The Competition Commission of India on Thursday approved the merger of leading French automaker Groupe PSA with its Italian counterpart Fiat Chrysler Automobiles (FCA).
The two European groups had announced a merger in December 2019 to leverage their combined scale for better cost-efficiencies in an increasingly competitive and technologically fast-evolving global automotive landscape. The 50-50 merger will create the world’s 4th largest carmaker.
In India, FCA operates its Jeep brand and it also has a manufacturing plant at Ranjangaon, Pune, in a 50-50 venture with Tata Motors. The company recently ceased operations under the Fiat brand, as per media reports.
PSA meanwhile plans to re-enter India with its Citroen brand later this year. The company had earlier exited India in the mid-90s when it used to sell vehicles under the Peugeot brand.
Source: Economic Times