Automotive News reports Ram will not build a competitor to the new Chevrolet Colorado and GMC Canyon. CEO Bob Hegbloom told AN he can't make a business case for building a smaller pickup. Hegbloom said buyers look for four things in the mid-sized truck market: less capability, a smaller foot print, a smaller price tag, and better fuel economy. He said that while he's able to deliver on three of those four, besting the Ram 1500's fuel economy is an expensive proposition.

Right now, the Ram 1500 EcoDiesel is good for 29 mpg highway. In order for Ram to make a mid-sized pickup, the truck would need to land in the 35 mpg highway range for it to make sense. That would require plenty of fuel-saving technology, which would run up the price tag in turn. In short, you'd have what GM has with the Canyon and Colorado: a mid-sized truck that oversteps the price point of its larger siblings.

Via Automotive News

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