Report: Chrysler, Nissan Discuss Joining Forces
Bloomberg is reporting that Chrysler and Nissan are in discussions to join forces and support each other’s product weak spots. Basically Chrysler would have access to Nissan’s car expertise and Nissan could get some information on trucks from the folks who build Rams.
Carlos Ghosn, CEO of Nissan, has been very vocal in his attempts to gain a North American partner. After last year’s failed attempt at a venture with General Motors, Chrysler looks particularly tasty.
(Click through to read more about the implications of this deal.)
Partnering with Nissan could help Chrysler get much needed sales overseas and a better portfolio of cars in the U.S. Nissan could utilize the upcoming architecture for the 2009 Dodge Ram to bolster the Nissan Titan truck. Titan is the only full-size truck in the U.S. with fewer than 100,000 sales per year. The Dodge Ram is much more popular.
Keeping in mind that Suzuki and Nissan already have a deal pending and Chrysler will be building a minivan for Volkswagen, does this move make sense for Chrysler and Nissan? Let us know your thoughts in comments.
+ Bloomberg: Nissan, Chrysler May Cooperate on Cars, People Say (via PickupTruck.com)
Comments
CHARLES G.
Didn't they try this with MB? How did that work out?
The Stig
^^ Ditto, especially if Nissan and Suzuki are already looking to partner. Although why someone would partner with Suzuki is way beyond me........
hwyhobo
Suzuki has small vehicles. Nice in today's market. Chrysler has none.
I have no idea what Chrysler can get from Nissan. Besides, partnering with companies bigger and stronger did not work out very well for Chrysler in the past.
stevedbmw
This could be the Cerberus "exit strategy"......Get in, make some money, then get out!
Russ Bellinis
It actually makes more sense than the MB connection did. Nissan builds cars for the same market that Chrysler does. Chrysler builds trucks for a market that Nissan would like to get into. Nissan might help Chrysler with small car design, while Chrysler helps Nissan with full size pick up design as well as larger cars, if Nissan wants to get into that market. Merging the dealer networks and parts distribution between the 2 corporations would also help streamline those areas.
Ducati Minor
"This could be the Cerberus 'exit strategy'……Get in, make some money, then get out!"
Someone is hooked on Wall Street. The Cerberus folks aren't Bobby Petrino with the Falcons. They have to make money in the first place with strong-selling products. That hasn't happened yet. If you think Cerberus is just going to sell after a few months of ownership, then you're smoking more crack than Marion Barry.
Cerberus's decisions have been the most sensible I have seen with Chrysler since before the Daimler takeover. This wouldn't be a merger, but more like the Chrysler/Mitsubishi partnership of the 1980s that combined resources. I don't know how productive that partnership was, but I have no problem with a joint Nissan/Chrysler effort.
klarens
Although why someone would partner with Suzuki is way beyond me……..
suzuki is owned by gm. most of the us models are build by daewoo and some of them are seliing in by as a chevy.
so why wouldnt partner with suzuki?
hwyhobo
suzuki is owned by gm
I have no idea where that came from. Suzuki has business deals with GM, just as they do with Fiat, Peugot, Nissan, Mazda, and other major manufacturers. In no way does it imply they are owned by GM. Where did you get that?
Dustin
Please for the love of God, NO.
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stevedbmw
Ducati Minor: it could take several years and they have to make some money or at least improve the market value of the company. Cerberus is NOT a car company and doesn't want to be one, IMHO.
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