Chrysler has taken its foot off the accelerator of its electric vehicle development program, according to a Reuters report.
The US government, which saved Chrysler from bankruptcy, gave a 20% stake of the company to Fiat SpA, a European car company known for small, fuel-efficient vehicles.
Fiat CEO Sergio Marchionne this week outlined a plan to turn around Chrysler’s failing business, forecasting the company will break even on a net basis in 2011.
However, those plans made no mention of the ambitious electric car program Chrysler proposed when seeking federal assistance. In January, the company said it would have 500,000 battery-powered vehicles on the road by 2013.
Under new Fiat leadership, the "Envi" division responsible for the development of those vehicles has been dissolved into the traditional organization for vehicle development.
Chrysler is the only top-selling automaker in the US without a hybrid vehicle.
It’s unclear whether the company will be required to return $70 million in grant funding awarded by the Department of Energy for the development of a test fleet of electric vehicles.
Read the full report at the link below.
I find it strange that all other reports about this story say that Chrysler is revamping their EV program. Who reported this one?