To international business now,... and Fiat Chrysler says it has submitted a proposal to the board of Renault for a 50/50 merger of the auto giants.<br />The merger would create one of the biggest automakers in the world,... and market watchers say both sides could benefit from joining forces.<br />Our Park Hee-jun has the details. Fiat Chrysler is pushing for a merger with Renault,... which would create the world's third largest carmaker.<br />It was announced Monday that the Italian automaker made the proposal to its French rival.<br />According to Fiat,... the deal would allow the new European automaker giant to sell 8-point-7 million cars annually.<br />It will also generate 5-point-6 billion U.S. dollars in estimated annual savings.<br />Their enterprise value is expected to amount to 36-point-2 billion U.S. dollars.<br />The two companies would be merged with a 50-50 ownership under a Dutch holding company.<br /><br />The tie-up is seen as a way to respond to the difficulties automakers face today,... caused by expensive technologies involving autonomous driving and tightening emissions.<br />Competition with carmakers like Tesla and car-sharing services are also hurting global sales.<br />The merger would also cut the expenses for research and development as well as expand their fading presence in key regions.<br />"The auto industry has several problems the emissions tax, cost control and also an over capacity, I find. Should Fiat and Renault merge, there would be a strong base with Chrysler in the United States, in Europe with Fiat and Renault and in Asia with Nissan."<br />Renault said in a statement that the board will hold discussions to decide whether to go ahead with the "friendly" proposal.<br />But the process is likely to take as much as a year to finalize.<br />Park Hee-jun, Arirang News. <br />
