/2 ton segment. Finally Ram 1500 has a respectable tow rating but it's with carryover engines so it will be slow and guzzle fuel (IIRC even with their 8 speed they were last behind GM at the top and Ford in the middle).

 

They also did a great job giving up their "mean boy racer looks" and designing an uglier Chevy pickup. Sorry, the new Ram is FUGLY but does have an OK but Gaudy interior in some trims. And I'm not giving Ford a pass - I'm no fan of the new F150 tailgate either.

 

Ram tends to attract the value shopper - those looking for a smoking deal and who can deal with the lack of capability and even reliability. I think people want a Ford/Chevy/GMC but settle for a Ram due to price.

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I think Chrysler and Dodge will last as long as the current models make money. I am skeptical there will ever be Giulia based replacements for the Charger, Challenger, and 300, but I am sure there will be cheaper updates. A Ram based Durango replacement also should make money.

The latest rumor the Giulia platform appears it can't handle the requirements for the larger/higher power Hemi engines coming so FCA will extensively update the LX platform for 20'-22' instead of replacement or just the design they had for the G. Charger/Challenger will be adapted to LX.

 

The Giulia midsize Dodge sedan is still on as it don't require a v8 and the verdict on the 300 is still out.

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The Giulia midsize Dodge sedan is still on as it don't require a v8 and the verdict on the 300 is still out.

If FCA isnt going to build it themselves like they claimed when they cancelled the 200 and Dart, whos going to build it? Could they do it in Brampton after all?
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I am skeptical there will ever be Giulia based replacements for the Charger, Challenger, and 300, but I am sure there will be cheaper updates.

 

From the Detroit Free Press:

 

"The outlook for the 300, Charger and Challenger and the other Ontario plant that builds them is not as bright. FCA executives have long been unhappy with the plant’s quality and efficiency and plans to move the sporty cars it builds to Alfa Romeo’s new Giorgio architecture have been scrapped for yet another update of the platform the cars debuted within the 2005 model year. They’ve been great cars, but the end of the line is coming unless Marchionne’s successor has other ideas after the CEO retires in 2019"

 

https://www.freep.com/story/money/cars/2018/06/02/dodge-fiat-chrysler-saved/665702002/

Edited by mackinaw
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"It would be foolish?"

 

They are planning to drop the 300. Can dream all day, but can't expect Chrysler to ever be some kind of "luxury brand" again.

 

Sergio has no plans for any Chinese Chrysler. And anyone after him will push Jeep as the global brand.

 

Chances of "Chrysler China" are same as DeSoto coming back. Just like some who "swore" that "Ford will not drop sedans".

 

All over car message boards, some post wishes as "future news". Examples in past, someone on GM site claimed they were switching back to "all RWD", just because the Holden GTO and G8 was coming. And ex poster here on BON "swore up and down" Ford was bringing out all new C1 Focus in 2005. Along with all the "Falcon is coming" claims.

Edited by 630land
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.

Assuming that by referring to NAFTA, he is saying USA, Canada, and Mexico for markets

 

as for China, it would be foolish to think they could not make it a go in the Chinese luxury car market with Chinese specific cars with the vaunted Chrysler nameplate on them...whatever we think about it here is irrelevant as one only has to see the growth of Buick, Cadillac and Lincoln in that market.

 

Buick is not a luxury brand in China - it competes with Ford, VW, Honda, Toyota etc. It is GM's mid market brand.

 

Chrysler has no name recognition and relevance in China. FCA can address the luxury market with Maserati and Alfa Romeo.

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