By Matthew Roscoe • 21 December 2020 • 13:40
THE European Union (EU) on Monday, December 21, conditionally approves the mega-merger of car giants Fiat Chrysler (FCA) and Peugeot Citroen (PSA), after the firms agreed on commitments to overcome competition fears.
“The approval is conditional on full compliance with a commitments package offered by the companies,” the European Commission said, in a statement.
The merger is set to be the world’s fourth-largest automaker in terms of volume, and number three in terms of sales with the two giants pledging to extend the cooperation agreement between PSA and Toyota for light commercial vehicles.
The agreement is also pledged to facilitate the access of competitors to the repair and maintenance networks of PSA and FCA for these types of cars, according to a statement from the European Commission.
The merger of PSA and FCA, announced at the end of 2019, will unite brands such as Peugeot, Citroen, Fiat, Chrysler, Jeep, Alfa Romeo and Maserati into a global giant, each of which will continue under its own marque.
“We are in a position to authorise the merger between Fiat Chrysler and Peugeot SA, as their commitments will facilitate the entry and expansion in the market for light commercial trucks,“ EU competition chief Margrethe Vestager said.
“In the other markets in which both automakers operate, the competition will continue being supported after the merger.”
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Originally from the UK, Matthew is based on the Costa Blanca and is a web reporter for The Euro Weekly News covering international and Spanish national news. Got a news story you want to share? Then get in touch at [email protected]
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