Peugeot and Fiat Chrysler combine forces in new £38 billion deal

There will thankfully be no factory closures

40w ago

34K

Two mega car manufacturers, Peugeot and Fiat Chrysler have just agreed to a £38 billion merger deal which will make them the fourth largest auto manufacturer in the world.

The two companies, also known as PSA group and Fiat Chrysler Automobiles have decided to merge due to saving money essentially. Along with this, there will be no factory closures which is good thing for over 1,000 workers at the PSA Vauxhall factory in Ellesmere Port.

Concerns were raised when the merger was first hinted at that a large number of employees would be under threat. However, the company are yet to confirm which manufacturing plants will be involved in the merger.

Photo: Vauxhall

Photo: Vauxhall

Earlier in the year Fiat Chrysler attempted a merger with Renault, but this plan was duly cut short after the French government, which owns 15% of the marque, staged an intervention.

Due to their sales in 2018, the two companies will make a combined revenue of £170bn and operating profits of £11bn. The new name is yet to be announced, but what about Peuiatysler, or maybe just Peu? This is why I am not in charge of naming car companies...

It will be very interesting to see what they come up with. Only time will tell.

What do you think of this interesting partnership?

Join In

Comments (37)

  • Hoping the latent boredom that is the Peugeot/Citroen line-up doesn't translate into the FCA part of the deal.

      9 months ago
    • Let’s hope!

        9 months ago
    • And the current Chrysler range is any more exciting?

      Fiat has the Mazda built 124 which will probably get dropped next year, and the 500 based Abarth models. Alfa, has the Giulia. And that’s really it.

      Peugeot (ironically) probably has...

      Read more
        9 months ago
  • No factory closures yet... For any merger to be a sucess the overlaps from the two existing entities will need to be eliminated.

      9 months ago
  • Shame that they seem to have bizarrely decided to kill off all of the interesting Alfa projects.

      9 months ago
  • As a long time Fiat nut it has been sad to see the lack of product development across the various market segments. One can only hope some platform sharing sees a flush of new models which are appealing to the market.

      9 months ago
  • Just had a thought. The Fiat Chrysler group have hold of Dodge, and Groupe PSA have Vauxhall. Now I'm not listening to any environmentalists so don't bother if you are one. But if they're snidey enough, Vauxhall could have quiet talks with Dodge to revive their Muscle Car days. Which they did before with Holden (TWICE actually, with the Monaro and the Commodore/VXR8.) and maybe for example, Vauxhall could have a badge engineered Challenger which they could call...(I don't know, the VXR Triple 8 maybe??). I'm all in for this!

      9 months ago
    • I thought of that too. But more from Opels perspective, since Vauxhalls are nothing but rebadged Opels and this was also the case back when they still sold V8s in Opels/Vauxhalls.

        9 months ago
Loading...
Loading...
37