As President Barack Obama rides about Washington in his new custom-made Cadillac, he should remember that the men and women who furnished his stylish ride need to hear from him, and soon.
The domestic auto industry's outlook is brightened only modestly by Chrysler's announced partnering with Italian automaker Fiat. It's a reasonable move for Chrysler, offering an opportunity to diminish the company's historical reliance on minivans and Jeeps. Fiat's strength in small cars and high-end nameplates will bring balance in exchange for a 35% stake in Chrysler.
But Fiat's reluctance to invest the first euro of its own money in Chrysler is telling. So is the unhappy history of Fiat's short-lived partnership with GM, which began with a similar vision of geographic and segment synergy.
Chrysler's desperate need for cash persists, and some doomsayers suggest its alliance with Fiat could even exacerbate that predicament by triggering a repayment provision in the terms of its emergency loan from Uncle Sam. In any event, the Fiat partnership does nothing to address Chrysler's immediate problems.
Equally ominous is UAW President Ron Gettelfinger's warning that it will be "almost impossible" for the Big Three to meet the Feb. 17 deadline the Bush administration ordained for the delivery of detailed restructuring plans. The new administration shouldn't wait three weeks to find out if this is more than hyperbole.
Appointing a car czar with broad, proactive authority should be a priority on par with tackling the foreclosure crisis. It's also consistent with the new president's commitment to fiscal transparency and more energy-efficient automobiles.
In his inaugural address, Obama warned that "our time of putting off unpleasant decisions ... has surely passed." That is doubly true in the auto industry, and the new administration should seize the initiative now.
This story posted by LeaseTrader.com, the automotive service company that lets people transfer out of their Car Leases early. If you're looking to swap a lease or transfer out of your car lease, please visit www.leasetrader.com