Hunting For A Scapegoat: FCA, Renault And, The French Government Point Fingers After Deal Collapses

The hunt for a scapegoat for the collapse of the merger talks between Fiat Chrysler Automobiles and Renault is in full cry.

There’s furious leaking on all sides: The Italians blame the French, the French blame Fiat and the reluctance of Renault’s partner Nissan Motor Co. to bless the deal. A lot of people on both sides blame Bruno Le Maire, Emmanuel Macron’s finance minister, whose eleventh-hour request for more time to bring Nissan on board was the final straw for FCA.

While it’s too simplistic to lay all of the culpability at the feet of Le Maire and Macron (did Fiat really think it could stitch together a huge, politically sensitive cross-border car deal in just 15 days?), it has become worryingly common for overconfident Parisian technocrats to slip up on problems of their own making. There are lessons here for Macron when it comes to handling France’s web of government holdings, including its 15 percent ownership of Renault.

PUGPROUD - 6/7/2019 10:28:01 AM

+1 Boost

The elitist and entitled French federal government ensconced in Paris over reach as usual and never admit to being wrong.

MDarringer - 6/7/2019 4:13:00 PM

+1 Boost

Socialists are never wrong. Look at how CommunistComments is making Nissan the scapegoat because he cannot admit that a socialist government raped Renault out of a great deal.

CANADIANCOMMENTS - 6/7/2019 6:48:48 PM

0 Boost

@MD I think you need to read Agent009's intro again. It is not the fault of the French. Fiat overreacted and called it off. They could still be at the table now. Having a hissy fit does not move a deal forward. And no, you can't do a merger like this in 2 weeks.

MDarringer - 6/7/2019 7:15:34 PM

+3 Boost

WRONG It is being WIDELY reported by several well respected sources that the French government was making unrealistic requests such as any and all reductions in work force NOT come from France and that they wanted even more control over the new company than they currently have over Renault. They got greedy and grabby and that is WELL DOCUMENTED.

Fiat had already given massive concessions and the deal was a go. THEN the French government heaped on additional demands.

It is also widely documented that Nissan took a "no position" stance i.e. not for or against it.

You little socialist heroes killed the deal because of GREED.

Truthy - 6/9/2019 4:46:55 PM

+1 Boost

How is this different than what tRump is demanding that manufacturers move to the US or else?
If course no one believes his theatrical threats as the Mexico deal was done a month before he brought up the 5 percent tariff.
Fraud. Sad.

CANADIANCOMMENTS - 6/7/2019 11:12:05 AM

+1 Boost

If Nissan was not onboard yet, there was no deal to be had. They were not going to be left out.

MDarringer - 6/7/2019 4:11:24 PM

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This is 100% the socialist French government getting grabby and making the deal collapse. President Maricon fcuked it up. He needs to apologize, make concessions, and get the deal back on track.

xjug1987a - 6/8/2019 10:01:19 AM

+2 Boost

In this present crisis, government is not the solution to our problem, government IS the problem...

https://www.school-for-champions.com/speeches/reagan_1st_inaugural.htm#Text

mre30 - 6/8/2019 4:42:47 PM

+1 Boost

Its a negotiating strategy, pure and simple! Elkann from FCA might build terrible cars but he is a good negotiator.

Renault/Nissan will come begging to re-open negotiations in about two weeks. Elkann will capitulate by building some 'token' FIATS in France (a future model, that shares a platform with an existing Renault, so he really didn't agree to anything extra - just wait).

Although, its probably not the worst idea in the world to rebadge Renaults as Alfa Romeos and Maseratis and sell them to Americans. Basing the Maserati Ghibli and Quattroporte off of the Renault Talisman would be a huge improvement.

https://www.renault.fr/vehicules/vehicules-initiale-paris/talisman-initiale-paris.html

MDarringer - 6/8/2019 4:54:15 PM

+1 Boost

Recasting Alfa-Romeo as an Italian Subaru would be brilliant and Renault knows a thing or two about turbos and AWD.

I'd love to see Trump harpoon that idiot Maricon and berate him for destroying an excellent deal.