Fiat and Guangzhou reaches deal to build three new Jeep vehicles in China

Article by Christian A., on April 23, 2014

Fiat Group is planning to commence production of Jeeps in China by late 2015 following an agreement with local partner Guangzhou Automobile Group. Chrysler said in a statement that Fiat and Guangzhou Auto will build three new Jeep vehicles in Guangzhou, China. The Fiat- Guangzhou Auto joint venture will soon finalize its production plans, which could include a Jeep designed to appeal to Chinese consumers.

The venture will allow Jeep to resume output in China after terminating production in the country in 2006. Taking advantage of the surging global demand for Jeep is part of the growth strategy of Fiat chief executive Sergio Marchionne as he marries the Italian carmaker with Chrysler.

Marchionne said in a statement that joint venture agreement represents the “next chapter in the proper utilization and expansion on a global scale” of the Jeep brand. Marchionne is eyeing to sell over 1 million Jeep deliveries globally this year, reflecting at least a 36-percent surge from 731,565 SUVs sold in 2013.

Chrysler, Fiat and Guangzhou Auto reached a groundwork deal in January 2013 to produce Jeep models in China. The China government separately green-lighted plans of the Chinese and Italian partners to spend CHY4.7 billion ($755 million) in a new site that could produce 60,000 vehicles annually.

Fiat and Guangzhou Auto already produce the Viaggio sedan together in China, with plans to add Ottimo output this year. Marchionne stated in March that the merged company -- Fiat Chrysler Automobiles NV -- may eventually increase annual deliveries by up to 55 percent to 7 million vehicles, as boosted by Jeep's gains. [source: Bloomberg]

Topics: fiat, jeep, china, production

If you liked the article, share on:

Comments

Recommended

During car crashes and accidents, there are times that its occupants can’t get out easily. There are times when the only way to get out of that situation is to...
by - February 23, 2017
Could this be a special version of Ferrari’s much acclaimed LaFerrari? No matter how we look at it, the patent images for this sports car from Ferrari indicate its striking...
by - February 23, 2017
How fast can a 2017 Chevrolet Camaro ZL1 actually go? Considering the amount of power lurking underneath its line-laden bonnet, the 2017 Camaro ZL1 is capable of achieving a top...
by - February 23, 2017
As it turned out, we’ll be seeing Toyota’s new super supermini at the 2017 Geneva Motor Show in March. It’s time we all get to meet the new Toyota Yaris...
by - February 23, 2017
Opel revealed it has sweetened the pot for 2017 Insignia Grand Sport customers with the Opel Exclusive program. Through this program, the brand hopes to introduce a wide selection of...
by - February 22, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries