
DETROIT — Jeep's global vehicle sales fell nearly 1 percent to less than 1.4 million last year, and the brand is likely to miss its 2 million target this year, denting Fiat Chrysler Automobiles CEO Sergio Marchionne's ambition to make the brand a global powerhouse.
Jeep's 2017 deliveries dipped to 1,388,208 from 1,401,321 in 2016, according to FCA internal documents seen by Automotive News Europe. FCA did not release global sales for its brands, but Jeep boss Mike Manley said at this month's Detroit auto show that the brand's sales were "broadly flat" last year.
Jeep's decision to reduce unprofitable fleet sales in North America, its biggest market, hit the brand's volume. Jeep reduced U.S. fleet deliveries 60 percent, Manley told reporters at the show. Jeep's U.S. sales fell 11 percent to 828,522, according to the Automotive News Data Center.
In Europe, Jeep increased its vehicle sales in 2017 but at a slow pace despite fast SUV and crossover growth.
FCA has done a "lousy job" in Europe with Jeep, Marchionne said in Detroit. He is upset the Jeep Cherokee is not selling well in a growing segment. "If you look at the numbers of the Cherokee in Europe, we haven't done right," he said. "I have now run out of patience, so we will get it done."

In 2017, Jeep sold 131,051 vehicles in its Europe, Middle East and Africa region, of which Europe makes up the major part, according to the company's internal data. That was up 2,684 vehicles, or 2.1 percent. Registrations increased 3.5 percent to 108,155 in the European Union and European Free Trade Association markets, data from industry association ACEA show.
The Grand Cherokee was Jeep's No. 2 seller in Europe in 2017, with sales of 19,392, down 12 percent, according to FCA data. Cherokee sales slid 43 percent to 6,706. Sales of the brand's best-seller, the Renegade subcompact crossover, fell 4.7 percent to 79,123. Compass sales were 16,170, up from 1,372 following the introduction of a redesigned model.
Jeep's sales in its Asia Pacific region, including China, rose 36 percent to 240,901, company data show. Jeep will get a boost in China with the launch of the Grand Commander seven-seat SUV. The Cherokee-based model is expected to debut at the Beijing auto show in April.
FCA's business plan for 2014 to 2018 initially targeted 1.9 million Jeep sales globally this year, a figure later raised to 2 million by Marchionne.
In Detroit, Manley did not confirm the 2 million target. He said the reduction of fleet sales will continue this year. "We will look to our retail markets and see how much more they can make up," he said.
Marchionne said FCA has no intention of selling the Jeep brand to a Chinese automaker or other parties because it is counting on the marque to drive future profits. Jeep could account for one in five SUV sales globally, Marchionne told Bloomberg. That would equate to about 5 million deliveries a year.
Marchionne said Jeep missing the 2 million target for this year will not be a tragedy because financial targets are more important.
If Jeep misses the target by 50,000 Jeeps, "I will have a private discussion with Manley," he said. But if FCA as a group misses its €9 billion ($11.12 billion) operating-profit target, "I would have to discuss it publicly with analysts, and that wouldn't be a good discussion," he said.
Bloomberg contributed to this report.