Though the clouds did break up a bit here and there for Fiat Chrysler Automobiles during February, the automaker Wednesday announced U.S. sales declined 10 percent for the month against February 2016. The drop extended FCAs losing streak to six consecutive months.
Breaking through those dark February clouds was the light truck and SUV segments, where FCA has pinned much of its future North American growth. Jeep Grand Cherokee, Renegade, Wrangler, and Dodge Ram all jumped higher in February, with Grand Cherokee and Renegade each posting an 11 percent increase. Wrangler’s 2 percent increase was also notable as the vehicle now has posted gains for three straight months, alleviating worries that buyers were waiting for its redesign later this year.
Beyond those positives, much of FCA's monthly decline can be traced to discontinued vehicles such as the Compass which fell 69 percent, and Patriot which dropped 51 percent, as well as the Dodge Dart (down 71 percent) and Chrysler 200 (down 65 percent). However, the current Jeep Cherokee continues to disappoint and fell 11 percent last month. After a somewhat strong 2016, the vehicle has now tumbled 19 percent to begin 2017. Overall, Jeep-branded vehicles slipped 15 percent month over month, and are down 11 percent for the year.
"(FCAs) volume is down largely due to the wind down of the Chrysler 200 and Dodge Dart. Also, after many years of steep growth, the Jeep brand is running into headwinds, although the Renegade small SUV is drawing positive attention," according to a news release from Kelly Blue Book. "Jeep also will soon benefit from the upcoming second generation Compass, which will replace the aging Compass and Patriot."
Mike Manley, who heads up Jeep and Ram for FCA, did indicate recently that Jeep could see some ‘”tough (sales) comparisons” for much of this year as the company transitions its vehicle line. The second-generation Compass has received high marks and is expected to launch later this spring which will help sales, while Wrangler’s new JL model should reach dealerships by December. Manley said he expects overall sales numbers to be up slightly by year’s end.
FCA sold 168,326 new vehicles in February compared to 187,318 during the same month last year. The automaker’s February decline followed an 11 percent dip in January.
