Renault-Nissan-GM talks continue despite GM-Ford discussions
A Nissan Motor spokesman confirmed Thursday that Carlos Ghosn, CEO of Nissan and Renault, wants discussions of an alliance with General Motors to continue despite news that GM and Ford Motor execs have discussed a similar alliance between the two Detroit automakers.Meanwhile, The Detroit News reported Thursday that the GM-Renault-Nissan talks are bogging down over disagreements on parts purchasing - an area where Ghosn believes an alliance of the automakers could save up to $5 billion a year. While the Renault-Nissan team wants to look at the full spectrum of purchasing costs across all three companies, reportedly the GM team wants to limit the investigation to only a few vehicles and a small number of parts.
[Sources: Automotive News (registration required), The Detroit News]
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Reader Comments (Page 1 of 1)
That One Person 12:23PM (9/21/2006)
The way I understood all of this was there were no talks about a Ford-GM "alliance". Every news report I watched or read said that talks either ended long ago or didnt happen.
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me 12:44PM (9/21/2006)
True, but it make too much sense to dismiss. GM buys Ford and makes it another line in the GM portfolio (ala Pontiac). Saves a ton on development costs, closes a ton of plants (and the timing is good since the UAW contract is coming up). Can you imagine the clout they would have with suppliers?
Problems include Ford's incredibly bad move in bailing out Visteon (new company saddled with Bill Ford stupidity). Plusses include giving GM a true upscale brand or two (Jag and Aston). Will it happen? Unlikely, but it makes more sense for Ford and GM than doing ANYTHING with Ghoshn or Renault/Nissan. Only better idea for Ford or GM is to get out by Toyota or Honda - but the Japanese likely won't bite.
My two cents!
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atlkustoms 1:10PM (9/21/2006)
Can you say DCF!!!!!!!
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The other Bob 1:50PM (9/21/2006)
One of the many problems with a GM-Ford merger would be regulaltors in Europe, where Ford/GM would own a ton of brands. I think a unified company would own every car brand in England and maybe a majority in the rest fo Europe.
The one advanatge: I have always wanted a Mustang with a Chevy engine. LS2? Damn that would rock.
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Richard Warren 2:38PM (9/21/2006)
A: Ghosn does not walk on water, he's a CEO who got lucky and jumped in at the right time. Talent, sure, for cutting. Ask yourself if he's so hot why isn't Renault here and why are Nissan sales sagging?
B: "an alliance of the automakers could save up to $5 billion a year" tied into a few suppliers suppling the same identical parts to everybody. Hmmmmmmm
C: Can you say all this "talking" is stock manipulation?
D: Ford and GM don't need anything he has to offer, and they really have noting to offer to him.
E: The guy puts his pants on the same as we do.
F: Just send him home to manage his own company and set up the Renault line in the US.
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Andy 3:29PM (9/21/2006)
Regardless of what you make of Ghosn, he is the Lee Iacocca of this generation. His reforms have worked for Nissan and Renault. I do feel the media is overestimating him and his abilities. It's quite easy to slash a labor force and produce attractive vehicles. That task is much harder when you a strong union organization like the UAW and a corporate empire like General Motors'.
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sQoolboy 6:21PM (9/21/2006)
Why wouldn't GM want to save half of $5 billion. Seems like the GM team just doesn't want this to happen.
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Nick 9:37PM (9/21/2006)
Ghosn reminds me a lot of good-ole Jac-The-Knife.
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Myself 2:13AM (9/27/2006)
You can say what you want about Ghosn or Nissan but the bottom line say's what. Nissan is still currently making billions and GM along with Ford are not going to make a profit this year either.
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