Small cars that will be released under the Fiat Chrysler umbrella in the future will be riding on architecture from the PSA Group, a report published by Automotive News revealed. This formalizes the merger of the two companies, which have been in talks for quite a while now.
The combined companies will carry the name Stellantis once the documents are finalized, and it will be home to the Common Modular Platform (CMP) that currently underpins the French group’s Peugeot 208.
The article cited a letter that was reportedly sent by FCA to suppliers regarding the discontinuation of research and development for small and subcompact vehicles. In the FCA portfolio, this includes the Fiat 500 and the Jeep Renegade.
The report also said that prior to the completion of the merger, FCA has completed retooling its small-car architecture in order to accommodate other powertrains such as electric motors and batteries. This means that the Fiat 500 model will likely be the only vehicle on the FCA-built platform.
When it comes to the CMP, however, a spokesperson for FCA confirmed that the two companies will be sharing the architecture but clarified that the decision comes “separately from any merger negotiation.”
“Due to confidentiality and obvious competitiveness reasons at this stage, we will not detail more,” FCA added.
With the merger of FCA and PSA finally coming together to form Stellantis, the companies are a step closer to streamlining their operations. It’s also seen as an advantage to PSA, which is believed to be preparing to re-enter the US automotive market.