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Fiat Chrysler and PSA Group merger welcomed by Unite as calls grow to build electric vehicles in Luton and Ellesmere Port

PSA said 'many important points remain unclear' in relation to Brexit, and that 'appropriate measures' will be taken

The Vauxhall plant in Ellesmere Port(Image: Getty Images)

The merger between Fiat Chrysler and France's PSA Group - which includes the Ellesmere Port and Luton Vauxhall sites - has been welcomed by Unite the union.

The deal won approval from both sets of shareholders on Monday, and will now create the world's fourth biggest car maker -  bringing together Peugeot, Citroen and Vauxhall from PSA with Fiat, Jeep and Chrysler.

Following the £38bn deal, the new firm will be called Stellantis, also including brands such as Maserati and Alfa Romeo.

Following the initial announcement last year, fears were raised over the future of PSA's º£½ÇÊÓÆµ factories such as those in Ellesmere Port and Luton. Now, Unite has called for PSA, which employs 3,000 people in the º£½ÇÊÓÆµ, to build electrified vehicles at both plants.

Unite national officer for automotive industries, Des Quinn, said: “This merger is good news for our members at a bleak time for the º£½ÇÊÓÆµ economy.

“We welcome the approval of both sets of shareholders to create the fourth biggest global carmaker and will seek reassurance that the new merged company will continue to commit to no plant closures, as was previously announced in November.

Unite said that the merger, allied with the post-Brexit free trade deal with the EU, should pave the way for new models to be produced in the º£½ÇÊÓÆµ.

However, the union said it was seeking confirmation that the company would stand by its previous announcement that there would be no plant closures in the º£½ÇÊÓÆµ.