Things That Make You Go Hmmm....

May 26, 2009

1 Min Read
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Several weeks ago, President Obama guaranteed the warranties for Chrysler and General Motors vehicles. A noble gesture, but it means nothing if the dealers can't get the parts to fix the vehicles. Apparently, it's starting to become a problem for Chrysler dealers and likely will for GM dealers once that company declares bankruptcy.

Chrysler Vice President Steven Landry told dealers on a conference call just under two weeks ago that the auto maker was watching the parts inventory closely and managing it to maintain a 30-60 day supply.

With Chrysler in bankruptcy, several suppliers have stopped shipping parts to the auto maker. Add to that, none of the plants are running at the moment which means Chrysler is ordering minimal parts, if any.

Independent shops are starting to report they can't get Chrysler parts.

Not only is the problem costing dealers service work, it's going to start costing them sales. Yesterday a friend told me she needs to get the air conditioning fixed on her Dodge Caravan but the dealer can't do it because the part is on backorder and has no idea when it will be shipped. I suggested an idnependent shop, but the vehicle is under warranty -- which at this moment, isn't worth the paper it's printed on.

She's leasing the vehicle and will try to turn it in if she can't the air conditioning fixed. But whether she sticks with Chrysler, don't count on it. "It's not worth the hassle," she says.

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