Why are European car giants uniting? They have an idea in mind

Why are European car giants uniting? They have an idea in mind
Why are European car giants uniting? They have an idea in mind

European brands are increasingly inclined to ally themselves with each other, and the reason is very simple. There is a clear project on the horizon.

The times of great rivals between car brands, at least in Europe, are long gone, as are the golden times of this sector. For some years, Prices on the new market have skyrocketeddue to increasingly higher production costs, the microchip crisis and the development of electricity, which however has not led to the desired results, at least for now.

Why are European car giants uniting? They have an idea in mind

From 2023 onwards there has been a slight revival of the automotive sector, but compared to the past, business is certainly not going swimmingly. Furthermore, there is a big threat that scares the European and global markets, which is represented by China. Since 2012, the country of the Dragon has become the country that produces the most cars in the world, also becoming the one that exports them in greatest quantities, overtaking Japan in 2023. For this reason, the great European giants are had to take action.

Cars, European brands united against China

For some time now, we have noticed the formation of alliances between large brands, which in the past had always waged war against each other. The European case that concerns us most is certainly that of Stellantiswhich brings together brands like la FiatL’Alfa Romeothe Lancethe Maserati and theAbarth on the Italian front, manufacturers who now collaborate with Peugeot, Citroën, Opel and other American brands, such as Jeeps.

Stellantis and its leaders (ANSA) – Tuttomotoriweb.it

Even that Volkswagen has become a huge group, with within it Porsche, Audi, Skoda, Cupra, Seat and so on and so forth. But what is the real purpose of these alliances? The answer is very simple, and that is to save on production costs, and also to fight the Chinese enemy. Stellantis is the clear example in this sense, since its cars, belonging to various brands, are now all built on the same platforms.

Of course, there is a downside, that is, the excessive technological convergence that has been created between cars. For example, the new electric Alfa Romeo Junior has the same powertrain as the Fiat 600e or the Jeep Avenger, and in many other cases the same mechanism occurs. It has now been understood that to counter Chinese power we need a common front, but this is not a valid reason to make the uniqueness of each brand disappear. And this is unfortunately what is happening.

 
For Latest Updates Follow us on Google News
 

PREV Today’s stock markets, June 26th. Price lists falling, central banks further away on rates
NEXT Digital driving license, you are finally free: but if you make a mistake you have zero excuses, the rules are much more restrictive and you risk everything