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"The Most Difficult Problem." Hardly had Chrysler announced this peacetime goal when the Army abruptly bugled for attention. It gave Chrysler another goal—for war. Chrysler got a $99 million contract to build the nation's first heavy tanks since World War II.
The Acmy wrapped details in secrecy, but estimates were that the newly designed T-43 tanks would weigh up to 60 tons, be able to withstand the deadliest known antitank weapons. The T-43's own guns are automatically directed and controlled. Said Brigadier General David J. Crawford, boss of the Army's tank program: "They should outslug any land fighting machine ever produced." Since Chrysler already had a contract for a new 45-ton medium tank (TIME, Jan. 15), the new contract brought the corporation's total tank orders to $259 million, and total arms orders to more than $500 million. Chrysler, which, outside of the Army, was the biggest U.S. tankmaker in World War II (25,507 produced), looked as if it were destined to become the biggest private tankmaker once again, t
To do the tank job, Chrysler will build a new plant at Newark, Del., close to one of its parts plants there, and accessible to the Philadelphia labor market. Reason for the new building: no available plant is strong enough to support the overhead cranes as they swing the heavy tanks down the assembly line. Nevertheless, new plant and all, Chrysler expects to be producing tanks by fall. Said General Crawford: "This is the most difficult problem ever given private industry."
To power the tanks, Chrysler last week got a war order for $100 million worth of Continental-designed engines. It will make them in New Orleans' huge Higgins, Inc. (boats) plant. For another big war order—Pratt & Whitney J-4,8 Turbo-Wasp jet engines for Navy fighters—Chrysler will have to build another plant. Because cutbacks in auto production, brought on by material shortages, have already thrown thousands of workers out of their jobs in Detroit, Chrysler would build the plant near Detroit and put some of the idle hands to work. Chrysler was already producing special Army trucks, only six months after getting a $92 million order.
In most ways, Chrysler Corp. was in better shape than ever before to handle its multiple burdens of peace & war. Working capital has increased more than 15-fold (to $375 million) in the company's 25 years; net worth has soared from $37 million to more than $509 million; capacity was increased 33% since World War II (and is being boosted another 30%). Despite a three-month strike last year, the company turned out 1,385,000 cars and trucks in nine months—more than any other full year's output. Earnings hit a new peak (an estimated $150 million v. 1949's $132 million).
But in one important respect, Chrysler looked weaker. Within three years, no fewer than eight members of its top echelon—the men who made Chrysler what it is today—will retire. Their departure will mark the end of the second generation of the auto industry.