EU allegedly has concerns over the merger of Fiat Chrysler and PSA

According to a report, the Commission is concerned about the high market share of vans. Fiat and Peugeot face an in-depth examination.

Fiat Chrysler and the Opel parent company PSA are apparently confronted with concerns of the European competition authorities in their merger plans. The EU anti-trust authority has expressed concerns about the combined company’s high market share in vans, people familiar with the events told Reuters. The authority had already informed the two car manufacturers last week.

Should Fiat Chrysler and Peugeot not be able to dispel the doubts within two days and offer concessions, the competition authority will subject the project to a four-month review. The EU Commission declined to comment, Fiat was initially unavailable for comment. PSA initially did not comment.

The Italian-American group and its French competitor want to rise to the world’s fourth largest automaker with a $50 billion merger. It was only in mid-May that Fiat Chrysler’s chief executive, John Elkann, said that everything was going as planned during the preparations.

Author: Nabeel K

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