Report: GM, Fiat talked about a merger of their European operations

Article by Christian A., on March 12, 2012

A Wall Street Journal report cited sources who said that there had been a “brief” discussion between General Motors and Fiat about a merger of their European operations earlier this year. The WSJ report cited insiders who divulged that the talks were attended by the CEOs of GM and Fiat, Dan Akerson and Sergio Marchionne.

They also said that the discussions didn’t reach board level. During that time, GM was also engaged in talks with PSA/Peugeot-Citroen that resulted in an alliance. The source said that Fiat hoped to convince GM that it would be a better partner than PSA. The WSJ said that any chance of a deal between GM and Fiat disappeared after GM's agreement with PSA was announced last month.

Last Tuesday, Marchionne said that Fiat was open to the prospect of entering partnerships with anyone, even with the recently formed tie-up between GM and PSA. Presently, Fiat and PSA have an existing joint venture to produce small commercial vans in Italy.

GM and PSA have entered a global alliance to attain a drop in annual costs of at least $2 billion and to avoid plant closures or job cuts in Europe. The paper believes that the talks are proof of a rising interest among car companies to resolve common issues by coming together.

If you liked the article, share on:

Topics: gm, fiat, europe

Comments

Recommended

Volkswagen is introducing its smallest sports utility vehicle so far, this further expanding its SUV lineup. With the new and tiny Volkswagen T-Cross, the German carmaker is taking advantage of...
by - November 9, 2018
Here is good news for those who were lucky enough to place an order for the only 10 exclusive examples of the Apollo IE hypercar. Apollo Automobil, in collaboration with...
by - November 8, 2018
SEAT SA is commencing production of an all-new car at its Martorell facilities in Spain. However, its plant won't be assembling a new SEAT car. The Spanish carmaker is now...
by - November 8, 2018
BMW calls the new 8 Series Coupe as the redefinition of the sports car. A more powerful performance version is expected to follow soon in the persona of the BMW...
by - November 8, 2018
If you happen to be visiting or are planning to visit the Nurburgring Nordschleife in Germany, you can take on limited-run offer from Jaguar to experience the so-called Jaguar Race...
by - November 7, 2018