FCA Sales Reflect Automaker in Transition
The transition from a car company to a truck and SUV maker continues at FCA US, with steep declines in sales of outgoing small cars while the Jeep brand lacks inventory and product to make up the difference. FCA also is slashing fleet sales, further diminishing its volume.
FCA US sales suffered a second month of double-digit decline in February, with deliveries down 10% due to slipping sales of the outgoing Jeep Compass and Patriot CUVs, continued losses in the car business and a deliberate pullback from fleet sales.
The Italian-American automaker reported a 26% decline in sales to rental-car companies and other fleet buyers, while retail sales were off just 3%. Overall, FCA US sold 166,736 light vehicles in February, a 10% decrease from year-ago on a volume and daily-sales basis, WardsAuto data shows. February had 24 sales days in both years.
FCA US saw a similar loss in January, following a year in which sales essentially were flat, as the company dropped its small cars to refocus primarily on light trucks and Jeeps.
Compounding the woes were relatively lighter sales of the all-new Pacifica minivan against numbers posted a year ago by the outgoing Town & Country. Although Pacifica was up 36% in February with 9,042 deliveries, the older model accounted for nearly 12,000 units year-ago. The aging Dodge Caravan continued to sell at the same rate as year-ago with nearly 14,000 deliveries in February.
A similar transition is under way as the Compass/Patriot pair wind down with production having ended in December, while the automaker’s plant in Toluca, Mexico, is just beginning to build the all-new ’17 Compass. Jeep marketers have warned year-over-year sales comparisons will be ugly until the new model arrives in volume in May. Compass was down 69% in February, Patriot 51%.
Overall, the Jeep brand was down 15% on 62,345 deliveries, with Renegade (+11%), Grand Cherokee (+11%) and Wrangler (+2%) improving while Cherokee (-11%) joined the Compass/Patriot declines.
The Chrysler brand plummeted 28% as sales of the 200 (-65%) wound down. The Dodge brand slid 7% as the 200’s twin, the outgoing Dart, fell 71%. The Charger dipped 21% along with the Durango, off 19%. Up were Challenger (+19%), Viper (+23%) and Journey (+55%).
Ram (+3%) and boutique brands Alfa Romeo (+843%) and Maserati (+49%) were the bright spots. The all-new Alfa Romeo Giulia posted 412 deliveries.
The Fiat brand was down 19%, despite a slight gain by the 500 and 302 deliveries of the all-new 124 Spider.
[email protected] @bobgritzinger
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