Fiat Chrysler and Renault in talks about possible alliance

Fiat Chrysler Automobiles and the French automaker Renault hold discussions on a possible alliance to strengthen both companies' competitiveness in Europe and other parts of the world, a person familiar with the case said on Saturday.

The talks are still in early stages and can still collapse, but they come among dramatic technological and regulatory changes that push car manufacturers and splurge someone to join. Ford Motor and Volkswagen have recently agreed to work in trucks and vans and talk about combining their efforts to develop self-driving cars.

Both Fiat Chrysler and Renault have extensive operations in Europe, where tighter environmental regulations strengthen car manufacturers to invest billions in electric vehicles and other new technologies that reduce exhaust emissions. Both companies are struggling to gain ground in China, the world's largest auto market, and have been slower than some competitors in developing autonomous vehicles.

Renault already has a global alliance with Japanese car manufacturers Nissan and Mitsubishi, but the ties between the companies have frayed since last year when Carlos Ghosn, former CEO of both Renault and Nissan, was charged with financial errors in Japan and then exhausted from his posts by both companies.

News about the talks between Fiat Chrysler and Renault were first reported by the Financial Times.