Report: Fiat dismantles Chrysler’s electric car plans

Article by Christian Andrei, on August 27, 2010

Controlling shareholder Fiat S.p.A. decides to scrap the Chrysler Group's electric car program in favor of a more traditional organization. This turnaround plan has already disbanded a team of engineers dedicated to produce a range of electric vehicles to showrooms.

Moreover, sales targets for battery-powered cars set have been dropped as the carmaker was deemed to be sliding toward bankruptcy and seeking government aid. The electric car program was used by Chrysler to get the $12.5 billion federal aid package.

Last August, Chrysler even took $70 million in grants from the U.S. Department of Energy to develop a test fleet of 220 hybrid pickup trucks and minivans. Unfortunately, these vehicles are now scrapped after Fiat CEO Sergio Marchionne announced this development.

Last Friday, Chrysler spokesman Nick Cappa confirmed that its in-house team of electric car development engineers had been disbanded.

Cerberus Capital Management, the automaker's former owner, had set up a special division called "Envi" -- derived from Environment -- to lead the development of hybrid technology.

In an interview with Reuters, Cappa said that Envi is absorbed into the normal vehicle development program." This major reversal does come as a surprise in light of the recent actions taken by the carmaker.

In September 2008, Chrysler had announced that it was developing three electric vehicles and would be selling the first of the models by 2010. Chrysler made the move because it faced increasing pressure to raise the fuel-efficiency of its cars. Last January at the Detroit auto show, Chrysler pledged to have 500,000 battery-powered vehicles on the road by 2013, including sports cars and trucks.

Topics: fiat, electric car, plan

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

The highlight of this year’s Consumer Electronics Show may be based on some of these keywords---connectivity, integration and partnership. Just like in the previous year, you’ve probably heard and read...
by - January 16, 2017
Less than three weeks to go and the Super Bowl LI – one of the most awaited and most watched sports events in television – will commence on February 5,...
by - January 16, 2017
New Tesla vehicles will have to pay when charging at any of the carmaker’s Supercharger stations once they exceed their annual limits. This comes as Tesla Motors announced revisions in...
by - January 16, 2017
Off-road driving with an open air vehicle provides another kind of experience for many off-road enthusiasts and fans. For this sake, Ford is planning to offer a version of the...
by - January 16, 2017
For those who love driving, future autonomous cars should be like the Toyota Concept-i that is drawing in a multitude of visitors at the 2017 Consumer Electronics Show in Las...
by - January 15, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries