The European Union will give its approval to the Peugeot Chrysler Fiat merger, which is due to take place before the end of the first quarter of next year, the new world number four in the automobile industry is therefore in the process of being created. Daniel Fortin takes stock of a current economic issue.
It's almost official, Brussels should endorse the merger between PSA and Fiat-Chrysler, the new world number four in the automobile industry is almost born
It’s only a matter of days, but the information coming from the European Commission leaves no room for doubt, so it will be a clear and massive green light. What was still blocking was possible abuse of a dominant position in the commercial vehicle market. It should be noted that together the two groups hold 34% of the market for vans and vans in Europe. Apparently the few concessions they took to keep the competition going were enough. Everything is therefore ready for the wedding at 5O / 50 which must take place before the end of the next first trimester.
Rather, it is a happy event in these troubled times.
At a time when the pandemic threatens to once again block all economic activity, it may seem surreal that big business continues to advance. We are talking about the constitution of the 4th automobile group in the world, that is not nothing. It will have 16 brands in total, Fiat, Peugeot, Chrysler, of course, but also Citroën, Opel, Jeep, Alfa Romeo, Maserati. It's crowded and above all it shows that, from basic to luxury, it will be present across the entire automotive range. Latest figures alone, the new group to be renamed Stellantis, will sell 8.7 million vehicles worldwide for a turnover of 184 billion euros.
In any case, this is the marriage that should not be missed to stay in motor racing.
Everything could have turned upside down because of the epidemic, it will not be the case and all the better because no one is able to say how the auto sector like others will come out of this global crisis. We already knew that the regroupings were necessary to cope with the gigantic investments that will have to be devoted to the development of clean vehicles in the years to come. We can say that PSA increased its critical size at the right time. For France, having a national manufacturer at this level of competition is very good news.