Fiat CEO Sergio Marchionne will remain the head of ACEA industry organization

Article by Christian A., on October 1, 2012

Fiat CEO Sergio Marchionne and Volkswagen CEO Martin Winterkorn shook hands as they emerged from a meeting of the ACEA industry organization at the Paris Auto Show, signifying that they’ve settled their argument over car-industry strategy. This meant that Marchionne would remain as head of Europe's main automotive lobby group.

Winterkorn told journalists that he has "settled things” with Marchionne, a good friend of his for many years now. Last Thursday, Marchionne that he is ready to resign as head of the ACEA if the board no longer supported him. Within the last few months, Fiat and VW had both made threats to withdraw from ACEA over Marchionne's leadership of the organization.

VW became upset when Marchionne urged Europe's carmakers to cooperate in reducing production due to a market contraction. Marchionne said after the meeting that the ACEA board agreed all member companies would each make their own decisions on matters such as plant closures. Marchionne clarified that there is no common position on this matter at ACEA, aside from managing the regulatory issues.

Volkswagen, which got a boost from its high sales in China as well as from the high demand for its premium marques like Audi, is increasing its share amid the worst European car market in 17 years. Volkswagen was able to accomplish this by offering discounts and financing packages that its rivals in France and Italy can't possibly match.

Last July, VW's chief spokesman Stephan Gruehsem claimed that Marchionne was not qualified to head the ACEA. He threatened to leave the organization after a New York Times article implied that Marchionne considered VW's pricing strategy as the cause for the "bloodbath" in Europe.

If you liked the article, share on:

Comments

Recommended

You probably heard about Ford’s CEO Mark Fields’ departure from the company. Fields has spent almost three years with the company, and now, he is going to be replaced by...
by - May 28, 2017
A racing team is claiming that it has managed to break the lap record in its category in the ever-demanding Nurburgring circuit in 2016 while driving a road-going Volvo S60...
by - May 27, 2017
Aside from the officially confirmed BMW 8 Series, the next generation BMW M5 (F90) is getting a lot of attention from the fans, enthusiasts and even potential customers around the...
by - May 27, 2017
Automobili Lamborghini’s preparations for the production of its first ever sports utility vehicle, the new Lamborghini Urus, has reached new grounds as the Italian carmaker is disclosing plans to construct...
by - May 26, 2017
The upscale version of the GMC Yukon body-on-frame sport utility vehicle – the GMC Yukon Denali – has been refreshed for the 2018 model year. It now sports a new...
by - May 26, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries