Marchionne says FCA open to collaboration with competitors image

Fiat Chrysler Automobiles Chief Executive Sergio Marchionne acknowledged that even though his company is not engaged in merger talks with any rival, it has opened negotiations with rival automakers on the prospects of shared vehicle development.

Marchionne, as he called on the governments – and in particular the White House – to ease fuel economy targets and emissions thresholds, said that FCA is talking with other carmakers on sharing development costs of vehicles and technology designed to lower greenhouse gas emissions. “I think (automakers’) costs … (are) well in excess of what I consider a mature industry to be able to afford,” Marchionne said on the sidelines of the 2015 North American International Auto Show in Detroit. According to the executive, because gasoline prices have fallen towards the $2 a gallon in recent weeks the customers have little incentive to pay more money for the unnecessary advanced fuel-saving technology. But the US government has nevertheless asked automakers to have a corporate fleet average of 54.5 miles per gallon of gasoline by 2025.

When asked about other subjects, Marchionne said that even though Ferrari is getting ready to become an independent brand and will undergo an IPO (initial public offering) during the second quarter of the year, the ultra-luxury sports car manufacturer “will always sell one less Ferrari than the market wants,” paraphrasing the words of Enzo Ferrari, thus dismissing rumors that sales could greatly grow following the spin-off. Marchionne is not only FCA’s chief executive, but also acts as Ferrari’s chairman.

Via Reuters