Fiat to sell cars in North America?

[Kowalski]

AMBITIOUS PLANS BEING PROPOSED COULD SEE FIAT AUTO INVEST IN CANADA
30.05.2006 - Source: http://www.italiaspeed.com/



With Alfa Romeo due to return to the North American markets next year, an even more ambitious longer-term plan being hatched could see Fiat also making their way back across the Atlantic, investing in the Ontario region of Canada.

The plan which would see Fiat Auto becoming involved in North America is being driven by Canada's Minister for Economic Development Joe Cordiano, an Italian-Canadian who has been working "in no uncertain terms" to persuade Fiat Group CEO Sergio Marchionne, another Italian-Canadian citizen, that the carmaker should consider investing in Canada. In an interview with Corriere Canadese/Tandem Marchionne would not rule out such a decision, but stressed it could only happen long-term.

Cordiano gave a lengthy speech to the North American Italian Chambers of Commerce last week which was focused on Marchionne, who had flown over to attend. The Fiat CEO actually grew up in Canada and holds a Canadian passport, and his mother lives in Toronto where he stayed overnight after the meeting before flying to Chicago. The Italian Ambassador to Canada Gabriele Sardo attended the meeting, as did a large number of regional politicians and businessmen.

The Minister outlined in detail why Fiat Auto should join the expanding number of companies that are currently investing in Ontario, a rapidly growing economic zone. The Ontario regional government are working to attract the presence of major international companies in the region by supporting what Cordiano described as a "culture of renewal" and by with assisting with research and marketing - reported Corriere Canadese/Tandem. Governmental initiatives in support of these investments will be increased and importantly grants and tax-relief will be available, with a particular emphasis being paid to the automotive industry.

"Promoting research and marketing its products," concluded Minister Cordiano, "links directly to our ability to boost productivity and defend and improve our citizens' quality of life."

Marchionne made his own short speech to the Chamber, saying that he had that very morning addressed two hundred international students at the St. Gallen University in Zurich, Switzerland, at a conference that was entitled 'Breaking with the Past'. He emphasised the turnaround in Fiat's fortunes since the had become CEO two years ago, saying that in June 2004 Fiat had been going through "the worst crisis in its glorious history." He added: "Things have dramatically changed, even though we are merely at the beginning of a long process, designed to bring our organization at the forefront of world markets without the oppressive relation with GM, and after consolidating basic economic footing more than adequate to our industrial needs." Marchionne emphasised how the carmaker's market share in Europe had been much improved this year, but stated that much work remained to be done.

Any prospective investment for Fiat Auto in Canada would not be their first involvement in North America, as almost a century ago, in their very formative years they briefly built cars in the United States. The Fiat Automobile Company was incorporated in 1908 in the United States and manufactured Fiat cars under license at a plant built in Poughkeepsie, New York, briefly.

[expyfan]

I remember the old Fiat 125. I don't have a problem with them coming to the states, I think Fiat makes very nice cars.

[Quickening]

Why not, seems like everyone is making a move on the NA market.

[Bravada]

The Croma pictured here is the ultimate underdog of the midsize class - very comfortable, practical, nice-looking, enjoyable to drive (thanks to Ecotecs and superb JTDs) - one of the better uses of the Epsilon. It is also one of the cheaper midsizers. If I were in the market for a family midsizer, this would be my first choice. Given the price, it can also be a good alternative for compact minivnas, if you don't have to drive the tallest car in the village. Oh, and it has a really great interior:

I remember the old Fiat 125. I don't have a problem with them coming to the states, I think Fiat makes very nice cars.

I have fond memories of the Fiat 125, or more precisely the 125p:



Other good-looking Fiats from that era:

The majestic 130


The 130 Coupe - the only car, AFAIK, with a remote passenger door open button (so that the driver wouldn't have to reach)


The legendary Fiat Dino:

[BobLikesBunnies]

The interior on the Croma is beautiful but hope they last as most Italian cars have issues with interior build quality. Nice cars though It would be nice to see them in the US but not sure if they can live down there old image.
Fix It Again Tony

[gerardo_zg]

That car has a rear-end of a SEAT Ibiza.

[Bravada]

I was always thinking of a Phaeston connection, like in the case of the Lucerne, but you might right on the money here, Gerardo. Still, this is much better executed than the insectoid Ibiza (and to think they stole Alfa's stylist to design THAT):






Anyway, as concerns quality Fiat has made some large strides forward in the recent years. They are now more or less in the middle of the pack and constantly improving. Except for models like the leftover 600, you can expect flawless powertrain operation, and rather some electric glitches or rattles, resulting from assembly deficiencies, which can be corrected in the shop. Besides, in some countries the quality of Fiat dealer service still leaves much to be desired, but that's improving too:

http://www.reliabilityindex.co.uk/to...28339010848601

In this very, well, reliable reliability ranking three Fiat vehicles - Brava, Marea and Punto - come within the first 50, edging out e.g. Vauxhall Astra , Ford Mondeo and Toyota Corolla (sic!), and this is still based on the results for cars older than 3 years, and thus last-gen models. In the manufacturer table, Fiat is out of the "bottom 10" already, and also ahead of several Japanese, Swedish or German brands:

http://www.reliabilityindex.co.uk/ma...28339010848601

I am wondering about one thing - GM has spare capacities in North America, and some Fiats cars, like the Croma, are still closely related to GM cars thanks to the now-dissolved partnership. If I were GM, I would try to talk Fiat into manufacturing their American-market models in GM factories, to help alleviate the overcapacity just a little bit. Wouldn't that make just a tad more sense than building a whole new plant?

