Could Stellantis reinvigorate Chrysler?

The Chrysler brand needs some help.

The merger between Fiat Chrysler Automobiles and France's PSA Group to form Stellantis could be its lifeline, said David Kelleher, chairman of the Stellantis National Dealer Council.

Kelleher believes Stellantis has a chance to fortify Chrysler, which sells the aging 300 sedan along with the Pacifica and Voyager minivans, with product from the PSA side.

Kelleher thinks this product infusion could be done at reasonable expense because the automaker wouldn't have to develop new models from the ground up.

He said he'd feel "violated" if the Chrysler brand was dropped.

"This whole thing started with Chrysler," Kelleher said. "I don't want to get emotional about a brand, that's not the case. But I don't want to see a brand like that left at the sideline and just thrown out to pasture."

While dealers await the next moves of the Stellantis team, Kelleher also is paying close attention to a move by rival General Motors last month.

GM's decision to sell electrified commercial vans through a separate dealer network raised concerns for Kelleher. BrightDrop will be GM's first new U.S. vehicle brand in more than two decades.

Kelleher sees potential disruption there. He said FCA already had established itself with electrified vehicles through the Pacifica plug-in hybrid and pointed out that the Jeep Wrangler 4xe will bolster its standing in that space.

Kelleher said he expected any Stellantis expansion of vehicles or brands in the U.S. would run through the existing retail network and that those dealers would be given the first opportunity to grow with the new automaker.

He said Stellantis dealers have paid their dues, especially with facility investments as dealerships continue the rollout of stylish Jeep-centered showrooms. About 600 dealers have committed to building either Jeep showrooms or standalone Jeep dealerships.

"In fairness, the manufacturer should have every right to expect that their dealer body is prepared to sell whatever they build," Kelleher said. "So as a network, our dealers have to become a lot better than we probably are now at selling electric. We need to invest in infrastructure, train our personnel and adapt our processes. Then we can prove that no one is more equipped to sell any product that our OEM [produces] better than us."