The US government will ask to see again the merger agreement between FCA and PSA. To make the administration's decision known Trump, Larry Kudlow, director of the US economic executive council during an interview with Bloomberg. The reason lies in the presence of Chinese participations in the future group.
FCA, what future for Fiat, Alfa Romeo and Lancia
The brand Dongfeng currently owns 12% of PSA shares and with the merger between the French and Fiat Chrysler, the Chinese group will also become part of the new reality, the fourth largest in the world in the automotive sector. The tensions between the USA and China, with the imposed duties and the consequent economic frictions, could slow down the process of fusion between the two groups.
"With great respect for the Chinese counterpart, we will take a very careful look at the merger agreement " Kudlow said – we must ensure that any Chinese investment does not come at the expense of our economy and our national security. " FCA and PSA made a surprise announcement last week after the first rumors emerged. The two groups will proceed to a synergy at par, with Carlos Tavares who will become the new CEO e John Elkann instead to play the role of president of the nascent society. The market welcomed the news favorably, especially with regards to the Italian-American group, while PSA had a drop in the stock market just a few hours after the announcement. The fate of the 14 brands and that of the workers is especially worrying: the union between the two groups would lead to the overlapping of different products but above all to have a workforce of over 400,000 employees with some European plants that could create a production surplus. On the other hand, however, the merger will also allow FCA to get out of the technological and development immobility in which it has remained in recent years, with the sharing of platforms that could lead to a relaunch even in electric mobility. Trump permitting.