Jeep and Citroen could soon be part of the same automotive conglomerate
Groupe PSA and FCA enter talks to join forces for sustainable and autonomous mobility.
The merger would bring over 10 brands across many segments under one umbrella.
Groupe PSA to enter Indian market with a Citroen model in 2021.
FCA already sells Fiat, Abarth, Mopar, Jeep & Maserati brands in the country.
A range of automotive conglomerates have been coming together recently to work on sustainable mobility, especially when it comes to electrified powertrains and autonomous transport technology. The latest announcement comes from Groupe PSA and Fiat Chrysler Automobiles (FCA) and if their merger goes through, the combination would become the 4th largest global OEM in terms of unit sales.
The proposed merger states that shareholders of each company would own 50 per cent of the new group. Its board of directors would comprise of 11 members, 5 nominations each from FCA and Groupe PSA, while the CEO would be Carlos Tavares (current CEO of Groupe PSA) for the first five years.
Some of the key brands under the FCA umbrella include Jeep, Fiat, Dodge, Alfa Romeo and Maserati. Meanwhile, Groupe PSA is a french automotive conglomerate comprised of Peugeot, Citroen, DS, Opel and Vauxhall.
Groupe PSA is poised to enter the Indian market with the Citroen brand by 2021 in collaboration with the CK Birla Group. The only FCA brands that are operating domestically in India are Fiat, Jeep, Abarth and Maserati. It will be interesting to see how the India-specific plans for both automotive conglomerates may be affected if the proposed merger comes to fruition.