What are the reasons for the production halt of GAC FCA Jeep?
1 Answers
GAC FCA Jeep halted production for the following reasons: 1. Slow new car development: In 2017, GAC FCA found itself in an awkward situation with no new models introduced, relying only on minor updates of existing models to maintain market interest. Although sales eventually peaked at 220,000 units, this was followed by a lack of momentum. 2. Poor product reputation: The actual performance of the products failed to satisfy, with many reviews trending negative. Additionally, the issue of 2.4L engines burning oil was exposed by CCTV and led to owner protests, pushing the so-called 'American luxury brand' Jeep into the spotlight for negative reasons in China. 3. Unclear positioning: The new models suffered from ambiguous positioning and an overly self-important brand tone. Jeep has long positioned itself as a luxury brand in the Chinese market.