Whoa, what? Are they serious? The news out of Europe is that Fiat and Peugeot/Citroen are thinking about merging? Most of the merger talk has been all in the US, mainly about who is going to marry Chrysler, but this one has come out of nowhere.
Fiat’s CEO, Sergio Marchionne, said that ” … the company would need to find another automotive partner to ensure the company’s survival in light of the recent economic downturn.” Hm, OK, that’s showing some foresight on his part, and also let’s you know just how deep in this mess we’re all in.
It seems that things are far enough along that political leaders in both France and Italy have held discussions on the matter. This, of course would be a necessary step, since both the Italian and French governments are part owners of Fiat and PSA (the conglomerate that contains Peugeot-Citroen).
The marriage isn’t without precedent, since the companies have worked together in the past such as the recent Peugeot Boxer, CitroÃ«n Jumper and Fiat Ducato vans. Also, if the merger takes place, the resulting company would be the fourth largest automaker in the world, with an output rivaling Volkswagen and Renault-Nissan.