Archive for Chrysler

DaimlerChrysler AG’s Chrysler unit says it will name it’s sub-compact car partner by the end of the 2006. Chrysler is in talks with a few partners right now, but nothing is concrete yet. Chrysler CEO Eric Ridenour says to think of them as “semi-finalists”, but refused to reveal who it is talking to.

Chrysler wants to make a new sub-compact car to market globally, including in the United States. It needs a partner because it has not much expertise in making small cars, and there is a huge investment involved in designing, manufacturing and marketing a new car. Chrysler’s new sub-compact car could take on the styling cues of the 2006 Dodge Hornet Concept (picture above), shown at the 2006 Geneva Auto Show.

Previously, there were rumours that this partner would be Chery Automobile, a Chinese automotive manufacturer. Subcompacts account for 1% of the overall US market currently, but it is expected to double in amount in the year 2007, as gas prices continue to rise. Sub-compacts are known to have frugal fuel consumption.

The Dodge Hornet Concept is a 5-door hatchback slightly larger than a MINI Cooper. It made it’s world debut back in February 2006 at the 2006 Geneva Motor Show. The Dodge Hornet Concept was conceived after meeting were held regarding requests from U.S. Dealers for a true entry level Dodge vehicle below the Dodge Caliber which retailed for about USD13,000.

Click here to read the rest of 2006 Dodge Hornet Concept

Chrysler is looking into using Chery Automobile to assemble a small car for the international non-US market. The car will be sold under the Dodge or Chrysler brand. This could allow Chrysler and Dodge to enter third-world markets like South East Asia, which are not big fans of Chrysler’s big cars with huge fuel-guzzling engines.

Daimler Chrysler already has an existing partnership with a Chinese company, Beijing Automotive Industry Corp. The joint venture assembles SUVs for Daimler Chrysler and recently the Mercedes Benz E-Class. But the JV company lacks experience and skills to manufacture small cars, which Chery has.

Chrysler could be seeking to produce the Dodge Hornet concept, a small B-segment vehicle smaller than Dodge’s smallest car, the Dodge Neon. The Dodge Hornet Concept was shown at the Geneva Motor Show in March 2006.