Peugeot and Fiat Chrysler Merge to Form Stellantis

In an industry known for fast-moving innovation, mergers are commonplace.

The creation of a new company, Stellantis, brings together a cornucopia the brands under a single, very large, brolly.

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If we take a look at the chequered history of Chrysler, we find a one night stand with Mercedes Benz. The relationship didn’t work out. Fiat, like Chrysler, was once a huge car maker. It too, was a troubled child, and merged with the ailing Alfa Romeo, who had previously merged with Fiat. Maserati and Lancia were in trouble, and they too were swallowed by the emerging giant.

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ABOVE: Stellantis Brands

American car-making is like a game of musical chairs at the best of times. After near collapse Chrysler and Fiat got together.  The Italians make beautiful things, but they fall apart at the drop of a hat.

The we move to France. Peugeot is owned by the Peugeot family, and it merged with the dying Citroen brand, which also owns DS, previously a Citroen model. American giant GM, sold the German Opel to Peugeot, which also brought British brand Vauxhall, into the fold.

Confused?

Don’t be. Let’s tie the whole thing in with a nice pink bow.

The new owners are Exor N.V. (14.4%), the Peugeot family, the French state, and Dongfeng Motor Group, who are the major holders in Stellantis.

Stellantis now owns Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS, Fiat, Jeep, Lancia, Maserati, Opel, Peugeot, Ram, and Vauxhall. Subsidiaries Comau, Mopar, Teksid (84.8%), and Faurecia (46.34%) are also included.

The biggest winner will be Peugeot who now gains access to the American market. Quality for all of these brands has been roller-coaster-esque as their finances wobbled aimlessly from one disaster to the next. Lancia might finally make great cars again. Fiat, Alfa Romeo and Jeep find their bits no longer fall off.

What can we expect?

Mergers in the past, resulted in the sharing of information, technology, platforms, and in some cases, manufacturing facilities. While platform sharing may take a decade to come to fruition, technology can be rolled out far faster.

Once financial problems have been worked through, the new company, and its vast array of offerings, should rival the likes of GM Ford and Toyota. Stellantis has a foot in almost every niche of the automotive landscape.

Perhaps the current brand line-up will be rationalised, who can say.  Except for RAM, these brands are being made in right-hand-drive models. So, Australia, the UK, and other right-hand-only markets could be winners. We should see more factory-made righthand drive gorgeousness on our roads, but it might take a while.

Watch this space.