Chrysler's Neon in Japan

05/21/96

Chrysler's right-hand drive Neon won't go on sale in Japan until June 15, but analysts are already wondering how the little car will do there. When the Neon premiered in Germany in 1993, media reports called it the "Japan killer," because it was expected to undercut the price of most Japan-made cars.

The Neon will have a tougher time in Japan than it had in Germany, however: Chrysler has only 200 sales outlets in the country (versus 5,600 Toyota dealerships), many Japanese cars are available at the same price range, and Japanese vehicle buying trends have swung toward recreational vehicles.

The 1996 sales target for the first right-hand drive passenger car in Chrysler's line-up is 4,000. Chrysler will price the Neons starting at $12,200. A fully equipped Toyota Corona sells for $18,400 in Japan, while a 1.3-liter Corolla with dual air bags and anti-lock brakes sells for about $8,600.

Chrysler plans to launch right-hand drive versions of two other vehicles later this year: the Jeep Wrangler sport utility vehicle, and the Voyager minivan.

Paul Dever -- The Auto Channel