It has been a week of high winds and resultant waves. Extreme weather system Doris hit us here on the edge of the Atlantic and caused a little local disruption.
And then there were the considerable winds of change blowing in the auto industry. Opel/Vauxhall’s seemingly soon transfer of ownership to PSA is still causing some waves. It raises a number of uncomfortable questions. The main one is simply this: How does PSA turn GM Europe’s very long-running losses into profit? There may well be a plan emerging based on sound business principles, but the politics can get messy (though that may be more an issue for 3-5 years out, when a plant or two has to shut).
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Sounds like the transfer negotiations are in full pelt to get something formally announced ahead of Geneva. GM clearly wants rid (other priorities). Amazing to imagine GM without a European arm, but the bottom line would be lifted. See our consolidated PSA-Opel coverage here.
Still on the theme of industrial consolidation, it looks like Proton may be getting nearer to a new industrial partner. And PSA, again, is in the frame. Scale, scale, scale.
Oh, and if you are interested in PSA product cycles, we can help.
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There was also a consolidation development in China that caught our eye.
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By GlobalDataIs Carlos Ghosn retiring? Not exactly, though some news reports gave that impression when it emerged he is standing down as Nissan CEO. He still has plenty on his plate and sorting out the absorption of Mitsubishi Motors into the Alliance has been a major recent addition to that plate of late. The new guy at the helm at Nissan surely knows that a certain dark haired chap will be keeping an eye…
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Finally, there was the sad news this week that auto industry guru Professor Garel Rhys has died. He’ll be much missed.
Have a good weekend.
Dave Leggett
Editor, just-auto
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