Chrysler, the American carmaker has signed a $100 million deal with an Indian car seat maker to source seats for Jeep Wrangler. This seems like the beginning of Chrysler’s strategy to outsource auto components from Southeast Asia and thereby cut manufacturing costs in order to stay in business profitably. More components are likely to be outsourced in the near future, infact Chrysler officials have commented that they would like to have more buying from low cost manufacturing countries like India which are getting better and better on the quality front too. The Indian made seats will be fitted in the Wrangler vehicles being made at Chrysler’s Toledo unit.

Source: Reuters