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FRANCE

French ditch home car brands for Italy’s Fiat

French drivers are ditching their country's own brands in favour of Italian car company Fiat, figures released on Monday show.

French ditch home car brands for Italy's Fiat
Fiat is proving more popular in France. Fiat photo: Shutterstock

Fiat sales in France shot up by 4 percent last month, compared to the country’s own brands which fell out of favour with local buyers.

Sales of Renault vehicles in France were down by 13 percent last month, while Peugeot saw a 4.5 percent decline, La Repubblica reported.

The figures continue a positive trend for Fiat, registering 47.7 percent growth in the French market in the first eight months of the year. Overall new car sales were up 13.7 percent in France, the newspaper said.

Fiat’s recent success in France follows the company’s merger with US car giant Chrysler at the start of the year to create Fiat Chrysler Automobiles.

The deal, which will involve moving the company's headquarters to London, was approved by shareholders earlier this month.

READ MORE: Ciao! Fiat dumps Italy as HQ heads to London

Chief executive Sergio Marchionne in May laid out new plans to conquer the global auto market, although said the focus would be far from Europe.

Over the next five years the company would develop its strongest markets, such as China and the US, Marchionne said.

READ MORE: Fiat Chrysler lays out global push

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POLITICS

France vows to block EU-South America trade deal in current form

France has vowed to prevent a trade deal between the European Union and the South American Mercosur bloc from being signed with its current terms, as the country is rocked by farmer protests.

France vows to block EU-South America trade deal in current form

The trade deal, which would include agricultural powers Argentina and Brazil, is among a litany of complaints by farmers in France and elsewhere in Europe who have been blocking roads to demand better conditions for their sector.

They fear it would further depress their produce prices amid increased competition from exporting nations that are not bound by strict and costly EU environmental laws.

READ ALSO Should I cancel my trip to France because of farmers’ protests?

“This Mercosur deal, as it stands, is not good for our farmers. It cannot be signed as is, it won’t be signed as is,” Economy Minister Bruno Le Maire told broadcasters CNews and Europe 1.

The European Commission acknowledged on Tuesday that the conditions to conclude the deal with Mercosur, which also includes Paraguay and Uruguay, “are not quite there yet”.

The talks, however, are continuing, the commission said.

READ ALSO 5 minutes to understand French farmer protests

President Emmanuel Macron said Tuesday that France opposes the deal because it “doesn’t make Mercosur farmers and companies abide by the same rules as ours”.

The EU and the South American nations have been negotiating since 2000.

The contours of a deal were agreed in 2019, but a final version still needs to be ratified.

The accord aims to cut import tariffs on – mostly European – industrial and pharmaceutical goods, and on agricultural products.

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