America’s ‘Big Three’ carmakers, located in the ancestral home of the mass-produced automobile - Detroit, Michigan - have had a hard time over the past several years, and especially the last several months. All have reported losses in the billions at some point, with sales dropping precipitously - by as much as 25% in a single month - thanks to outdated lineups and a lack of fuel-conscious small cars. Chrysler’s report of a $515 million lost for the first quarter doesn’t provide much hope that things are soon to change, but it’s not as bad as rival Ford’s $8.7 billion second quarter loss.

Chrysler is developing a new range of vehicles for one of the most competitive automotive segments in the world, the midsize D-segment, currently dominated by the likes of the Toyota Camry and Honda Accord. Its current offerings in the segment - the Dodge Avenger and Chrysler Sebring - are outsold by its Japanese rivals by a ratio of nearly four-to-one globally, but Chrysler thinks it can crack the tough market.

Chrysler has announced it will undertake major changes to its product lineup in order to compete on the world stage. The strategy outlined by its executive VP for product development, Frank Klegon, reveals a car company struggling to adapt to a changing world market but with potential to change its past performance.

Nissan and Chrysler today announced a new partnership, which will see the two carmakers build vehicles for each other for sale in the U.S., Europe and other markets by 2010. Nissan will produce a unique version of its Tiida compact for Chrysler, which plans to sell the car in North America, Europe and other global markets by the end of the decade. Chrysler will supply Nissan with a full-size pickup that’s set to go on sale in North America in 2011.