A PSA Group logo is seen behind a car displayed during French carmaker's news conference as they announce the company's 2018 results at their headquarters in Rueil-Malmaison, near Paris, France, February 26, 2019. REUTERS/Christian Hartmann

(Reuters) - French carmaker PSA PEUP.PA confirmed on Wednesday that talks were underway with Italian peer Fiat FCHA.MI to create a new world leader in the automotive industry.