PSA-FCA will maintain brands after merger, Tavares says

PSA Group and Fiat Chrysler Automobiles have no plans to scrap any of their brands following their $50 billion merger, PSA CEO Carlos Tavares told a French television station.

The proposed combination of of the two groups would create the world’s fourth-largest automaker with 8.7 million in annual vehicle sales. It would bring together 13 brands including Jeep, Ram, Opel/Vauxhall, Peugeot, Citroen, Alfa Romeo and Maserati.

Industry watchers have questioned whether PSA-FCA will need all the brands, especially since some of Fiat Chrysler’s brands need heavy investments to renew their lineups and also because of the risks of brands competing against each other for sales.