Italy grants tax breaks for Lamborghini’s SUV production

Article by Andrew Christian, on May 27, 2015

Lamborghini has entered an agreement on tax breaks with the Italian government and will soon roll out a new SUV in Italy, according to insiders. The announcement will be made in a press conference set in Rome on Wednesday that will be attended by Lamborghini chief Stephan Winkelmann and Rupert Stadler, the CEO of its parent company Audi.

Italy's Prime Minister Matteo Renzi will also be present to announce the deal. The automaker expects to create jobs for up to 500 people. In return, the Italian government will grant tax breaks and other benefits amounting to 80 million euros ($87 million). Audi aims to add more to its lineup currently composed of two-seat supercars.

Emerging markets like China are not inclined to buy these supercars because of the poor roads in their regions. This SUV that will be built in Italy will be its first since 1993, which is when it stopped production of the boxy LM002 (also known as Rambo Lambo). Sources said earlier this month that there have been several meetings between Lamborghini’s officials and representatives of the Italian government.

Sources shared that to reduce costs, Volkswagen Group plants like the one in Bratislava, Slovakia, will make the chassis and other key parts. These plants build the Audi Q7 and VW Touareg and the frame for the Porsche Cayenne SUV.

These three SUVs are built on the same underpinnings. Lamborghini is planning this SUV as majority of luxury automakers reported record sales in 2014 as the wealth of the world’s rich has gone up. Lamborghini’s deliveries reached 2,530 cars last year, setting a record with its 19% increase.

The automaker has said the past that it can reach annual sales of 3,000 SUVs, more than double the brand’s current size. This model will consider other ultraluxury SUVs like the Maserati Levante and Bentley Bentayga as rivals. On May 22, Lamborghini was able to renew its labor contract with unions in Italy.

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Mercedes-Benz Vans, one of the world’s top van makers, has just launched adVANce, which is their strategic transport industry initiative for the future. With this, the division analytically considers its...
by - September 29, 2016
In 2007, when Nissan first introduced the R35 Nissan GT-R at the 2007 Los Angeles Auto Show, the car carried with intense power and a price tag of $78,000. Up...
by - September 29, 2016
Bentley Motors has just released the specs of the new Bentayga Diesel. Obviously, we couldn’t wait to share it here since it’s the first ever diesel model to come out...
by - September 26, 2016
A big chunk of Volvo Cars’ legacy in developing the most durable and capable car is evident in its latest Cross Country collection. Suffice it to say, our planet has...
by - September 21, 2016
Just very recently, we were all delighted to finally see a Bugatti Chiron out in the streets casually hanging around Cannes in France. The said car was purchased by a...
by - September 9, 2016