Chrysler Accelerates Plant Closure, But What About the Hybrids ~ Hybrid Car Review

Thursday, October 23, 2008

Chrysler Accelerates Plant Closure, But What About the Hybrids

Chrysler, in an effort to combat slow sales and the weak economy, is shutting down one shift at a Toledo, Ohio plant (Jeep) and is closing their Newark, Delaware plant early. That's the plant that builds the Dodge Durango and Chrysler Aspen, as well as the hybrid version of the same.

Autoblog notes these moves will also likely spell the end for the Durango and Aspen SUVs, as Newark is the only plant producing them. Which would spell the end of their hybrid line.

That's a very strange process indeed, given the amount of money spent developing the two-mode hybrid system with GM and BMW. The Aspen and Durango Hybrids just started sales this month. Chrysler just made a bid deal about three possible EV vehicles. Can we take any of that seriously at this point given how little time they invested in the two-mode hybrid SUVs?

The Delaware plant had been scheduled to be shut down in late 2009.

The shift reduction at Toledo North will be effective December 31, 2008, and will affect approximately 825 jobs. The closure of the Newark plant will also be effective December 31, 2008, and will affect approximately 1,000 jobs.

Update: Chrysler may not bring back the Aspen and Durango nameplate at all:
"We think there is a strong interest in the market for hybrid technology and we are excited about the Dodge Ram in 2010," Chrysler spokesman Stuart Schorr said. "We had good demand for the hybrid versions; unfortunately demand for those products alone is not enough to sustain the plant."

"The demand for our full-size SUVs has really dropped off this year," Chrysler spokesman Scott Brown told Inside Line. "Even though we got significant orders for the hybrids, it doesn't make sense to keep the plant open for just the hybrids."

And so, after having a hybrid for all of a few months, Chrysler is going to go without until the Dodge Ram in 2010. And I can't imagine the hybrids they do build will be flying off the lots at this point. The loss in value from a discontinued line should guarantee very few will be interested.