Quote:
Originally Posted by JRTJH
There was a bucketload more than just the NHTSA "buyback" that caused that delay. The federal government's push to return manufacturing to the US, keep exports of jobs on the decline, and decrease imports of major goods from places like Mexico all were factors in what it would have cost "per truck" to ship the Allison transmissions to Mexico then reimport them as a finished vehicle. It may have been "business suicide" to try to open a transmission building plant in Mexico to support the RAM program and cause all kinds of blowback for Allison if they "shipped more jobs out of the US"...
There was (and is) a "whole 'nuther world" to consider when it comes to acquiring the parts and changing suppliers of major parts for a vehicle line.
No doubt "profit margins with the buyback looming over Fiat/Chrysler" was a major factor, but facing a "import tax increase" on parts and finished vehicles that the government threatened for political purposes to "grow our economy" also had a tremendous influence on the decision not to change transmissions at that time.
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It was all timing/snowball effect. Too many issues that hit at roughly the same time.