The automaker filed a one-sentence notice with the U.S. Securities and Exchange Commission earlier today, signed by Chief Financial Officer Richard Palmer, announcing the decision.
Chrysler had sought funding under the Advanced Technology Vehicles Manufacturing loan program since shortly after it was first approved by Congress in 2007. The $25 billion program repays automakers for money that they have already expended to upgrade older plants in order to build more fuel efficient vehicles.
In a written statement, the automaker said the decision to withdraw its request “will not impact Chrysler's ability to achieve its previously announced business plan targets.”
Earlier this month, Chrysler-Fiat CEO Sergio Marchionne expressed frustration with how long it has taken for the government to make a decision on Chrysler’s request.
The automaker has lowered what it has requested to below $3.5 billion, although the CEO did not say how much it was still seeking. He said not getting approved for the loan “will put us in a very, very uncompetitive position against the other two [automakers] in Detroit.”
Marchionne said of cross-town rivals Ford Motor Co. and General Motors:
"One blocked DoE funding and the other one was using equity capital, which is probably even a better substitute than DoE funding at a lower rate. So I'm the only guy who is sitting over here that pays back everything with interest and I am sitting over there and I don't want to be favored, I just don't want to be mistreated.”
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