We are happy to talk, but we can go it alone, says FCA

We are happy to talk, but we can go it alone, says FCA

Even as talk continues about a proposed Renault and Fiat Chrysler Automobiles (FCA) merger after it fell through the first time around, FCA says that while it is happy to talk about potential alliances with other carmakers, it is capable of going it alone. According to FCA CEO Mike Manley, the automaker has a solid future and clear plans that are being invested in and are underway, Reuters reports.

“That isn’t to say if there is a better future through an alliance or partnership or merger, we wouldn’t be open and interested to it,” he said, but added that Renault is not the only potential partner for the company. “To say are they the only opportunity, the answer to that question would be a definitive ‘No,’” Manley stated.

He said that automakers are not the only potential partners. “There are cooperations that can help in specific technologies. There are cooperations as we think about the consumer-car interface. You could see collaborations that never would be there in the past,” he explained.

We are happy to talk, but we can go it alone, says FCA

In June, FCA withdrew its merger proposal with Renault after French government officials intervened in the talks and sought to delay a decision on the deal. Subsequently, there has been a fallout between alliance partners Renault and Nissan, and strong undercurrents suggest that patching up will require much time and a whole lot of effort.

Last week, the Wall Street Journal reported that Nissan and Renault are trying to reach a deal to reshape the alliance in hopes of reviving Renault’s merger talks with FCA. The Yokohama-based carmaker wants Renault to reduce its big stake, according to emails seen by WSJ and people briefed on the talks.

The automaker’s North American business remains in good health thanks to the strong performance of the Ram and Jeep brands, but it faces continued challenges in other markets. While its Europe, Middle East and Africa operations were marginally profitable in the second quarter last year, it still needs to gain scale and plug gaps in its model line-up, especially in Europe.

We are happy to talk, but we can go it alone, says FCA

In the Fiat brand, Manley said the company has “the oldest fleet in Europe.” The company is looking to improve profitability on the Continent by expanding its Jeep sport utility vehicle lineup, launching a redesigned Fiat 500 line – including electric and hybrid models – and adding larger vehicles to the Fiat range, he said.

Another challenge is with Maserati, which lost money through the first half of 2019, in part because of write-downs related to under-performing leases. The company has said it plans to sell down inventories of models during the remainder of this year, and is set to overhaul its product line-up, starting with a new model in Geneva next year.

As for China, the automaker’s restructuring of its alliance with JV partner GAC Group is set to reduce costs, and Manley said there are plans to add more Jeep models beyond the three vehicles it has localised for that market.

Looking to sell your car? Sell it with Carro.

10% discount when you renew your car insurance

Compare prices between different insurer providers and use the promo code 'PAULTAN10' when you make your payment to save the most on your car insurance renewal compared to other competing services.

Car Insurance

Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • Fordish on Aug 05, 2019 at 3:59 pm

    Geely collab FCA Maserati a better hope alliance.

    Like or Dislike: Thumb up 2 Thumb down 1
  • Jeremy on Aug 05, 2019 at 3:59 pm

    Either FCA didn’t came out with the merger proposal but was Renault that initiated, or FCA didn’t want to get sucked into this automotive Game of Thrones being played out. Like GoT, most are waiting to see who will more likely survive the culling before rooting for them.

    Like or Dislike: Thumb up 3 Thumb down 0
  • seancorr (Member) on Aug 05, 2019 at 5:17 pm

    It sounds as if they are also open to collaborations with companies like Apple when it mentioned car interfaces.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Shukor bin Azman on Aug 05, 2019 at 5:40 pm

    I advice them, get China partner. Then they can whip them into shape like how China whipped all the Proton workers into shape.

    Last time, Proton was so lembap and workers always tuang kerja. Now with Li Chunrong as big boss, all the tuang and lepak culture has disappeared!

    Proton is on recovery now. I advice other car companies to get a China partner for them to improve

    Like or Dislike: Thumb up 2 Thumb down 5
    • Danny Tay on Aug 06, 2019 at 2:25 pm

      you think Malaysians are lazy? have a look at Italians work culture: lunch time takes 2 hours and most of the workers have it at home, overtime requests by employer not entertained, overpaid compared to other EU countries like Spain and BEST OF ALL the workers take 1 whole month off in Aug on top of existing holidays. And yet their auto products are still not reliable, even worse than Proton. Alfa Romeo? Ferrari? Maserati? all consistently voted most unreliable cars for the past 20 years. without the late Sergio Marchionne help, Fiat would have collapsed 10 years ago.

      Like or Dislike: Thumb up 4 Thumb down 1
      • Bro. I see you’ve just met our resident troll. Word of advice, don’t feed that troll.

        Like or Dislike: Thumb up 3 Thumb down 1
  • tiadaid (Member) on Aug 06, 2019 at 9:12 am

    If the Jepunis think they’re so hot, why not start buying more shares in Renault, or better yet, buy out Renault’s share in Nissan?

    Instead they make noises, threats etc etc.

    They should realize that without Renault, they’d be DEAD!

    Like or Dislike: Thumb up 4 Thumb down 0
    • Nissan isn’t in a good financial health to buy back the shares from Renault. The only way is to throw tantrum, like a kid in a toy store crying till his parents buy the toy he wants.

      Like or Dislike: Thumb up 3 Thumb down 0
      • Brian on Aug 06, 2019 at 8:18 pm

        Yup. Not just the company cry and throw tantrums like a kid, even their supporters cry and throw tantrums like a kid.

        Like or Dislike: Thumb up 2 Thumb down 2
 

Add a comment

required

required