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FCA not pursuing VW… we think

by Bill Cawthon on

Automotive News has reported that FCA CEO Sergio Marchionne has put a merger with Volkswagen AG on the back burner, if he hasn’t taken it off the stove completely.

On Wednesday, Marchionne said he has “no interest” in talking to Matthias Mueller, his counterpart at Volkswagen, about a merger or other tie-in.

Marchionne had lit a fire of media speculation at the Geneva Auto Show when he was discussing General Motors’ sale of Opel to PSA Group. He mentioned that if GM was not a potential partner, VW might come knocking on his door. Numerous media outlets took artistic license with the comment.

First, Mueller reacted by saying that he had not talked to Marchionne, and that VW was not looking for an acquisition. He later said that VW was open to discussions with other carmakers, but that he had not had any direct contact with FCA.

Volkswagen recently signed a memorandum of understanding with Indian automaker Tata, and closed an investment deal with U.S. truck maker Navistar-International.

Bill Cawthon grew up in the auto industry in the 1950s. His Dad worked for Chrysler and Bill spent a number of Saturdays down on the plant floor at Dodge Main in Hamtramck. Bill is also the U.S. market correspondent for, a British auto industry publication, and a member of the Texas Auto Writers Association, which has named the Jeep Grand Cherokee the “SUV of Texas” several times and named the Ram 1500 as the “Truck of Texas” two years running.

Bill has owned five Plymouths (including the only 1962 “Texan”), one Dodge and one Chrysler and is still trying to figure out how to justify a Wrangler. He also has owned at least one of every 1:87 scale model of a Chrysler product. You can reach him directly at (206) 888-7324 or by using the form.

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