Last Chance For Chrysler To Get Its Midsize Sedans Right?

Car manufacturers know that their midsize line is where many of its customers will shop whether that vehicle is a sedan, crossover, SUV or minivan. Power-driven by four and six cylinder engines, five passenger sedans are – broadly speaking – economical, inexpensive and often the right car for many families.

Like its rivals, Chrysler has been fielding one or more lines of midsize models for ages most lately selling the Chrysler Sebring and Dodge Avenger, sedans that compete against the likes of the Mercury Milan, Subaru Legacy, Kia Optima, Mitsubishi Galant and many other models. Regrettably for Chrysler, the Sebring and Avenger have been poor sellers mostly because quality levels don’t match the industry leaders whose styling and engineering is out front of the Chrysler twins.

Chrysler’s Pursuit For Fresh Midsize Sedans

Now that the Chrysler Group LLC is under both federal government and Fiat SpA control, Chrysler is attempting to supersede its midsize sedans with more advanced and economical models. The automaker has several avenues it can take, but possibly only one is truly feasible. Let’s examine what Chrysler might do to bring replacements for the Sebring and Avenger online:

The Opel Connection – Though still owned by GM and in the process of being dealt to Magna International, Fiat had hopes of winning Opel for themselves. By exercising ownership over Opel, the next genesis of midsize Chrysler and Dodge models was to come from the German automaker. That decision seemingly has disappeared along with Fiat’s dreams of winning Opel.

Exploit Fiat – Fiat has at least one model program which may be right for the Chrysler twins, but there is trouble – the model in question is too slender to be used. Typically, midsize American cars must be of a certain width in order to successfully contend; the Fiat platform is long enough but not wide enough. Fiat would have to go through the expense of broadening this platform, a prohibitively expensive move for it.

Look Within – Perhaps Chrysler’s better choice would come from searching inside the organisation. That is, the LX platform powering the Chrysler 300C and Dodge Charger – full size sedans – could be shortened to underpin the midsize models. The only disadvantage is that the new models would be power-driven by the rear wheels with the result that interior space will be cut down thanks to the powertrain hump in the cabin. Yet, being one of the few models offering rear wheel drive could give the new Chrysler models a significant marketing asset if Chrysler works that niche of the market properly.

What Will Chrysler Do?

A decision on what direction Chrysler will take regarding its midsize line will have to arrive before long. Product developing takes time and if the new models are to be ready in three years, work on their successors will have to start almost at once.

Chrysler must make certain that its sedan strategy is done correctly. With Hyundai and Kia nipping at their backside and the global automotive market changing, this could be Chrysler’s last chance to get everything right.

See Also — Slow Selling Chrysler Models Could Be Given The Ax

Mitsubishi Galant Likely To Be Retired At Life Cycle’s End

The midsize car market is a brutal segment in the automotive industry, one that is dominated by the Toyota Camry and Honda Accord with both the Chevrolet Malibu and Ford Fusion also making a strong showing. Virtually every automaker is represented in this segment, consisting of over twenty different models for consumers to choose from.

With such a crowded field, some models are getting squeezed more than others, putting pressure on automakers to pour money into updating one or more entries, and taking resources away from other products.

Mitsubishi, who has long fielded a midsize model of its own, the Galant, will likely depart this segment when the ninth (and current) generation Galant ages out in four years. Built at the company’s sole U.S. Plant in Normal, Illinois, the Galant along with the Endeavor and Eclipse contributed only 80,000 sales for Mitsubishi for the most recent model year just ended. The plant’s capacity is 240,000 vehicles but only needs to produce 100,000 units annually in order to turn a profit.

Falling short by 20,000 units, Mitsubishi is looking to replace the Galant with a better selling model, perhaps its compact Lancer or its small Outlander SUV, maybe both. Both vehicles could be built in the US with excess capacity shipped overseas.

Mitsubishi recently completed an agreement with the United Auto Workers to keep the plant open for at least four more years in exchange for employee concessions. A move to smaller, more desirable vehicles could ensure that the plant’s life is extended well beyond that time frame.

To help maintain product build, Mitsubishi has begun to export the Galant and Endeavor, but isn’t seeing that much success. Like so many other automakers stuck with excess capacity, shipping products abroad is being a much more competitive undertaking, one that is falling far short of expectations.

For consumers, finding a great deal on most any midsize car is easy to do thanks to heated competition. The Hyundai Sonata, Pontiac G6, Chrysler Sebring, and Buick LaCrosse have all been heavily discounted this year, making the midsize market a car buying extravaganza for savvy shoppers.

(Source: Motor Trends)