Chrysler says alliance with Fiat will allow it to meet future CAFE requirements

Joining the chorus of supporters applauding the Obama Administration's new CAFE standards is bankrupt automaker Chrysler. After 'thanking the administration for their leadership' and for creating a single nationwide standard, Chrysler points out that it's alliance with Italian automaker Fiat will allow the company to offer a range of affordable and fuel efficient small cars in America "that will help support its revitalization and benefit American consumers."

Central to Chrysler's plans for a fuel-sipping future are access to Fiat's line of small-displacement engines, which will be coupled with the automaker's own next-gen V6 engines that are expected to deliver up to an 8 percent increase in fuel economy over the engines they are replacing. Chrysler also says it will have "several production electric vehicles by 2013" under its ENVI organization. See the full press release after the break.

[Source: Chrysler]

PRESS RELEASE:

Chrysler LLC Statement in Response to Administration Announcement of National Standard

AUBURN HILLS, Mich., May 18, 2009 -- Chrysler welcomes the President's announcement of a framework for a single national approach for fuel economy and greenhouse gas standards. We thank the Administration for their leadership.

Today's announcement begins an important process of harmonizing state and federal fuel economy programs. Chrysler has long been an advocate for a national approach to fuel economy as the most effective way to help the nation achieve energy security and environmental sustainability. With regulatory clarity and certainty, Chrysler and its alliance partner, Fiat, will now be able to concentrate their resources on developing a nationwide fleet of clean, fuel-efficient vehicles that will help support its revitalization and benefit American consumers.

These fuel-efficient vehicles will feature both improvements to conventional technology and technology that is entirely new. For example, Chrysler will soon introduce an all-new, high-volume V-6 engine that will deliver up to 8 percent improved fuel economy across the company's current vehicle lineup. Chrysler's alliance with Fiat will initially deliver consumers a world-class small engine and overall powertrain technology that will rapidly bring to market even more fuel-efficient, environmentally friendly small cars.

Chrysler's entirely new technology will be found in vehicles developed by ENVI, an organization within Chrysler that is focused on electric vehicles as its primary clean-vehicle technology. Chrysler's product plan includes the introduction of several production electric vehicle models by 2013.

We look forward to working with the Obama administration and others as this process moves forward toward an outcome that is economically and environmentally sustainable.