Fiat Chrysler CEO says no news on approach to GM but consolidation good

TURIN (Reuters) - Consolidation continues to be necessary in the auto industry but there is nothing new to report on Fiat Chrysler's (:FCHA.MI) (NYSE:FCAU - News) desire for a tie-up with General Motors (NYSE:GM - News), FCA CEO Sergio Marchionne said on Friday.

"The (need for) consolidation remains valid, no one has questioned its economic rational," Marchionne said, speaking on the sidelines of the launch of a re-styled version of its popular Fiat 500 hatchback.

Marchionne approached his counterpart at GM, Mary Barra, with a merger proposal earlier this year but was rebuffed.

Asked if there was anything new to report on FCA's appetite for a link-up with GM, he said there was not.

Asked whether the ongoing dismantling of an alliance between Japan's Suzuki Motor Corp's (:7269.T) and Germany's Volkswagen AG (VOWG_p.DE) could create opportunities for Fiat Chrysler, Marchionne said it was too early to say.

(Reporting by Gianni Montani; writing by Francesca Landini)