Rumour: FCA to discontinue Chrysler brand

According to a media report, Fiat Chrysler Automobiles (FCA) will be pulling the plug on the Chrysler brand. This decision might be announced at FCA's investor day on June 1, 2018 in Balocco, Italy.

At present, Chrysler has just three models on sale in the USA - the 300 sedan, Pacifica van and the Pacifica plug-in hybrid. According to the 2014-2018 5-year plan, the company was supposed to launch the Chrysler 100 compact sedan - a mid-size crossover based on the Chrysler 200 - a full sized monocoque SUV and plug-in hybrid models based on the Pacifica's plug-in system. However, the company discontinued the Chrysler 200 along with its sister car, the Dodge Dart and instead focused on the Jeep Cherokee SUV and the Chrysler Pacifica, which share their platforms and many parts with the 200 sedan.

In 2016, FCA decided to concentrate on SUVs and pick-up vehicles over other segments like sedans for the North American market. The company decided to focus on brands like the Jeep, Dodge and Ram in the USA, which have a stronger presence in the SUV and pick-up segments.

At the 2016 Detroit Expo, FCA CEO, Sergio Marchionne had talked about the company's plans, including its commitment to passenger cars of the Dodge brand. However, there was no mention of Chrysler cars, leading to speculation on the brand's future. Further, the last time something about the Chrysler brand was spoken was in early 2014. The company had plans to use the brand to compete with Ford and Chevrolet. It had also told investors that it would have eight vehicles in its line-up by 2018.

Source - Automotive News