Ridenour also said clean diesel engines and a hybrid SUV, a Dodge Durango, are on the way. The auto maker is also offering a Jeep Grand Cherokee Common Rail Diesel this fall that can run on biodiesel fuel.

"Gas prices are sending some consumers away from high-profit trucks and large SUVs to cars and compact SUVs," Ridenour said in the prepared remarks. "For auto makers that have relied on those high-margin products for their bread and butter - like the Chrysler Group did in the past - the shift to smaller and more fuel-efficient vehicles is serious business."

He said the Chrysler Group plans to "leverage the diesel expertise" of its sister Mercedes-Benz division, noting that 42% of passenger cars sold in Europe have diesel engines. Diesel engines, on average, have 30% better fuel economy than gasoline engines.