Car news / Nissan, Chrysler strike deal for truck, car |
15.04.2008
Nissan, Chrysler strike deal for truck, carCar News /
Under an expanded product sharing alliance announced on Monday, April 14, Chrysler LLC will become Nissan"s full-sized pickup truck manufacturer, while Nissan will make subcompacts for Chrysler.
The agreement means Nissan will stop making its Titan pickup when Chrysler starts making Nissan-badged trucks in 2011.
In exchange, Chrysler will get a Nissan-based small car, built at Nissan"s Oppama, Japan, factory to Chrysler"s own design starting in 2010. The new automobile is destined for North America, Europe and other global markets.
The Nissan-based small automobile will be built on a new Nissan platform to an already-completed Chrysler design, according to Chrysler co-President Tom LaSorda. He declined to say whether the design would be based on the Dodge Hornet concept car.
LaSorda said the deal will have no impact on its ongoing venture with Chinese carmaker Chery Automobile Co. The two companies continue to work jointly on products for North America and other markets, he said.
"At some point we believe we need more than one small car," for North America, LaSorda said. "We would be counting on Chery to provide that."
The Nissan-based small automobile will be built on a new platform.
Chrysler will make the Nissan pickup for Nissan at its Saltillo, Mexico, factory. To make room for the Nissan product, Chrysler will shift Dodge Ram production to its St. Louis North and Warren, Mich., truck plants. LaSorda said heavy duty production would likely be shifted to St. Louis North, while light duty production could easily be shifted to Warren. The Chrysler-built Nissan pickup will go on sale in North America in 2011.
In January, the two companies announced Nissan would supply Chrysler with a Versa-based sedan for sale in South America starting next year.
"Forging the right tactical partnerships is critical to the long-term success of Chrysler," said LaSorda in a prepared statement.
The companies said they "have also agreed to maintain an open dialogue to explore further product-sharing opportunities," according to a Chrysler press release.
LaSorda declined to discuss financial details of the agreement except to say that Chrysler would pay Nissan for vehicles the latter builds and vice versa.
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