The merger of FCA and PSA – reasons and benefits

5 November 2019

Prospects for the development of the Alliance FCA-PSA Group

This transaction was carried out mainly because in this PSA finally open the doors of the markets of the USA and Canada, and the FCA appears platforms and technologies of electromobility, it is necessary for her to jump from era to era EV ICE.

Although this is the positive side of the deal, but it has a downside: if premium brands (DS, Alfa Romeo, Maserati and Jeep) the new group and should not be problems with internal cannibalism, as each of them has its target audience, the same cannot be said about brands for core markets, particularly in Europe.

If PSA is still trying to figure out how to breed her marketing the Opel brand with the brands Citroen and Peugeot, then as now, the concern FCA-PSA get to do another budget brand Fiat? The answer to this question, by the way, just gave the leadership of the FCA in the person of CEO Michael Manley, saying that Fiat will simply refuse (to the year 2024 that way-mu) from the production model of the A-segment in favour of higher margin In-segment: so – bees against honey! Since its platforms In the market the FCA has not, use it as CMP-platform from the new Peugeot 208 and Opel Corsa c versions of the BEV.

And these reforms have been approved, both parties gave guarantees that no factories are closed...

However, definitively resolve the question of perspective line will have a new CEO of the group, Carlos Tavares. EV Sales portal offers a look at the prospects of plug-in electric drive under the new PSA group-FCA, so:

Electrocreaser Peugeot e2008 GT

brands Peugeot, Citroen and DS now, when I opened a large ["white"))] the door to the North American market, you can bet on larger cars and SUVs, so that the current hybrid crossover 508 PHEV should be the first swallow in North America in the first wave of Peugeot models, which may be followed by DS7 PHEV, PHEV Aircross Citroen C5 and Citroen C5 promising PHEV (also S6 and(or) C7?) in order to create a bridgehead on the other side of the Atlantic over the next decade.

Electro hatchback costs Peugeot e208 GT

But as North America continues to dominate the full-size, etcmeaning simply great cars, it is not surprising that these brands have the confidence that building on the market in their product lines should appear large 7-seater SUV – something like a Peugeot 7008 even PHEV and BEV, as well as Citroen Aircross C7 PHEV / BEV and DS 9 PHEV / BEV.

The concept of FIAT Centoventi 2019

At the other end of the line, perhaps, two main brand could create its own version of a La Panda based on the concept of FIAT Centoventi 2019. However, he still has a few years, although the original concept looks promising... Except, fleet Free2Move need fresh blood, because the current Fiat range is one of the oldest in the industry.

Interior conceptual FIAT Centoventi 2019, in series, of course, will be more traditional

Opel / Vauxhall – access to the US market may not enter into a road map for the German manufacturer, even though it would make sense if it was done correctly, because the fact of the lack of history of the brand in North America, may present its innovative brand like Tesla, i.e. produces exclusively electric cars. In this sense, to be his "Z-logo"... in Addition to this possibility, the only significant addition to the range of PEV arising from this transaction can be readingbar version 7-seater crossover.

Opel Corsa EV on CMP platform from Peugeot e208 GT

Maybe this will be the Opel Adam EV 2020 on the FIAT 500e? However, this is only speculation.

FIAT says that the longer the model is, the less interesting it is for FIAT. So, if the next generation electric vehicle the 500e (on the original platform) will be launched in the series in less than a year, and the next generation Centoventi (Panda) also on the original platform looks quite promising, but above these two models, the complete design for the desert...

Electric citymobil FIAT e500 the first generation was released in the years 2013-2019

Thus, the Italian brand will need a few models on PSA platforms, such as their own versions of electro hatchback costs e208 Peugeot GT the Peugeot GT electrocreaser e2008 and electric car C-segment, most likely, on the basis of the future Citroen C4 EV.

Electro hatchback costs the FIAT e500 second-generation 2020

Also the FIAT Commercial unit, which produces LCVs, will benefit from the use of technology electroanal PSA EV.

Now I understand why FIAT was so eager for this merger?

Alfa Romeo and Maserati – cult brands in need of fresh blood in their line, and they will help compact SUV Alfa Romeo Tonale PHEV, which is rumored to appear in the series next year.

Alfa Romeo Tonale PHEV 2020

But these manufacturers need to upgrade and electrify the rest of the lineup, well, what can do technology and platform of the PSA, to help with this? In principle a bit, as these brands seem to be stuck at the level of PHEV usage and adapted them for their sport models ICE.

Jeep – the current star ruler FCA, the brand remains the only success story of the Italian-American company, whose sales are growing every year, so no wonder he gets all the latest technology and a full-sized platform, so it is not surprising if the same will continue with new owners.

A hybrid version of the SUV Jeep Renegate and Compass will go in the next generations on the platform of PSA

So it is natural that the translation of most of the models of the next generation of the Jeep on the platform of PSA, ie Renegade will be the brother of the Peugeot 2008 EV, and Compass / Cherokee – iteration Peugeot 3008/5008 in the United States. At the same time the larger Grand Cherokee will be based on a hypothetical 7-seater off-road platform, becoming perhaps the first brand that will use it.

The remaining models (Wrangler, Unlimited, Gladiator ed.) will be developed without significant involvement of the PSA.

Dodge, Chrysler and Ram – none of these brands will not receive a significant benefit from PSA platforms, in addition to a full-sized 7-seater off-road platform that can be used for SUV Dodge Durango next generation and(or) Journey, while Chrysler will get its own version of big off-road platform, maybe Pacifica will be built for the next generation.

Ram 1500 Mild-Hybrid 2020

It's also possible, the priority will be a PHEV, not a BEV, because the market for these full-size vehicles will require a large reserve that does not belong to the priorities of the PSA-FCA Group.

P.S. clearly now FCA rake the consequences of the strategic course of the former President Sergio Marchionne, which I must admit was "electromobility", considering that the main buyers of such a budget brand like Fiat jump to the platform BEV can't afford and profit Ram pickups it is simply not needed, as acceptable batteries had not been invented. Now FCA leaps and bounds to catch up on e-mobility and PSA uses its North American sales network to penetrate, if not ICE, then PEV. Not surprisingly will be a total transition in the near future American offices on mild hybrids (Mild Hybrid) with a 48-volt electrical system.
P. P. S. Indeed, it seems that in General a-segment in Europe is coming to its extinction (in Russia it happened before), being supplanted by the larger and more lucrative B-segment, tE. even citycare for the future is not so effective, but I think that they will replace smart shape 2-seater electric vehicle..