Chrysler, Nissan to make midsize cars

Chrysler, Nissan to make midsize cars
Chrysler LLC is in talks with Japan's Nissan Motor Co about jointly producing midsize cars, media reports said on Thursday.

In April, Chrysler and Nissan agreed that Nissan would build a small car for Chrysler using the North American automaker's design and Chrysler would build a new full-sized pickup truck for the Japanese automaker using Nissan's plans. Since then, the two companies have been discussing an agreement under which Nissan would produce midsize sedans that Chrysler would sell in the US under its own name, the reports said, citing people familiar with the matter.

Chrysler has been in touch with Nissan and is evaluating whether it makes financial sense to partner with the company, the reports added. "We continue to seek opportunities to work with Chrysler," said Nissan spokeswoman Pauline Kee.

Kee declined to confirm or deny the reports on midsize cars, while Chrysler did not immediately return calls seeking comment. Chrysler, the number three US automaker, is focusing its engineering resources on parts of the market where it is a strong player, mainly trucks, SUVs and minivans, the paper said, citing one person familiar with the company's strategy.

Chrysler has moved quickly since its acquisition by Cerberus Capital Management last summer to address an unfocused vehicle lineup and to answer customer complaints ranging from materials, interiors, noise and vibration.

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