Media reports claims that French major PSA Peugeot Citroen and Fiat are planning for a potential merge. If the automakers joined forces, they would compete with Renault-Nissan for the title of fourth largest automaker. And it’s being also said that there is being a quick progress going on after the Fiat’s CEO have mentioned about the need for finding a partner for there company to survive the crisis brewing in the automotive industry.

But PSA has already clarified that it is not looking for a new alliances but are interested in deepen existing relationships. PSA and Fiat already have current co-operations in areas like commercial vans. The Fiat Fioriono, the Peugeot Bipper and the Citroen Nemo are all derived from the same project.

The two companies also have join ventures in the commercial vehicle and minivan segments, but both compete heavily in the small car market. Combined, Fiat, Peugeot and Citroen produced 6.2 million vehicles last year, about the same number as Volkswagen and Renault-Nissan. PSA Peugeot Citroen’s has recently launched there SUV’s.Perhaps this merge was something we saw coming.