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Chrysler exits Australian market

After years of declining sales, Chrysler pulls out of its last right-hand drive market

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Key Points

  • Chrysler to cease local operations at the end of 2021
  • Only the 300 sedan has been on sale since 2019
  • Manufacturer to focus on electrified vehicles

American manufacturer Chrysler has announced it is officially pulling out of Australia, signalling the end of right-hand drive sales for the brand.

After years of uncertainty for the Stellantis-owned manufacturer, Fiat Chrysler Automobiles Australia has confirmed it will cease to bring any further Chrysler-branded vehicles to the local market – with its remaining stock of 30 cars to be shifted before it exits the country.

Since 2019, Chrysler's sole offering in Australia has been the 300 sedan, with sales of the vehicle declining over the period, dropping from 292 units in 2019 to 152 year-to-date at the end of October 2021 as only 30 examples currently remain with dealers.

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Pre-global financial crisis, Chrysler's local sales peaked at 3610 units in 2006, as the first-generation 300C contributed to over half of the brand's sales and outsold rivals such as the Ford Fairlane and Holden Caprice, while only just missing out on the top spot in the executive category to the Statesman.

Other models have come and gone throughout Chrysler's modern tenure in Australia, such as the Sebring, Neon, Crossfire, PT Cruiser and Voyager – the latter of which was only dropped in 2019.

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Today's announcement marks the end of Chrysler's second adventure in the Australian market. The brand's first salvo began in 1951 with the formation of Chrysler Australia Ltd. Initially, Chrysler Australia assembled North American-built cars. The turning point for the brand came with the introduction of the Valiant in 1962, which was fully competitive with its Holden and Ford rivals. Australian production began in 1963 and wound up under Mitsubishi ownership in 1981.

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James Voortman, Chief Executive of the Australian Automobile Dealers Association, told Wheels Chrysler's decision was inevitable, but a lack of communication to its dealer network set the wrong tone.

"This is not a great surprise as the Chrysler brand has not sold in great volumes for a number of years," said Voortman.

"While most dealers will understand the rationale behind this as a business decision, some of them might have appreciated a bit more notice ahead of this announcement.

"The focus will now move to all of those people who have purchased a Chrysler vehicle here in Australia and the dealers will work closely with Stellantis to ensure these customers can continue to have their cars serviced and repaired by qualified technicians using genuine parts."

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FCA Australia has confirmed to Wheels its dealers will continue to operate as normal given only a handful still sell Chrysler products, with servicing set to continue as per usual throughout its dealer network, as FCA expects its entire base of staff in Australia to be retained off the back of the announcement.

FCA Australia's Managing Director, Kevin Flynn, said removing Chrysler from its portfolio allows it to focus on the electrified future of its remaining brands, as Jeep looks to transition towards electric vehicles over the coming years – a wider goal for Stellantis as a whole.

"We are very excited about this new era of mobility," said Flynn.

"Stellantis is dedicated to becoming the market leader in low-emission vehicles and committed to developing the most capable and sustainable high-performing and four-wheel-drive vehicles in the world.

"We have a hugely positive year ahead of us, focusing on electrification and moving into a very premium offering with our all-new, two- and three-row Jeep Grand Cherokee, as well as the PHEV Jeep Grand Cherokee 4xe. These models represent real advancements in terms of technology, luxury, efficiency and capability.”

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Lee Forward from Dontex Performance has been working on Chryslers and other Mopar cars for over a decade, developing his business within a niche community which has now lost a key pillar.

“I was into Holdens my whole life, but came over to the Mopar side about 15 years ago. The community sticks together and that’s what it’s all about," he said.

“The Chrysler community is very tight and very passionate – they’re enthusiastic and love their cars.

“I would say about 50 per cent of the customers who currently own Chryslers are previously Holden owners – they don’t have the opportunity to own a Holden V8 anymore so they venture into something else.

“Anything from 2012-2016 is quite popular but half of them are jumping out of Holdens and into the Hemi – they absolutely love them!”

“We’ve got about 30 to 40 Hemis here at the shop right now and there’s roughly 10 Chryslers.

“We’re a niche business and all we do is Mopar, so this hurts my business in the long term. Short term, I think there won’t be too many dramas over the next five years, but it still hurts because we’re all passionate about this brand.”

Chrysler's Australian annual sales

Sales per year
2000 2413
2001 2726
2002 2106
2003 2009
2004 2167
2005 2479
2006 3610
2007 3059
2008 2469
2009 1818
2010 1464
2011 580
2012 1359
2013 2676
2014 1657
2015 925
2016 965
2017 735
2018 250
2019 292
2020 198
2021 152
Jordan Mulach
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