Fiat finally completed a China JV deal

Fiat has confirmed plans to build cars in China with Guangzhou Automobile Group Co, according to The Canadian Press Tuesday.

Fiat spokesman Gualberto Ranieri said the two companies want to build a car factory in Guangzhou city, Guangdong that would make 140,000 cars a year.

Details buried in the official Web site of China's Ministry of Environmental Protection also indicate Fiat's proposed joint venture.

Thus the project appears to be moving smoothly, only waiting for central government approval to begin construction.

Fiat has finally settled the deal. It has been seeking such a joint venture partner in China ever since 2007, when its previous partner Nanjing Automobile Group Corp was bought by SAIC Motor Corp.

Fiat currently imports cars manufactured in Europe to China, including the Linea, Grande Punto and Palio that was once made in Nanjing Fiat. In future we see all of those car models will be made at the upcoming Guangzhou venture.