[Chrysler: The Once-Mighty Brand That’s Now on Life Support
Chrysler was once a giant in the US auto industry, sharing a name with one of the world’s tallest buildings and with factories and dealerships spread across America. However, the company has fallen dramatically far, and its future is now in doubt.
After going through three foreign-based automaker purchases, a bankruptcy, and a second federal bailout in its history, Chrysler now has only one car rolling off an assembly line with the Chrysler badge on it, a minivan built in Canada. The brand’s sales are also struggling, with a 21% decline in the first nine months of the year and a 44% decline in the third quarter, while the overall US car sales pace has been up.
The minivan, the Pacifica, is built in Canada and while it’s the only remaining Chrysler model, it’s struggling, as American buyers have moved away from minivans in favor of SUVs. Experts suggest that there’s no longer a need to maintain the Chrysler brand and that consolidating resources could be the best course of action.
Stellantis, the parent company of Chrysler, is searching for a new CEO after the sudden departure of Carlos Travares, and experts question whether there’s a reason to keep the Chrysler brand. Ivan Drury, director of insights at Edmunds, said, “You’ve got four brands and not enough models to sustain life among all of them. You’re down to one model in a segment that is barely hanging on. There’s no life in that brand.”
Erin Keating, executive analyst at Cox Automotive, agrees, stating that consolidation has to be in the future. Stellantis’ current CEO said that the company would consider jettisoning any brand that couldn’t make money, and experts believe that’s exactly what they should do with the Chrysler brand.
The decision to discontinue the brand would have little downside, as most dealerships already sell Jeep, Ram, and Dodge-branded vehicles. Furthermore, the cost of marketing and supporting the brand is likely to outweigh any potential benefits. The company has announced plans to produce an all-electric version of the Pacifica in 2026 and the Voyager, a lower-priced minivan, in 2025, but it’s unclear if these plans will be enough to save the brand.
As the company continues to navigate its challenges, the future of Chrysler is uncertain, and many experts believe that consolidation is the best way forward.
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