Click Thumbnails to Enlarge
Sergio Marchionne warns of strife ahead in Europe
Tim Pollard (photo by Getty Images)
29 September 2012 15:40
Fiat chief exec Sergio Marchionne today warned of troubled waters ahead as Europe's car makers prepare for a radical restructuring.
Marchionne, who's the current president of trade body ACEA, said factory closures were looming and repeated his call for a concerted EU-wide response to overcapacity.
He warned that national interest was blocking action to strip out excess capacity, caused after European new car demand crashed by 3 million in the past five years.
Unlike in the US, there is no single body pushing for the necessary remedy, he said, with each nation looking elsewhere for the painful cuts to happen first. 'Everyone else benefits from the closures,' he said.
'If you invite 12 people to a dinner party and you shoot three guests, there's more food for everyone else,' the seasoned raconteur told reporters. 'But the three being shot don't want to be shot.'
The warning came as France's PSA disclosed further talks on the planned closures at Peugeot Citroen plants. Marchionne added that he worried at night about which Fiat factories he might have to cull.