Fiat Chrysler Automobiles, the third largest US automaker and the world’s seventh biggest, has long been rumored to seek additional combinations or partnerships after last year’s merger completion.
While the numerous rumors surrounding a possible merger, combination or partnership usually suggested FCA would have great chances at linking with a European carmaker – such as VW AG – it appears that the company’s chief executive officer Sergio Marchionne would instead lean towards an open combination with General Motors or Ford, its largest US rivals – calling such a move to be “technically feasible.” “We don’t have any restrictions,” commented Marchionne on the sidelines of the Geneva International Motor Show. “There’s bantering that goes on all the time” he added, when journalists asked if they have ongoing negotiations with Gm and Ford. He also said that for now there is “nothing substantive” and any agreement would hinge on “saving the highest amount of capital” when jointly developing future models.
Marchionne, the chief executive of Fiat Chrysler Automobiles and chairman of the soon to be spun off luxury automaker Ferrari, has long been known as an architect of mergers – including the one that united Italy’s Fiat SpA to America’s Chrysler Group LLC. He is also well known for its desire to see further consolidation in the auto industry. His vocal ideas on the matter center around the rising costs of researching and developing cleaner cars and adding autonomous features – while the pressure on the traditional automakers has been heightened by the danger of having technology giants such as Google and Apple middle in the auto industry.