PSA Says FCA Merger Will Help Both Crack The Chinese Market

The chief executive of PSA Group, Carlos Tavares, believes that the French car manufacturer’s merger with Fiat Chrysler Automobiles could help both companies make progress in the competitive Chinese market.

In a move that surprised the industry in late October, it was announced that FCA and PSA Group will combine their respective businesses to create the fourth largest OEM in the global automotive industry. Confirmation of the merger came just a few months after the collapse of a proposed merger between FCA and Groupe Renault.

While recently speaking with Auto News about the merger, Tavares said that the two companies “are very complementary on technology and very complementary on geography” and that by working together, they can make in-roads into China.

A Game Changer: FCA And PSA Tell Employees Merger Is Just A Few Weeks Away

“At least for PSA, I can recognize that we haven’t achieved very much in China,” Tavares acknowledged. “But if we come together, it could give us a lever to get things done there. The fact that we would be together would, perhaps, open other doors, or different doors, than the ones we could open alone.”

Tavares failed to offer any more details about how the merger could help FCA and PSA pursue greater sales across China.

Nevertheless, he did say that the car manufacturer is also investing a lot of time into other endeavors, namely ensuring that it complies with new European Union CO2 regulations that will limit fleet emissions to 95 grams per kilometer from January 1, 2020.

“We have a very precise process. I can’t say a lot about it because it’s highly competitive, but it involves our production, our order book and making our dealers actors in what we are doing, not just followers,” he said. “For us, it’s an ethical matter [to meet CO2 targets], not just a financial matter. Our employees’ children might ask them someday, “What did you do to fix the global warming issue?” So they want to say that despite working at a car company, they are contributing — and working really hard — to address global warming.”

more photos...
Jeep Cottoni Is A Conceptual Proposal For A More Lifestyle Orientated Pickup Truck

The Jeep Cottoni pickup is more road-oriented than the Gladiator.

2020 Peugeot e-2008: A More Practical Hatchback With Electric Power?

With an edgy design, nicely-built cabin, 136 HP and zero emissions, the electric 2008 seems interesting.

Tesla’s China-Built Cars Are Now Eligible For Local Subsidies

The Model 3s made in Shangai’s Gigafactory will be cheaper by as much as $3,500 .

VW Touareg Gets Cheaper To Buy In The UK, Starts From £45,445

VW is introducing a new base SE trim level for the Touareg, in addition to two other versions.

Facelifted Audi Q2 Looks Like A Cute Snow Bunny In Sweden

The new Audi Q2 will benefit from updated front and rear fascias and restyled head- and taillights .

Aston Martin Opens “Pivotal” St Athan Plant In Wales, Home Of The DBX

Aston Martin’s second assembly plant will start building the DBX SUV in Q2 2020.

Ken Block Puts His Ford Escort Cosworth Through Its Paces In The Swiss Alps

Ken Block’s new Escort Cosworth was built from the ground up after his original was destroyed last year.

Watch The SCG Boot In Action During The Brutal Baja 1000

SCG will start delivering the production version of the Boot to customers next year.

It Never Ends: John Cena’s 2017 Ford GT Bound For Auction Once More

John Cena’s infamous Ford GT could soon get its fifth (!) owner in a little over two years.

Watch As Armed Thieves Lead Police On Chase Driving Stolen UPS Truck

Police opened fire on the UPS truck after traffic ended the chase; the end result was four people dead…