Thursday, August 27, 2009

Hot News: Chrysler - Nissan to End Joint Project


How a year can change things. In early 2008, Nissan and Chrysler were best buddies, announcing a trio of joint-venture projects for the near future. Fast forward to today. A joint statement has been written, with both companies agreeing to discontinue work on all three of them.

Two of the projects were almost destined to fail, after Fiat's purchase of Chrysler following the domestic automaker's bankruptcy proceedings. They involved Nissan providing Chrysler with small cars -- a compact Nissan Versa-based sedan for the South American market and a subcompact vehicle for global markets. Creating new small cars is what a majority of the Fiat-Chrysler deal is all about, leaving little room or reason for Nissan to provide small car tech anymore.

The third project is where the trouble lies. Chrysler was to provide large-vehicle tech to Nissan -- namely, for the Japanese automaker's full-size Titan pickup truck. With the current Titan slated to be discontinued in the near future, Chrysler's Dodge Ram pickup was to provide the underpinnings for the 2012 Titan, due out in 2011. Two days ago, we reported that Nissan was mulling backup options should Chrysler decide to pull out of the deal, and it now appears that Nissan's concerns weren't unfounded.

Unfortunately, the 2012 Nissan Titan has been under development for some time. With preliminary cab, interior, and body plans all based on utilizing the Dodge Ram's underpinnings, it's back to the drawing board -- rather literally -- for the new Titan. And that's assuming that a new partner can be found for the deal. If Nissan can't persuade another automaker to share its full-size platform soon, the Titan may have to settle for a refresh and solider on past its previous expiration date.

The agreement for Nissan affiliate JATCO to supply transmissions to Chrysler, as has been in place since 2004, will remain unaffected, the automakers said.

Thanks to: Motor Trend