Drew Dowdell

In a discussion about their pending merger, Fiat Chrysler revealed that the combined company's future vehicles in the small to mid-size range will be built on two of PSA's platforms. The reasoning behind it is that PSA's platforms are more modern than FCA's which first debuted in 2003. They are also capable of a wider range of propulsion methods like electrification that are harder to incorporate into the aging platform that FCA is using. The smaller of the two platforms, PSA's CMP, launched last year is found under the Peugeot 208, 2008, DS 3 Crossback and the new Opel Corsa. The larger platform is called EMP2 and launched in 2016. It underpins the Peugeot 3008, 5008, 508, DS7 Crossback, Citroen C5 Aircross, and Opel Grandland. Both of these platforms could become the basis for new Jeep, Dodge, and Fiat models. The first possible FCA model to debut on one of these platforms is likely to be a small crossover for Alfa Romeo, due out in 2022. On the other hand, the Ram trucks and larger Jeep models will continue to use technology developed by FCA. The next generation Jeep Grand Cherokee is already well into development and the forthcoming Wagoneer and Grand Wagoneer are set to go into production in early 2021. The primary question mark remains around the larger Chrysler 300, Dodge Charger and Challenger, and Chrysler Pacifica. View full article

BMW unveiled the Concept iX3 at the Beijing Motor show in April of 2018. The overall look of the crossover is somewhat conventional, but with the traditional kidney grille being closed off for aerodynamic reasons and special aerodynamic wheels. The production iX3 will be rear-wheel drive only and have a peak rating of 286 horsepower and 295 lb-ft of torque. All of that power comes from a single motor. The motor is BMW's fifth-generation eDrive powertrain developed solely in house. BMW says that the technology used in this motor is scalable and thus can be used in different automotive segments. The battery is a 74-kWh pack that is capable of powering the iX3 for 273 miles on the European WLTP cycle (EPA rating will be lower). The iX3 will be built in Shenyang, China through a joint venture BMW Brilliance Automotive starting in 2020. Once the iX3 goes on the market, it will be BMW's first vehicle to be available in gasoline, diesel, plug-in hybrid, and pure electric drive configurations. View full article

Fiat Chrysler Automobiles and Peugeot S.A. have signed a binding agreement to a 50/50 merger of their businesses. Once the merger is complete, the combined company will be the fourth largest automobile producer in the world. Based on 2018 numbers, the business will sell roughly 8.7 million vehicles annually and have revenues near €170 billion. There will be a strong balance sheet that will allow the new entity headroom to execute strategic plans. Geographically, 46% of revenue will come from Europe and 43% from North America. A number of operational efficiencies will be gained by the sharing of platforms and engine technology. The number of platforms will be reduced with approximately 6 million cars a year concentrated on just two platforms.The platform consolidations will account for approximately 40% of the estimated €3.7 billion in savings expected from the merger. Peugeot CEO Carlos Tavares will be CEO of the new company and a board member, while John Elkann of FCA will be Chairman of the Board. The completion of the combination is expected to take 12 to 15 months during which time they will be completing items to the satisfaction of antitrust and other regulatory requirements. View full article