Alfa Romeo D-day clock ticking

Alfa Romeo’s doomsday clock is ticking – and zero hour rapidly approaching. Next Tuesday morning AEST, the charismatic boss of Fiat Chrysler Automobiles (FCA), Sergio Marchionne, will announce his new blueprint for the brand, as well as other business objectives for the automotive group.

The announcement will come in the form of a new five-year plan for FCA which includes brands such as Fiat, Ferrari, Maserati, Dodge and RAM LCVs. It is tipped to include a significant expansion of the Jeep footprint both in terms of markets and models. At the premium end of the portfolio, volume plans for Maserati will continue and Ferrari will further separate itself from the rest of the portfolio. Question marks hang over Marchionne’s plans for Dodge and RAM.

But make no mistake – it’s the future of Alfa that is set to take centre-stage. The launch of a new range of rear and all-wheel drive models and an all-the-bells-and-whistles return to the US market are likely to take the lion’s share of the auto and business media’s attention next week.

Perhaps the most potent nascent auto brand on the planet, Alfa Romeo has been the subject of at least three previous revitalisation plans since Marchionne took over the reins of the Fiat Group in 2004. Marchionne is believed to have personally stopped at least one relaunch of the Alfa brand since Fiat and Chrysler joined forces following the latter’s bankruptcy five years ago.

Automotive News Europe (ANE) is claiming that key to Marchionne’s latest plan is a move to partition Alfa Romeo from the rest of the Fiat group. Under the proposal, like Ferrari, Alfa would become a separate legal entity and publicly report a stand-alone balance sheet.

The second leg of the relaunch could be a fiercely all-Italian strategy. At this year’s Geneva motor show Marchionne opined that design, engineering and production should all take place in Italy – the all-important building of the cars going some way to ameliorate the Fiat Group’s chronic over-capacity problems.

If this tenet is adhered to, the sportscar co-developed with Mazda (expected to be built with unique FCA engines and styling in Hiroshima) would almost certainly be a casualty – or, as reported, have to be launched under another brand name.

Last year, Alfa’s global deliveries collapsed 56 per cent to less than 75,000 cars – the lowest output for nearly 50 years. Over 70 per cent of those were the generally unloved Giulietta hatch.

It’s anticipated that an all-new car will replace the Giulietta, however, it’s unlikely Alfa will offer a new-generation MiTo.

Other new models with which the new Alfa can take on the key German premium brands, Marchionne’s expected targets, include mid-sized and large sedans and corresponding SUV offshoots in the compact and medium/large segments respectively. A high-spec executive-sized coupe and roadster are also in the business plan.