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Fiat in Talks with Chrysler for North American Production



Last month, we reported that Italian automaker Fiat was in search of a home
Looks like Fiat has found a production partner to build cars in North America. (Photo: Alfa Romeo)
for production of vehicles destined for North America. The brand had been contemplating Mexico as an assembly site for its luxury performance brand, Alfa Romeo. Since that time, rumors have swirled about Fiat partnering with BMW, using its Spartanburg, SC facility, and that Fiat was in talks with the Big 3, but now it looks as if Fiat has found an automaker to double-up with.

Fresh from the announced link with Nissan, a German newspaper is reporting that talks between Fiat and Chrysler are going well. The plan would see Fiat products built at Chrysler's production facilities. With many Chrysler group vehicles having been canceled, and with more reductions in store, floor space at the automaker's numerous assembly plants is expected to grow. By filling in the volume with Fiat product, Chrysler could avoid having to idle plants,
Good news if you're a North American fan of the Fiat 500. (Photo: Fiat)
significantly improving plant efficiency.

Next, Fiat will be introducing two new small vehicles, which may also see the light of day in North America. The first is a budget B-segment economy car that is destined to replace the Palio, an affordable “World Car” designed for developing countries. The second will also be a B-Segment car, although it will be bigger and more luxurious.

Meanwhile, for fans of the Italian brand's latest darling, the retro 500, Fiat confirmed that it will be sold on North America, and that it will be built here in the US, or at an existing Fiat assembly plant in Brazil. A firm “when” date has yet to be set in stone, but at least we know it's coming!
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