01 March 2012 03:32 [Source: ICIS news]
SINGAPORE (ICIS)--US automaker General Motors (GM) and French automaker PSA Peugeot Citroen announced late on Wednesday a global alliance that will save the two firms $2bn (€1.5bn) annually within five years and see them launching new vehicles from 2016.
GM plans to acquire a 7% equity stake in PSA Peugeot Citroen, making it the second-largest shareholder in the Peugeot family group, they said in a joint statement.
The deal will see the two firms sharing vehicle platforms, components and modules as well as the creation of a global purchasing joint venture for the sourcing of commodities, components and other goods and services from suppliers, they said.
“Initially, GM and PSA Peugeot Citroen intend to focus on small and midsize passenger cars, MPVs [multi-purpose vehicles] and crossovers,” the two firms said.
The companies will also consider developing a new “common platform” for low emission vehicles, they said.
The first vehicle on a common platform is expected to be launched by 2016, the two firms added.
The automotive industry is an important pillar of demand for petrochemicals and is also a large end-market for materials such as polypropylene (PP), nylon (polyamide), acrylonitrile-butadiene-styrene (ABS), polyurethane (PU) flexible foam, synthetic rubber as well as paints and coatings.
($1 = €0.75)
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections