The merger would bring together Italian-American Fiat Chrysler, with its strong footprint in North America where it makes at least two-thirds of its profits, and France’s PSA Peugeot, the No. 2 automaker in Europe. Both lag in China, despite the participation of the Chinese shareholder Dongfeng, in PSA Peugeot, and are catching up in the transition to electrified powertrains.
Fiat Chrysler Automobiles said the discussions were ongoing “aimed at creating one of the world’s leading mobility groups,” but didn’t specify whether the goal was a full merger or a looser alliance.
