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Fiat to tap China's passenger car market

By Amanda Zheng  From Gasgoo.comJune 23, 2010

Fiat expects to get rid of the impression of low-end small cars, and tap the more competitive mainstream passenger vehicle segment in the China through the launch of the five new models.
Shanghai, June 23 (Gasgoo.com) The Changsha-based Guangzhou-Fiat joint venture is about to be put into operation. According to the early-announced product planning by Fiat, three Fiat models will be locally produced, and the first model will be a newly designed mid-class sedan, codenamed C-Medium. Besides, two Chrysler's Jeep-brand SUVs will be produced in the new joint venture as well, media reported recently.

The Italian carmaker expects to get rid of the previous impression of low-end small cars, and tap the more competitive mainstream passenger vehicle segment in the China market through the launch of the five new models. Once the Changsha project enters into a mature stage, Fiat will launch more sedans, SUVs and MPVs into the Chinese market, relevant sources from Fiat China revealed.

It is reported that the two SUVs to be built in the Changsha plant are Chrysler's all-new models, which are codenamed SUV-3 and SUV-4 respectively instead of the prior reported Jeep Compass.

Moreover, after ending the cooperation with Nanjing Automobile Group, Fiat China set up a service department and continued to sell the Linea, the Bravo and other imported models in China in order to main and develop its business in the country.

Chrysler has also made new plans for development of its China business since signing the cooperation agreement with Fiat. Under Chrysler's recovery plan, it adjusted its strategy for developing the Chrysler brand, the Jeep brand and the Dodge brand in China. By 2012, it will update all its models and turn back to the passenger vehicle segment that is currently the mainstream of China's auto market.


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