Fiat Chrysler sees final deal for Jeep production in China

Article by Anita Panait, on March 13, 2014

Fiat Chrysler is expecting to finalize an agreement this month for Jeep production in China. Fiat Chrysler Sergio Marchionne remarked at the Geneva auto show approval of the deal had been delayed due to Chinese concerns on the split ownership of Jeep prior to the Jan. 1 agreement in which Fiat fully acquired ownership of Jeep.

"On Jan. 1, 2014, when we announced the agreement with the [UAW retirement healthcare trust] for the acquisition of the minority stake in Chrysler, those issues vanished," Marchionne said. "We have been hard at work in the last 60 days putting what I consider to be the final touches on what I hope is the final agreement with our partners in China to try to get this process under way."

Fiat Chrysler will partner with Guangzhou Automobile Group Co. to build a $771-million site in the Panyu district of Guangzhou, Bloomberg reported in December 2013.  The site would have an annual capacity of 60,000 units. Jeep brand boss Mike Manley told Automotive News in an interview that the Cherokee and the smaller Renegade shown at the Geneva auto show could be produced in China.

Building vehicles in the country would allow the brand to avoid import tariffs. According to Manley, discussions are on track, but said that the approval process may takes a little longer than expected or may also be smoother." [source: automotive news - sub. required]

Topics: jeep, china, production

If you liked the article, share on:

Comments

Recommended

According to Japanese website Car Sensor, Mazda recently claimed that they might borrow a platform from Toyota, which they will use for the next generation Mazda6, so this can be...
by - September 25, 2017
The Infiniti QX50 compact crossover has been in the market since 2014, and has not been given a facelift since then. After being in the market for almost four years,...
by - September 25, 2017
It has been two years since Fiat Chrysler Automobiles started courting suitors for a potential buyout. Naturally, two Chinese automakers namely Guangzhou Automobile Group and Great Wall Motor Company have...
by - September 24, 2017
What is your favourite colour? Is your car finished in the colour that reflects your personality? Nissan recently did a study about the correlation between the colour of a person’s...
by - September 24, 2017
The BMW X2 will be the company’s next entry-level compact crossover to join the lineup. And because of that, it needs to up its game so it makes sense for...
by - September 24, 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