Chrysler Will Stay Alive in Japan (Where It's Almost Dead): FCA

Steph Willems
by Steph Willems

We all remember former Chrysler Corporation chairman Lee Iacocca railing against the Japanese for their uber-expensive land and not-so-open borders. Well, Jeep sales are slowly picking up in that Detroit Three-averse country, but one storied American brand isn’t doing so hot.

Chrysler. Sure, the brand isn’t doing all that great in its home country, either, what with only two models to show for itself. Still, Japanese buyers seem particularly unimpressed with the sole model Chrysler has to offer it.

Still, even with nearly nonexistent sales, Fiat Chrysler Automobiles isn’t about to throw in the towel just yet.

According to Reuters, a rumor that FCA plans to yank the Chrysler brand out of Japan is false. The automaker has confirmed it will continue selling the Chrysler 300S and 300 SRT8 out of Jeep dealerships in the land of the rising sun, even as the sun sets on the brand.

“Although FCA Japan has already announced its intention to concentrate its resources on the Jeep brand ahead, no decisions have been made regarding (the) Chrysler brand,” FCA said in a statement Monday.

It’s hardly an encouraging statement. Certainly, not one that brings much hope to Japanese Chrysler fans, if indeed there are any. Still, wouldn’t be at all surprising if FCA were to throw all its efforts behind Jeep. FCA CEO Sergio Marchionne has made it clear he wants the brand to be a global powerhouse, with such products as the second-generation Compass leading the way.

In Japan, Chrysler sales have dropped every year since the turn of the century. With just two variants of a single model on sale (starting at $52,056 after a consumption tax), sales dropped below 300 units in 2016. You’re far more likely to see a Jeep or Fiat vehicle on the streets of Tokyo. Those brands accounted for about 9,400 and 6,700 units, respectively, last year.

Even though Jeep sales rose over 31 percent in Japan last year, it’s still a small drop in a large bucket. Japanese customers overwhelmingly prefer Japanese vehicles, which puts Jeep, by volume, at number 20 on the list of top-selling automakers.

American Chrysler sales have remained stagnant for the past three years. While sales of roughly 53,000 units per year are well below the amount seen in the pre-recession era, it’s still above the mid-30,000 range seen from 2009 to 2011. The brand’s U.S. sales have fallen, year-over-year, for the past three months.

Steph Willems
Steph Willems

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  • Pig_Iron Pig_Iron on Jun 19, 2017

    On the last of three wishes, a man asked a genie that when woke up, he would be the owner of a dealership for a large automotive manufacturer, in a major metropolitan area. When he awoke, he was the owner of a Chrysler dealership in Tokyo.

    • SPPPP SPPPP on Jun 19, 2017

      Haha. Wow, that's something that should show up in "Kafka's Garage" (if it still existed).

  • Noble713 Noble713 on Jun 19, 2017

    The 300 is pretty much the only Chrysler product I've ever seen here. It appeals to the VIP crowd who want something different from the standard issue Toyota Crown. But I've only seen a few RHD ones. Almost all are imported LHD models. I had no idea Chrysler actually sells them here. I assumed the few RHD ones were imports from Australia.

  • W Conrad I'm not afraid of them, but they aren't needed for everyone or everywhere. Long haul and highway driving sure, but in the city, nope.
  • Jalop1991 In a manner similar to PHEV being the correct answer, I declare RPVs to be the correct answer here.We're doing it with certain aircraft; why not with cars on the ground, using hardware and tools like Telsa's "FSD" or GM's "SuperCruise" as the base?Take the local Uber driver out of the car, and put him in a professional centralized environment from where he drives me around. The system and the individual car can have awareness as well as gates, but he's responsible for the driving.Put the tech into my car, and let me buy it as needed. I need someone else to drive me home; hit the button and voila, I've hired a driver for the moment. I don't want to drive 11 hours to my vacation spot; hire the remote pilot for that. When I get there, I have my car and he's still at his normal location, piloting cars for other people.The system would allow for driver rest period, like what's required for truckers, so I might end up with multiple people driving me to the coast. I don't care. And they don't have to be physically with me, therefore they can be way cheaper.Charge taxi-type per-mile rates. For long drives, offer per-trip rates. Offer subscriptions, including miles/hours. Whatever.(And for grins, dress the remote pilots all as Johnnie.)Start this out with big rigs. Take the trucker away from the long haul driving, and let him be there for emergencies and the short haul parts of the trip.And in a manner similar to PHEVs being discredited, I fully expect to be razzed for this brilliant idea (not unlike how Alan Kay wasn't recognized until many many years later for his Dynabook vision).
  • B-BodyBuick84 Not afraid of AV's as I highly doubt they will ever be %100 viable for our roads. Stop-and-go downtown city or rush hour highway traffic? I can see that, but otherwise there's simply too many variables. Bad weather conditions, faded road lines or markings, reflective surfaces with glare, etc. There's also the issue of cultural norms. About a decade ago there was actually an online test called 'The Morality Machine' one could do online where you were in control of an AV and choose what action to take when a crash was inevitable. I think something like 2.5 million people across the world participated? For example, do you hit and most likely kill the elderly couple strolling across the crosswalk or crash the vehicle into a cement barrier and almost certainly cause the death of the vehicle occupants? What if it's a parent and child? In N. America 98% of people choose to hit the elderly couple and save themselves while in Asia, the exact opposite happened where 98% choose to hit the parent and child. Why? Cultural differences. Asia puts a lot of emphasis on respecting their elderly while N. America has a culture of 'save/ protect the children'. Are these AV's going to respect that culture? Is a VW Jetta or Buick Envision AV going to have different programming depending on whether it's sold in Canada or Taiwan? how's that going to effect legislation and legal battles when a crash inevitibly does happen? These are the true barriers to mass AV adoption, and in the 10 years since that test came out, there has been zero answers or progress on this matter. So no, I'm not afraid of AV's simply because with the exception of a few specific situations, most avenues are going to prove to be a dead-end for automakers.
  • Mike Bradley Autonomous cars were developed in Silicon Valley. For new products there, the standard business plan is to put a barely-functioning product on the market right away and wait for the early-adopter customers to find the flaws. That's exactly what's happened. Detroit's plan is pretty much the opposite, but Detroit isn't developing this product. That's why dealers, for instance, haven't been trained in the cars.
  • Dartman https://apnews.com/article/artificial-intelligence-fighter-jets-air-force-6a1100c96a73ca9b7f41cbd6a2753fdaAutonomous/Ai is here now. The question is implementation and acceptance.
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