No. of Recommendations: 2
It is true that some of Chrysler’s sales would have gone to Ford or GM, but some (perhaps significant) portion could have landed at Japan (or Germany’s) doorstep.
As you said, the US limited imports, a bit more than a year after Chrysler was bailed out. There was more at play than that. Foreign brands did not offer the broad slate of models they do now. Most offerings were quite small, and would not meet the needs of someone who had been buying a US "compact" or larger.
Of course, the "big three" don't want to sell small cars, because the ATP and GP are low. Ford Motor announced their earnings today. Even though their unit sales fell, the model they dropped last winter, the Escape, had below average ATP and GP. Without that drag on Q2, their profits were "better than expected". "Favorable mix" is the term for manipulation of earnings by systematic culling of the product line.
Steve