In an interview with CNBC, Navigant Research explores what Fiat Chrysler’s plans for electric vehicles means for consumers and the company
Automaker Fiat Chrysler recently announced plans to ramp up production of Jeep and Ram by adding a new assembly plant in Detroit and adding four new plug-in Jeep hybrids to its lineup.
In an interview with CNBC, Sam Abuelsamid, principal research analyst at Navigant Research, said the announcement demonstrates that Fiat Chrysler will design future products to use a broad range of powertrains, from gas and diesel engines to mild, conventional, and plug-in hybrids, as well as pure battery-electric drivetrains.
“As [Fiat Chrysler] move[s] Jeep up-market, in order to stay competitive in that segment, they need, at the least, plug-in hybrids and there's increasing likelihood they'll need battery-electric versions, too," said Abuelsamid.
According to the article, several factors contributed to the company's electrification decision, including the CEO's focus on China (the world's largest plug-in vehicle market), the recent rule that offers incentives to manufacturers and consumers to build and buy plug-ins, and several of the automaker's competitors making the push to electrify.
The automaker is expected to proceed cautiously as it moves deeper into the electric vehicle market, as one of the biggest challenges automakers currently face is figuring out how to turn a profit on electrified models.