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Europe needs auto industry consolidation to reverse poor operating conditions and uncertainty in a market burdened by overcapacity and little or no sales growth potential this year, the chief executive of Fiat SpA said on Monday.

Speaking with reporters on the sidelines of the Detroit auto show, Sergio Marchionne said he would be willing, in principle, to be part of a consolidation that would create another car company in Europe rivaling Volkswagen AG in size.

"If you take two of the European players and put them together, you're going to get the right answer," Marchionne said.




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Marchionne Says The Only Way To Compete With Volkswagen Is To Merge European Automakers

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