Fiat Chrysler Automobiles is rearrange its product mix to focus more on trucks and SUVs and less on conventional cars, the automaker announced in its latest business report on Wednesday.

FCA cited low fuel prices that it sees as “permanent” as the main reason for shifting away from cars and toward SUVs and trucks. FCA CEO Sergio Marchionne also believes that “there’s been a permanent shift toward SUVs and pickups” in terms of consumer demand.

As a result, FCA will “re-utilize … plant infrastructure to try and deal with the development of both Jeep and the Ram brands,” Marchionne said, according to Automotive News.

That plan to move Jeep and Ram to the forefront will result in the delayed United States rollout of the Alfa Romeo brand. The Giulia, which Alfa Romeo revealed last June, will go into production by the end of March. Alfa won’t add its second mainstream model, a midsize SUV, until 2017. A full-size sedan, two addition utility vehicles, a hatchback and two “specialty vehicles” won’t appear until sometime between 2017 and 2020.

The Dodge Dart and Chrysler 200, meanwhile, could be sourced from another automaker in the future. Marchionne says the Dart and 200 “will run their course,” after which FCA will re-tool their plants to build more trucks and SUVs.

As with the Fiat 124, which is based on the Mazda Miata, FCA could contract another automaker to produce its small and midsize sedans. Such practice is becoming commonplace in the industry, as seen with Infiniti’s recent introduction of the Mercedes-base QX30.

In all likelihood, FCA will use the 200′s Sterling Heights production facility to build the next-generation Ram 1500, due out in 2018. That Ram will utilize body-on-frame construction, but will gain a hybrid powertrain option.

Photo by Drew Johnson.

Fiat Chrysler Automobiles has confirmed that it is working on both hybrid and diesel versions of its next-generation Jeep Wrangler SUV.

After years of rumors, FCA announced on Wednesday that is moving forward with alternative powertrains for its next-generation Wrangler. Those powertrains will include both a hybrid and a diesel.

Exact timing for the new powertrains wasn’t announced, but the next-generation Wrangler is due in dealer showrooms sometime in 2017. So far FCA has only said that the Wrangler will get the diesel treatment sometime before 2022. A hybrid will launch after the diesel makes its market introduction.

FCA didn’t mention which of its available diesel engines is earmarked for the Wrangler, but the company currently uses a 3.0L turbo V6 in its Ram light-duty pickup. It would make financial sense for the Wrangler to share common parts with another FCA product like the Ram.

The hybrid destined for the Wrangler will likely be of the mild hybrid variety. However, FCA is keeping the details of its electrified Wrangler a secret at this time.

It’s also rumored that the next Wrangler will use aluminum in its construction, but so far FCA has not confirmed those reports.

Lexus is recalling a small batch of its new-for-2016 RX 350 and RX 450h over an issue with the crossovers’ knee airbag module.

Lexus announced on Wednesday that it is recalling about 5,000 units of its 2016 RX 350 and RX 450h crossovers to address a knee airbag module that might not have been manufactured properly. The potentially faulty airbag might not performance as intended in the event of a crash, which Lexus says could increase the likelihood of injury.

Lexus did not mention if any injuries had been linked to the defect.

Lexus dealers have been instructed to inspect and replace the knee airbag where required. The service will be provided free of charge.

Photos by Mark Elias.

Kia has released a teaser clip of the 60-second commercial it will air during this year’s Super Bowl broadcast.

Titled “Walken Closet,” Kia says the commercial is intended to “spotlight the next-generation Optima as the vibrant alternative for those determined not to blend in.”

Although we won’t have access to the full commercial until after kickoff, the teaser provided by Kia shows a man wearing a beige suit asking his wife if she’s seen his beige socks. He continues his search in his closet, which is full of beige clothing. A that point, Christopher Walken (hence the Walken Closet spoof) holds up a pair of beige socks, asking “are you looking for these?”

Kia has positioned the Optima as a stylish alternative in the mid-size segment for the last several years, and it’s clear the automaker will play up that fact in its Super Bowl commercial. Kia is in the midst of launching an all-new Optima for the 2016 model year.

Kia is probably thanking its lucky stars that it hired Walked for its Super Bowl spot rather than its normal pitchman, NBA star Blake Griffin. The Los Angeles Clippers’ forward admitting this week that he broke his hand punching one of the team’s equipment managers.

Photos by Drew Johnson and courtesy of Kia.

Chevrolet has announced that it will introduce two new vehicles at the upcoming Chicago auto show. The Chicago unveilings will follow closely on the heels of the production debuts of the Chevy Bolt and Cruze Hatch, both of which bowed at the 2016 Detroit auto show.

First up will be a mid-cycle refresh for the Trax compact crossover. Introduced just 13 months ago, the Trax’s 2017 update is expected to be relatively minor, with just slight revisions to the CUV’s exterior and interior styling.

Chevrolet will also travel to the Windy City with a new 1LE performance package for its all-new Camaro. Set to become available for the 2017 model year, Chevy hasn’t dished out the details on its latest 1LE pack, but last year’s version included 20-inch wheels, sticky Goodyear Eagle tires, a performance suspension, a unique rear spoiler and a flat bottom steering wheel. The 1LE package should add about $3,500 to the Camaro SS’ bottom line.

Although not a new model line, Chevy will also show off its latest Midnight Edition package for its Colorado, Silverado and Silverado HD pickup trucks in Chicago.

The Chicago auto show will kick off on February 11.

Volkswagen’s emissions-cheating diesel software may have been an open secret within the company for nearly a decade, a new report finds.

Even after admitting late last year that nearly 11 million of its diesel-powered vehicles sold worldwide were equipped with “cheating devices” that allowed them to artificially pass emission tests, VW maintained that the illegal software was the result of a few rouge engineers. However, a new report from Germany’s Sueddeutsche Zeitung newspaper indicates that the cheat was an open secret within VW’s engine development department.

According to the report, which cites results from VW’s own internal investigation, staff and managers within VW’s engine development department came up with the idea of a defeat device in November 2006 as a way to meet the management board’s charge of selling a cost efficient diesel engine in the United States. Achieving that task within the boundaries of U.S. law wasn’t possible, so the software cheat was devised without informing VW’s upper-management or board members.

“Within the company there was a culture of ‘we can do everything’, so to say something cannot be done, was not acceptable,” Sueddeutsche Zeitung said, according to Reuters, quoting the VW internal report.

“Instead of coming clean to the management board that it cannot be done, it was decided to commit fraud.”

Those involved in the fraud would receive engine management software from supplier Bosch and then manipulate the code at VW’s headquarters in Wolfsburg, according to the findings.

It remains to be seen how many people were in on the cover-up, but it sounds as though the problem was more widespread than just a few people. If the entire department was in on it, the number of people in-the-know could have been in the hundreds or even thousands.

VW is expected to publicly reveal the finds of its internal investigation this April at its annual shareholders’ meeting.

Ferrari has delivered its first ultra-exclusive F60America to an eager buyer in the United States.

The company handed over the limited-edition supercar over the weekend amid a crowd of Ferrari collectors and enthusiasts gathered in Palm Beach for the Cavallino Classic.

“The car pays homage to American clients’ great passion for both the V12 engine and open-top driving,” Ferrari said in a statement. “The F60 America’s bodywork adopts the classic North American Racing Team livery, and the special Ferrari 60th Anniversary Prancing Horse badge on the wheelarches appears on the tunnel in the cockpit.”

The F60 is a convertible adaptation of the F12 Berlinetta, boasting a 6.3-liter V12 engine with no less than 730 horsepower and 509 lb-ft of torque. Despite the open-top gear, the F60 can match the F12′s 3.1-second zero-to-60 mph sprint.

The cockpit continues the ‘America’ theme with red leather and a Stars and Stripes motif on the seats. Occupants are protected by carbon-fiber roll bars, while the soft top can be deployed at speeds up to 75 mph.

All 10 examples have already been called for, each fetching $2.5 million.

Lamborghini has already hired 150 new workers to help put the Urus into production.

The company is celebrating a record sales year in 2015, propelled by the Huracan’s first full year of production. Despite strong performance from the Gallardo’s successor, the SUV is expected to eventually account for more than half of annual sales.

The Italian automaker is already preparing its factory for the significant launch. The new hires include assembly line workers, technicians and other skilled specialists.

“Not only will the production site double in size – from the existing 80,000 square meters to 150,000 square meters – but 500 further new staff will be taken on,” the company noted in its announcement.

Other new additions this year will include technicians working in quality control, research and development, purchasing, industrial and project management divisions, working alongside the technical production staff.

The SUV is expected to arrive in showrooms by the second half of 2018. Each could fetch around $200,000, though the company has not yet confirmed pricing or specific launch details.

Porsche’s next-generation Panamera sedan has been spotted undergoing shakedown testing in metro Detroit with a significantly revised interior.

Although the overall interior layout of the next Panamera should be familiar to Porsche fans, the execution of the sedan’s cabin is drastically different. In place of today’s button-riddled center console, the new Panamera will use a sleeker looking interface with touch-sensitive controls. It also looks like the Panamera’s center touchscreen area will loose a few physical buttons during its redesign.

The Panamera’s gauge cluster looks more or less the same, with a large tachometer front and center in true Porsche fashion. Buttons on the steering wheel remain conventional rather than of the touch-pad variety.

The exterior design of the Panamera will largely carryover from today’s car, but we see a little more 911-influence in its rear haunches. A smaller greenhouse gives the car a more sporting appearance.

The next Panamera will ride on a new platform that will also underpin some Bentley models. We hear a new V8 is in the works for the Panamera, as are new electrified powertrains. In addition to a sedan, it’s possible that the next Panamera could also be offered as a coupe and shooting brake.

Look for the all-new Porsche Panamera to make its global debut sometime this year before going on sale in 2017.