Chrysler may replace Lancia

Automotive News’ Luca Ciferri reported that Fiat may drop the Lancia name in many countries, in favor of Chrysler. Sergio Marchionne was quoted as saying that the Chrysler brand name was more “internationally recognized” than Lancia.

Ciferri suggested that Lancia might continue in its strongest markets, such as Italy and France, or might even become a sub-brand of Chrysler, as Abarth is used on the Fiat 500.

A decision on Lancia, which reported a mere 10,000 sales outside of Italy last year (93,000 within Italy), is expected by the end of 2010. Sales of Chrysler-brand cars were just 29,000 in Europe in 2008, but Chrysler sales went through Mercedes channels, and a more enthusiastic Fiat and a selection of more fuel-efficient vehicles could pump up volume.