Jeep loses Chinese partner
Stellantis puts an end to its collaboration with the Chinese GAC. That means that local Jeep production by that company will come to an end. Also, the future of the especially for China and quite new Jeep Grand Commander is now uncertain.
The Chinese car market is one that American and European car manufacturers are eager to conquer, regularly with the help of the Chinese themselves. Over the years, numerous joint ventures have arisen between, for example, Ford, the Volkswagen Group and also the former Group PSA and Chinese manufacturers for production for the Chinese market. Fiat Chrysler, which merged with PSA into Stellantis, also formed such a partnership with the Guangzhou Automobile Group (GAC Group). In 2010, the deal was closed and GAC FCA was created. Now it’s coming to an end.
Stellantis has officially announced that it is withdrawing from the deal due to “lack of progress in Stellantis’ previously announced plan to acquire a majority stake in the GAC-Stellantis joint venture.” Stellantis, now half owner of the joint venture, wanted more control. GAC didn’t like that. Now Stellantis is putting a stop to it. This also means that the Chinese production of Jeep will stop for the time being and the Chinese will have to make do with imported Jeeps. GAC FCA is currently building the Jeeps Cherokee, Renegade, Compass and Grand Commander in Changsha.
This is an exciting development, especially for the latter model. The Jeep Grand Commander, facelifted less than a year ago, is a model especially intended for the Chinese market. Although it does not only resemble the Jeep Commander developed for South America with its name, but unlike that Commander, it does not share its base with the Compass but with the Cherokee. It is also 10 cm longer, which explains the ‘Grand’ in the model name. Because Jeep only builds this model via GAC in China and for China, it is very questionable what will happen to the Grand Commander now. Maybe the curtain falls.
Incidentally, GAC FCA previously also built models from Fiat. It started in 2012 with the Fiat Viaggio, a sedan that was closely related to the Dodge Dart and therefore also to the Alfa Romeo Giulietta. In 2014 the Fiat Ottimo was added, in short the five-door hatchback based on the Viaggio. The curtain fell for both cars in 2017 and in the meantime, GAC FCA’s attention had already shifted more to Jeep.
– Thanks for information from Autoweek.nl