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Fiat Chrysler Eyeing Alliance With Renault



Image: AP Images

Remember when you can buy a Renault from a dealer down the street? It was not so long ago that the US market was blessed by a Chrysler-Renault pairing following the earlier acquisition of AMC. It was short-lived, but these star-cross lovers can jump back to bed. According to a report from France Le Figaro the Renault board will meet to discuss the issue Monday morning, with a potential announcement that may come the same day.

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FCA has struggled so late in Europe, suffering in the aftermath of a fluctuation in electric vehicles and increasingly stringent emission restrictions. Meanwhile, Renault will sell cars on the US market, still the second largest market for cars in the world. The two companies together sell 8.7 million cars annually worldwide, and they are worth around $ 37 billion.

This connection is currently not scheduled to include Nissan. The Japanese machine has been rumored to be interested in joining the partnership later. Things are a bit rocky right now between Nissan and Renault, but if things are shaped, this can be a great opportunity for Nissan.

Being that both Fiat and Renault compete directly against the small and medium-sized market in Europe, the two automakers could collaborate on common ground for future models or share production facilities, as suggested by New York Times .

From Financial Times :

FCA has already been in discussions with Renault about sharing platforms, the production base that supports a car, and also holds similar conversations with Peugeot owner PSA in France. It is understood that conversations with Renault have moved beyond simply sharing the technology, and that they advanced faster than those with PSA.

If the FCA Renault bond would eventually include Renault's other partners Nissan and Mitsubishi, the national group would jump to the rank of global # 1 automaker. Nissan has a strong place in the Chinese market, which both FCA and Renault lack.

And finally, Bloomberg reports that FCA leader John Elkann and CEO Mike Manley have been to Paris several times this year to attend business meetings with potential partners. It can include both members of the PSA and Renault, one can imagine.

While the details are a little thin on the ground, this partnership can be great news for the future of the car landscape. All I know is that I hope Dodge brings Megane RS Trophy-R to the US market as a kind of SRT ACR product. It will rule.

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