| 9:12 AM EST

Merged FCA-PSA Would Maintain Current Brands

Fiat Chrysler Automobiles and PSA Group plan to maintain all current brands under their proposed merger, PSA CEO Carlos Tavares tells French television station BMF Business.
#Peugeot #Dodge #AlfaRomeo

Share

Facebook Share Icon LinkedIn Share Icon Twitter Share Icon Share by EMail icon Print Icon

Fiat Chrysler Automobiles NV and PSA Group plan to maintain all of their current brands under their proposed merger, PSA CEO Carlos Tavares tells French television station BMF Business.

The companies currently operate 13 marques, including performance sub-brands such as Abarth (Fiat) and DS (Citroen), with combined annual sales of 8.7 million vehicles. FCA has eight mainstream nameplates (Alfa Romeo, Chrysler, Dodge, Fiat, Jeep, Lancia, Maserati and Ram), while PSA consists of just three: Citroen, Opel/Vauxhall and Peugeot.

Analysts have speculated that the combined operations likely would consolidate some brands to cut costs and minimize intra-company competition.

But Tavares, who is due to become CEO of the merged company, doesn’t see any immediate need to do so. Citing their individual strengths and “fabulous” histories, he says continuing the various brands would provide a foundation for a new FCA-PSA to “project ourselves into the future.”

The proposed deal announced last week promises to save an estimated 3.7 billion ($4.1 billion) per year. Tavares affirms there are no plans to close any assembly plants, but he didn’t rule out future job cuts as part of industry-wide pressures to boost productivity, invest in new technologies and meet stricter regulations.

Related Topics

RELATED CONTENT

  • Insight: The Toyota Product Development System’s Implementation Challenges

    For conducting business in the U.S. market, Toyota has historically had several separate business entities: a sales and distribution company headquartered in California (Toyota Motor Sales, USA); manufacturing operations (Toyota Motor Manufacturing North America); a racing subsidiary (Toyota Racing Development, USA); the Toyota Technical Center for R&D in Ann Arbor; and a design facility in California (Calty Design Research, Inc.). On April 1, 2006, Toyota merged its R&D operations and its manufacturing operations into a single company.

  • GM Faces Lawsuit Over Faulty 8-Speed Transmission

    A class-action lawsuit has been filed against General Motors Co. over claimed flaws in the company’s 8-speed automatic transmission used in 2015-2019 model rear-drive vehicles.

  • Designing the 2019 Ram 1500

    Ram Truck chief exterior designer Joe Dehner talks about how they’ve developed the all-new pickup. “We’ve been building trucks for over 100 years,” he says. “Best I could come up with is that this is our 15th-generation truck.”