The Chrysler brand got props Wednesday from the new CEO of the merged company that controls its fate.
Carlos Tavares, CEO of Stellantis, told reporters that Chrysler is one of three historical pillars that make up the foundation of the company, along with Peugeot and Fiat. Stellantis was formed last month from the merger of Peugeot maker PSA Group and Fiat Chrysler Automobiles.
“I’m very keen in supporting the fact that Chrysler brand will rebound,” he said, calling it a fantastic brand. “It has been an historical brand for our new Stellantis group. Therefore it is an opportunity for us to make the brand rebound.”
Tavares, who was speaking via video from the company’s U.S. headquarters in Auburn Hills, praised the Chrysler brand’s early technological prowess, and said autonomous, connected and low emission vehicles could be the next step.
Part of the effort will include hiring a “very talented and visionary” brand CEO, something apparently planned for all of the Stellantis brands, which also include Jeep, Ram, Dodge, Alfa Romeo, Maserati, Citroen, DS, Opel and Vauxhall.
The future of the Chrysler brand has been a question for some, including the great-grandson of Walter P. Chrysler, who has been critical of the merger. Jeep and Ram, in contrast to Chrysler, are major profit drivers for the company.
Asked what consumers would notice as a result of the merger, Tavares said changes would be focused not on the corporation but on the brands, which would benefit from the company’s new scale. It’s now the fourth-largest automaker in the world.
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Wednesday’s discussion also covered topics like working with the Biden administration and vehicle electrification. Tavares called the semiconductor shortage affecting Stellantis and the rest of the auto industry a critical issue, and said the company has a daily crisis task force set up to address it.
The talk came a day after Tavares and Stellantis Chairman John Elkann toured the Mack and Jefferson plants at the Detroit Assembly Complex. Tavares complimented what he saw and those he met. The Mack plant is preparing for the launch this year of the three-row Jeep Grand Cherokee L.
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“It was extremely thrilling to see the passion of our people. It was thrilling to see how engaged they are, how committed they are. It was a very, very warm feeling to see that people are really supporting the company and making the best they can to make the company successful,” said Tavares, who was CEO of PSA Group before the merger.
He said the North American team is doing a fantastic job. “Of course we can always do better because we are sportsmen and sportswomen in our attitudes.”
And he noted that the product pipeline is strong.
Tavares said discussions with the Biden administration are underway, and Mike Manley, former FCA CEO who is now head of the Americas for Stellantis, is leading the effort. Issues include electrification and addressing climate change.
Tavares said the company is committed to doing its part, and he touted PSA’s successes in Europe in tackling greenhouse gas emissions. But he described a balancing act.
“We don’t want to hurt our employees. We don’t want to hurt our business model. We want to protect our people, and at the same time, we want to bring our fair and great contribution to fixing this issue,” Tavares said.
Electrification development is expensive, and that can affect vehicle affordability, he said.
“If it’s not affordable then it’s not going to be impactful because many people won’t be able to buy these products, and if they don’t buy those low emission products then we are not impacting the fleet, and if we don’t impact the fleet, then we don’t contribute to fix the problem,” Tavares said.
Contact Eric D. Lawrence: elawrence@freepress.com. Follow him on Twitter: @_ericdlawrence. Become a subscriber.