The merge of the century in the global car industry

The first discussions began at the end of 2018. They continued in the spring of 2019. It was the Peugeot – Citroen Group that insisted on conducting this dialogue with FIAT – Chrysler Automobiles (FCA), despite the failure of the first two contacts.

In June, Renault suddenly came into play, but while everything seemed to be possible, everything was canceled at the last minute.

Since Wednesday, October 30, however, it seems that the merger of the century in the European car industry has entered a phase of implementation of pre-marital vows.

We are talking about the “marriage of the century” because even the acquisition of Opel by PSA was a smaller business.

Business-friendly French-Italian cooperation means that the fourth largest automobile industry in the world is at the forefront.

Emblematic brands like FIAT, Alfa Romeo, Citroën, DS, Chrysler, Jeep, Opel, Peugeot and Maserati will all be under the same roof. Opposite this hub will be the three competitors in the car industry: Toyota, Renault-Nissan and the Volkswagen Group.

They gave their hands up at midnight

Members of the Board of Directors Groupe PSA and FCA gave their hands to the extraordinary meeting late Wednesday night. The two groups will be merged into a joint venture. Their goal is to build a global leader in the automotive industry, addressing the challenges of the new era.

As stated in the official announcement, each side will have a share of 50%. The merger of the two colossuses will create the fourth-largest group of vehicles, with revenues of 170 billion euros, profits of 11 billion and sales of more than 8.7 million cars. John Elkann and CEO Carlos Tavares will chair

It is a strategic move by the two companies to change the world of automotive data, with the French group taking advantage of FCA’s strong presence in North and Latin America, and Fiat Chrysler’s PSA dynamics in Europe.