Chrysler seeks manufacturing alliance

Chrysler LLC is seeking manufacturing alliances with several automakers as it combats the effects of the downturn in it's U.S. auto sales.

By Plant Engineering Staff August 12, 2008

Chrysler LLC is seeking manufacturing alliances with several automakers as it combats the effects ofpeaking with Fiat SpA in an attempt to lease manufacturing capacity to the Italian automaker. Chrysler also has an agreement to build a truck for Japan’s Nissan Motor Co Ltd , which will build a small car for Chrysler. Chrysler’s current plan is to build the Nissan-designed truck at Chrysler’s plant in Saltillo, Mexico, but Chrysler has the flexibility to add more car-based platforms to its facilities including the Sterling Heights, Michigan plant, which currently builds the Dodge Avenger and Chrysler Sebring sedans. “The Sterling Heights plant is set up to be very flexible and can accommodate three to four platforms. In fact we can do a car-based platform at several locations,” said Frank Ewasyshyn, Chrysler’s executive vice president in charge of manufacturing. Chrysler is in negotiations with the United Auto Workers to put factory workers on four 10-hour workdays instead of five, eight-hour workdays in a bid to cut costs.