If Daimler dumps Chrysler, what happens to diesel supplies?
Last fall when Chrysler first showed the Dodge Avenger concept at the Paris Motor Show it had a diesel engine it. At the Detroit Auto Show, the Jeep Trailhawk concept had a Mercedes BlueTec diesel V-6 and now Grand Cherokee is available in production with the same engine. Chrysler has also indicated plans to use Mercedes diesel engines in a variety of other vehicles, including the minivans, in the coming years.
If Daimler does end up divesting itself of Chrysler in the near future, what will become of these plans? Hopefully, Mercedes will allow Chrysler to continue using their engines even in programs that haven't launched yet. Diesels offer an excellent way to dramatically increase fuel economy, and now that ultra low sulfur diesel fuel and new clean diesel emissions technology are available, oil burners have the opportunity to make some big gains.
Reader Comments (Page 1 of 1)
Kendall Tawes 10:37PM (2/27/2007)
There is no reason they wouldn't sell parts to Chrysler in a post Daimler-Chrysler world. Many car makers share components even if they aren't the same company. Honda used to have a re-badged Isuzu Rodeo and so did Opel in Europe. Nissan's Quest was also a Mercury and even now Mitsubishi is selling parts to Citroen. So even if Daimler gives Chrysler the old heave-ho they could still sell the engines to Chrysler, after all they would still make money off of them.
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Mirko 4:36AM (2/28/2007)
Don't forget most Chrysler diesels have Volkswagen, not Mercedes engines.
Dodge Caliber/Avenger/that ugly Jeep thing/Chrysler Sebring all have the Volkswagen 2.0 TDI, PT Cruiser has the Mercedes 2.2 CDI, Voyager has VM Motori sourced diesels... only the Chrysler 300C and the big Jeeps have the Mercedes 3.0 V6 CDI.
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Schmeltz 8:45AM (2/28/2007)
Most likely Diamler would still supply their European built diesels to Chrysler should a divestiture occur. There's money to be made for both companies in doing that.
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