What year did Chrysler sell to Fiat?
The initial move happened in 2009, when Fiat agreed to acquire a stake in Chrysler as part of a government-backed rescue during Chrysler’s bankruptcy crisis.
Over the following years, Fiat increased its ownership, ultimately taking a controlling share by 2011. The collaboration evolved into a formal corporate merger, first creating Fiat Chrysler Automobiles (FCA) in 2014 and later Stellantis in 2021 after a merger with PSA Group. Today, Chrysler operates as a brand within Stellantis, the multinational automaker formed from that later consolidation.
Milestones in the Fiat–Chrysler relationship
The following milestones capture the major steps in the evolution of Fiat’s involvement with Chrysler and the resulting corporate restructurings.
- June 2009 — Fiat agrees to acquire a 20% stake in Chrysler LLC as part of a government-backed rescue during Chrysler's bankruptcy proceedings.
- 2011 — Fiat increases its stake to about 58.5%, attaining majority ownership of Chrysler.
- 2014 — Fiat SpA and Chrysler Group LLC merge to form Fiat Chrysler Automobiles (FCA), a new holding company.
- 2021 — FCA merges with PSA Group to create Stellantis, with Chrysler operating as a brand within the new group.
These milestones show how a bailout-era partnership evolved into a global multi-brand multinational, with Chrysler remaining a core brand within the larger Stellantis portfolio.
Current status of Chrysler
Chrysler continues as a core brand under Stellantis, the multinational automaker created in 2021 from the merger of FCA and PSA. The brand is supported by Stellantis’s broader portfolio and global manufacturing footprint, while maintaining its historical presence in the North American market.
Summary
In short: Fiat first took a stake in Chrysler in 2009, beginning with about 20% and later reaching a majority share by 2011. The two companies merged to form FCA in 2014, and FCA subsequently joined with PSA Group in 2021 to form Stellantis, under which Chrysler operates as a brand today.
Why did Fiat buy Chrysler?
Fiat bought Chrysler primarily to achieve global scale and combine complementary strengths, as Chrysler was a strong US presence while Fiat had fuel-efficient technology and a European market base. The acquisition, which began with an initial stake in 2009 after Chrysler's bankruptcy, allowed Fiat to access the North American market, while Chrysler benefited from Fiat's smaller car platforms and engineering expertise. The merger was also driven by the need to pool resources for future investments in technology, such as autonomous and electric vehicles.
Key reasons for the acquisition
- Global scale: The merger created one of the world's largest automakers, a necessary size to compete effectively on a global scale.
- Complementary markets: Fiat was strong in Europe and had little presence in North America, while Chrysler had a strong foothold in the United States. The combination immediately expanded both companies' global reach and dealership networks.
- Technological exchange: Chrysler gained access to Fiat's smaller, fuel-efficient car technology and platforms, which was crucial for its future product lineup.
- Financial stability: The acquisition gave Fiat control over a company that emerged from bankruptcy with a cleaner balance sheet and lower labor costs, while Fiat provided a lifeline and management expertise to help Chrysler rebuild.
- Synergies: The merger allowed the two companies to eliminate redundancies in areas like purchasing, engineering, and manufacturing, which created significant cost synergies.
- Future investment: By combining their resources, the new company could better afford to invest in the future of the automotive industry, including the development of autonomous and electric vehicles.
Does Fiat still own Chrysler?
No, Fiat does not still own Chrysler; Fiat Chrysler Automobiles (FCA) merged with PSA Group in 2021 to form the new parent company, Stellantis, which now owns Chrysler and its sister brands. Therefore, Chrysler is a subsidiary of Stellantis, not a subsidiary of Fiat.
- Before Stellantis: Fiat completed its acquisition of the remaining stake in Chrysler in 2014, making Chrysler a wholly-owned subsidiary of Fiat Chrysler Automobiles (FCA).
- The merger: In 2021, FCA merged with the French PSA Group to create Stellantis.
- Current status: Chrysler, along with brands like Dodge, Jeep, and Ram, is now one of the 14 brands under the Stellantis umbrella.
Is RAM still owned by Fiat?
Yes, Stellantis owns Ram Trucks. A former nameplate of Dodge, Ram was established as a distinct brand in 2009 and then was merged into Stellantis in 2021 when Fiat Chrysler Automobiles merged with Groupe PSA.
What year did Fiat by Chrysler?
It was first incorporated as Chrysler Corporation in 1925. It was reorganized and adopted the name Chrysler Group LLC in 2009, and in 2014 it became a wholly owned subsidiary of Fiat SpA. In 2021 Fiat Chrysler merged with the French company PSA Group to form Stellantis.
