Revitalised Chrysler vows to keep foot on the gas
And Chrysler's unlikely revival is accelerating, leaving General Motors and Ford scrambling to catch up.
Chrysler, the smallest of the US automakers, kicked off the annual Detroit auto show on Monday with new versions of its Grand Cherokee and Compass SUVs. The two Jeep models have helped propel sales growth since its government bailout and bankruptcy in 2009.
Chrysler outperformed the industry last year with a 20.6 per cent increase in domestic sales in a market that grew 13.4 per cent. Its bread-and-butter products such as the Grand Cherokee and Ram pickup had big gains, and new cars such as the Dodge Dart began to mitigate the company's traditional reliance on larger vehicles. By comparison, sales increased just 3.7 per cent at GM and 4.7 per cent at Ford.
Sergio Marchionne, chief executive of both Chrysler and its Italian parent Fiat, said he expected Chrysler's upward sales trend to continue this year, particularly in pick-up trucks and SUVs.
"I think there's a general feeling that the US market is in healthy shape," he said. "And we're certainly going to improve in the market."
When he negotiated Fiat's acquisition of Chrysler during its federal bailout, industry executives were sceptical that the US company could thrive after the failures of its previous owners, German carmaker Daimler and private-equity firm Cerberus.
Now, however, "it's not Fiat saving Chrysler; it's Chrysler saving Fiat," said David Cole, a founder of the Centre for Automotive Research.
The New York Times
Frequently Asked Questions about this Article…
Chrysler's revival was driven by stronger sales and a string of popular new products. After the 2009 bankruptcy and government bailout, sales of Jeep models and bread-and-butter vehicles like the Grand Cherokee and Ram pickup surged, while new cars such as the Dodge Dart helped reduce the company's historic reliance on larger vehicles.
Chrysler outperformed the industry with a 20.6% increase in domestic sales in the cited year, versus the overall US market growth of 13.4%. By comparison, General Motors posted a 3.7% increase and Ford 4.7% in the same period.
The article highlights Jeep models—especially new versions of the Grand Cherokee and Compass—alongside the Ram pickup as key contributors to Chrysler's sales gains. The Dodge Dart is also noted as a newer model helping diversify the lineup.
Sergio Marchionne, chief executive of both Chrysler and its Italian parent Fiat, leads the company. He expressed confidence that Chrysler's upward sales trend would continue, particularly in pickup trucks and SUVs, reflecting his positive view of the US market's health.
Fiat acquired Chrysler during the federal bailout, which many initially viewed as Fiat saving Chrysler. Industry observers quoted in the article — including David Cole of the Centre for Automotive Research — now suggest the relationship has flipped, saying 'it's not Fiat saving Chrysler; it's Chrysler saving Fiat.'
Chrysler kicked off the Detroit auto show with new versions of its Grand Cherokee and Compass SUVs. For everyday investors, new and refreshed SUV models matter because they have been central to Chrysler's recent sales momentum and market outperformance.
Yes. The article says Chrysler's revival is accelerating and leaving General Motors and Ford scrambling to catch up. That is backed up by the sales figures: Chrysler's 20.6% growth far exceeded GM's 3.7% and Ford's 4.7% increases in the same period.
Chrysler has begun to mitigate its traditional reliance on larger vehicles by introducing smaller models such as the Dodge Dart alongside its successful trucks and SUVs. This diversification helped broaden appeal and support stronger overall sales growth.
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