The 7bn (£5.6bn) French government bailout of Banque PSA appears to have stalled plans for a ‘strategic global alliance’ between GM and PSA Peugeot-Citroën announced in February.
Although the scheme was to focus on manufacturing and design elements of PSA and GM, responsible for Vauxhall in the UK and Opel on the continent, conditions of the support for PSA’s lending arm stipulate no French jobs would be lost at Peugeot.
Go deeper with GlobalData
This would put increased burden on Opel, based in Germany, to make cuts, stunting the partnership plans which already involved plant closures and staff reduction.
Both GM and PSA have been hit by the European slump in car retail with GM, which paid 400m for a 7% stake in PSA, announcing four vehicle programmes in conjunction with its French counterpart as part of a wider recovery plan of new models and engines.
richard.brown@vrlfinancialnews.com
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
