Life_in_4Lo
Explorer
The focus in MPG's and street concerns is clear. 1.8 billion retool to turn the trail rated JGC into a Jeep Compass.
The auto maker will invest $1.8 billion to retool and expand its Detroit assembly plant that currently makes the truck-based Jeep Grand Cherokee, Chrysler President Tom LaSorda said Wednesday on the sidelines of the Center for Automotive Research Management Conference. The investment will keep about 400 jobs in Michigan.
LaSorda said the new vehicles will retain the Grand Cherokee name and will hit dealer showrooms in 2010.
This is the first major product move Chrysler has made as industry sales of pickup trucks and SUVs continue to fall as gasoline prices remain near $4 a gallon. Ford Motor Co. (F) has already announced plans to build six new small cars in North America based on its European models. Those vehicles are scheduled to roll into showrooms starting in 2010. General Motors Corp. (GM) is also boosting its car output and will close some North America pickup truck and SUV plants.
"The segment the Grand Cherokee competes in has seen some of the most decline (because of the) high gas prices," said Global Insight analyst Rebecca Lindland. "This new product will allow the consumer to keep all attributes of the Jeep Grand Cherokee. They won't be able to navigate the Rubicon trail but they will get to the grocery store on less fuel."
The auto maker will invest $1.8 billion to retool and expand its Detroit assembly plant that currently makes the truck-based Jeep Grand Cherokee, Chrysler President Tom LaSorda said Wednesday on the sidelines of the Center for Automotive Research Management Conference. The investment will keep about 400 jobs in Michigan.
LaSorda said the new vehicles will retain the Grand Cherokee name and will hit dealer showrooms in 2010.
This is the first major product move Chrysler has made as industry sales of pickup trucks and SUVs continue to fall as gasoline prices remain near $4 a gallon. Ford Motor Co. (F) has already announced plans to build six new small cars in North America based on its European models. Those vehicles are scheduled to roll into showrooms starting in 2010. General Motors Corp. (GM) is also boosting its car output and will close some North America pickup truck and SUV plants.
"The segment the Grand Cherokee competes in has seen some of the most decline (because of the) high gas prices," said Global Insight analyst Rebecca Lindland. "This new product will allow the consumer to keep all attributes of the Jeep Grand Cherokee. They won't be able to navigate the Rubicon trail but they will get to the grocery store on less fuel."