Fiat and PSA merger decried as serving almost no purpose

📆 12/08/1398 05:59 ب.ظ
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Most vehicle makers rely on China for growth — despite that country’s slowing demand for cars — but FCA and PSA have a tiny presence there

Combination of Fiat Chrysler Automobiles logo and that of PSA. Picture: AFP/DANIEL ROLAND AND HAROLD CUNNINGHAM

While rivals such as Volkswagen , Toyota Motor and General Motors have relied on China for much of their growth for years, PSA and FCA have made little progress in the country of almost 1.4-billion people. Even as demand in China is slumping now, the country’s size makes it a crucial market. Reasons for the two car makers’ sluggish performance are rooted in their management and competitiveness, which means a potential combination could make things even more complicated, said Cui Dongshu, secretary-general of industry body China Passenger Car Association.

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