The merger of Fiat Chrysler Automobiles (FCA) and PSA Group is complete. Now, the two groups will become a huge, single automotive group (with 400,000 employees) under the name Stellantis.
The group will consist of a lot of brands. FCA's: Fiat, Chrysler, Jeep, RAM, Dodge, Maserati, Lancia, Alfa Romeo, Abarth, Fiat Professional brands and PSA's: Peugeot, Citroën, DS, Opel/Vauxhall.
PSA's boss Carlos Tavares has become CEO of Stellantis, while FCA's boss, John Elkann, is the chairman.
The one-time cost of the merger is estimated at €4 billion ($4.85 billion), but from this point, it should be only better as the plan is to save €5 billion a year on synergies.
As we can see on the slides, there is a plan to consolidate development of new powertrains (including electrified powertrains) and profit from larger scale:
Stellantis is engaged mostly in Europe and North America. The weakest coverage seems to be China though:
In terms of segments, besides the luxury vehicles, the coverage is pretty much comprehensive:
According to the plan, by 2025 there will be at least one "electrified" version of every newly launched global model.
By 2030, the share of electric models might exceed 35% of the overall volume:
One of the major points of consolidation will be global multi-energy and dedicated electrified platforms.
Currently, Stellantis offers 29 electrified models, and with 10 more in the pipeline, it should be at 39 by the end of 2021.
What does all of this really mean? Well, consolidation of the automotive business is inevitable and this is just another chapter.
Only time will tell whether the electrification of the group will accelerate. The opportunities are there, that's for sure.