VW to Phase Out Chrysler-Based Minivan

Volkswagen AG tells Automotive News it won't renew a contract for Chrysler Group LLC to supply a minivan for the German carmaker to sell in North America.

Jonathan Browning, CEO of VW's American unit, tells the newspaper that the slow-selling Routan minivan will be phased out this year. The company is widely expected to replace the vehicle with a midsize crossover based on the CrossBlue concept vehicle it unveiled in January at the Detroit auto show.

Chrysler stopped making the Routan a mildly restyled version of the Chrysler Town & Country and Dodge Grand Caravan minivans at its plant in Windsor, Ont., last July. Browning says remaining 2013 models are being sold to employees at a discount or added to the company's own fleet.

VW has sold fewer than 58,000 Routans since the vehicle debuted in 2008. U.S. volume peaked at about 16,000 units in 2010 and slipped to 10,500 units last year.