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Variance

Chrysler Cutting Production by 135K

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Variance    0

Chrysler Cutting Production by 135K

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DaimlerChrysler AG's U.S. arm Chrysler is cutting production by 135,000 units in the second half of 2006 to reduce a glut of unsold trucks and sport utility vehicles after a failed summer sales effort, the company said on Tuesday.

Read "Chrysler cuts output in bid to reduce inventory" @ Yahoo

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CARBIZ    1

Unlike Ford and GM, Chrysler's North American market share has been pretty stable for the past 45 years - steady around 12-14%. They are always experiencing wild inventory surpluses, it seems. Sounds more like an internal problem.

After all, GM and Ford are grappling with a sudden drop in market share, Chrysler isn't. Well, not yet anyway!

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71% of thier sales are light trucks so they are going to take a hit. I think Chrysler has been getting a free ride for the past couple of years because of the 300, they face the same problem as GM and Ford, too many trucks and not enough competitive cars.

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Intrepidation    848

71% of thier sales are light trucks so they are going to take a hit. I think Chrysler has been getting a free ride for the past couple of years because of the 300, they face the same problem as GM and Ford, too many trucks and not enough competitive cars.

195743[/snapback]

This may be true, but it's also changing thanks to the debut of the Caliber, and the soon-to-be-released Sebring and Avenger mid-sizers...which have a real shot at selling very well.

The redesigned Caravan/Town & Country should help boost sales and maintain DCX's lead in the minivan segment.

The Nitro will finally give buyers a smaller alternative to the Durango...itself will be getting a hybid version and MDS (finally).

The Charger should remain popular, since for those wanting fuel efficiency can get the V6, which is no slouch, the Magnum may gane some momentum as an alternative to SUV...and if they ever upgrade the lower models' trannys.

Dodge still needs a subcompact though...Chevy is the only American company with one...smart move on their part.

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