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From the Rumor Mill: FCA Expected to Discontinue the Chrysler Brand

Chrysler 300 11 photos
Photo: Chrysler
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Friday’s conference in Balocco, Italy is of great importance for the automotive industry, but more so for Fiat Chrysler Automobiles. According to older reports, there’s a lot of stuff to be announced by none other than Sergio Marchionne, the sweater-wearing CEO who’s anticipated to wear a necktie at the event.
In addition to Lancia’s uncertain future, one of the topics included in the 2018 – 2022 business plan is Chrysler. You know, the brand founded in 1925 by Walter Chrysler that went on to acquire Dodge in 1928. And although we refer to Chrysler as one of the Big Three in Detroit these days, the brand has seen much better days.

Not that long ago, yours truly wrote up a piece about how Chrysler is ailing because of its two-model lineup that features only one desirable nameplate. The 300 sedan, for example, is a poor excuse for a full-size sedan that dwells in the same segment as the Cadillac CT6. On the other hand, props to Chrysler for the Pacifica and Pacifica Hybrid minivans.

But here’s the thing. According to Automotive News reporter Larry P. Vellequette, “the long-starved Chrysler brand will soon follow Maxwell and DeSoto and Plymouth into oblivion.” While there’s no official confirmation on this plan, Mr. Vellequette highlights “a source” who “told a European colleague that such an announcement could come Friday.”

The question is, will FCA phase out Chrysler? On the one hand, it makes sense considering that Chrysler doesn’t have a single crossover or SUV in its lineup, let alone a pickup truck or body-on-frame SUV. But on the other hand, pulling the plug on Chrysler would leave FCA without a direct competitor for Ford’s Lincoln and General Motors-owned Cadillac. Alfa Romeo and Maserati can’t possibily substitute Chrysler’s presence, not now and not ever.

Chrysler costs FCA money, so something has to give if the company wants to be debt-free by mid-2018. The poor state Chrysler is in right now comes as a result of bad management from none other than FCA, which has been too focused on its financial situation to even care about the Chrysler brand.

On that note, would you mind if the 300 were replaced by the Charger (2019 facelift incoming) and the Pacifica people carrier rebadged as a Dodge?
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About the author: Mircea Panait
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After a 1:43 scale model of a Ferrari 250 GTO sparked Mircea's interest for cars when he was a kid, an early internship at Top Gear sealed his career path. He's most interested in muscle cars and American trucks, but he takes a passing interest in quirky kei cars as well.
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