FCA is now facing problems with the production of their next generation Ram 2500 HD as well as their throwback Jeep Grand Wagoneer. A host of issues with manufacturing facilities have lead to yet another delay for the automotive giant, deferring the new models for an unknown time period. This comes after an initial postponement of the Grand Wagoneer, extending its release date from 2018 to 2019.
These problems could be crucial for Fiat Chrysler. Both of these anticipated models are projected to be big sellers for the manufacturer, with the 2500 HD accounting for a large portion of the nearly half-million Ram pickups sold already this year. In addition to this, the Grand Wagoneer has been hyped up as a successor to the classic wood-paneled Jeep, creating a lot of buzz since its concept was unveiled. It fills a hole in the Jeep lineup by slotting above the Grand Cherokee, expanding the company's market. This delay puts a hault to these models and, in turn, a large amount of sales for the company.
The production halt is due to finance and facility issues. The Grand Wagoneer will eventually be built in Michigan at FCA's Warren Truck plant, where the current generation Dodge Ram 1500 is produced. The foundry will need to undergo a significant amount of change to host the production of the new model Jeep. Relatable complications are being faced with the HD Ram models. They will be manufactured in Santillo, Mexico, where 2017 models are already being built. Since the trucks will be built upon a new platform for their next generation, this facility will need a considerable overhaul as well.
These obstacles contribute to the already-occuring manufacturing problems for FCA. They've spent billions of dollars in recent years rennovating other plants, making this news even more drastic. Since the company produces such a wide variety of vehicles, their plants have to be excessively versatile in comparison to other companies'. The Toledo, OH plant has already had $1 billion invested into it as it will be the birthplace of the JL Jeep Wrangler, so the costs just keep rolling in. We will keep you updated as release dates for the next Ram 2500 HD and Jeep Grand Wagoneer are unveiled.