[nadepalma]

Originally Posted by Kowalski

The plan which would see Fiat Auto becoming involved in North America is being driven by Canada's Minister for Economic Development Joe Cordiano, an Italian-Canadian who has been working "in no uncertain terms" to persuade Fiat Group CEO Sergio Marchionne, another Italian-Canadian citizen, that the carmaker should consider investing in Canada. In an interview with Corriere Canadese/Tandem Marchionne would not rule out such a decision, but stressed it could only happen long-term.

That would be interesting. As an Italian kid myself, I would love to see Fiats come back -- but more importantly Lancia and Alfa Romeo. My folks, uncles and grandparents used to drive nothing but Fiats for a time -- but they used cheap Russian steal and used to rust out a lot. Now a days, I know that they're reliability has improved considerably, so it would be interesting to see them make a move to the US market...

Originally Posted by Kowalksi

Things have dramatically changed, even though we are merely at the beginning of a long process, designed to bring our organization at the forefront of world markets without the oppressive relation with GM

Ouch! I didn't think that GM was oppressive from what I understood in the papers -- but I guess to each their own. While I have nothing but respect for Marchionne, I wonder if he's using GM as a scapegoat to some extent? The management at Fiat S.p.A. wasn't the best for a time and they had CEO and Chairmen go in and out of that place like a revolving door for a few years.

[mgescuro]

I thought VW was supposed to be moving SEAT into the US market in a few years as well. Fiat and SEAT.... wonderful. Just what we need.... more competition.

Hopefully GM gets its act together by then.

[Bravada]

While I have nothing but respect for Marchionne, I wonder if he's using GM as a scapegoat to some extent?

It's more of Montezemolo's effort than Marchionne's of late, and the former is more vocal, but I have never heard Fiat saying a bad word about GM, they actually tout the fact that some models were co-developed.

[megeebee]

F : fix
I : it
A: again
T: Tony

[nadepalma]

Originally Posted by Bravada

It's more of Montezemolo's effort than Marchionne's of late, and the former is more vocal, but I have never heard Fiat saying a bad word about GM, they actually tout the fact that some models were co-developed.

You think so? I thought that Marchionne was a good manager cause he's had successes in the past. LDM seems like a good man and the obvious choice after having headed Ferrari -- but I kind of wonder about him sometimes since he seems to be more of a figurehead to some degree, than a hands on manager. But that's just my impression.

Nevertheless, I've read all kinds of stuff in the Italian press about how they hate GM -- the Fiat folks and the Italians in general -- but never really any specific reasons. Even the day after the "put" option was cancelled, the press read "Fiat Free at Last!" or some such on every paper. If you go to read some articles on ItaliaSpeed, they even have engineers who schoff at the fact that they need to use GM engines in their cars. For example, on the 159, the 3.2L V6 starts off at GM-Holden, then goes to Teksid in the US for some work then heads to Italy for completion -- but the engineers have made comments about how basically they need to rebuild the whole engine and just keep the block cause it's a "horrible" GM engine with "inferrior" parts, etc. While I'm sure they're just being partisan to some extent cause they're Alfa Romeo, I can't help but feel that GM has become the scapegoat, etc. to Fiat for some of their ills. I have no doubt that LDM and Marchionne have put a good face on it (though this is the first I've heard of them actually talking up the fact that the Corsa/Punto were co-developed) but I kind of wonder what GM's image is like in Italy (and the rest of Europe) -- if it has suffered like it has in the US market at all.

Eh, but I'm just rambling. The point was that the Italians (at least IMHO), seemed to be having some sort of GM backlash -- as long as it doesn't kill sales of Chevy in Italy, I guess I could care less.

[nadepalma]

Originally Posted by mgescuro

I thought VW was supposed to be moving SEAT into the US market in a few years as well. Fiat and SEAT.... wonderful. Just what we need.... more competition.

Hopefully GM gets its act together by then.

I've read that they were going to move SEAT to the US as a "feeder" brand to VW -- at least that was the speculation. Also it was to cash in on the big hispanic population here in the States and the brand recognition it has from Spain, but also from being sold in other hispanic countries like Mexico and Argentina. That's built in brand recognition that is easily understood.

Italian cars are a guilty pleasure of mine so I wouldn't mind seeing them come back (but again LANCIA AND ALFA FIRST! ). SEAT doesn't bother me -- outside of the fact that VW kinda reinvented them to be a kind of cut-rate Alfa.

Either way, I agree with you mgescuro, hopefully by then GM has their act together and can more readily compete with some of these others that are looking to enter our market -- and then of course, there's the Chinese.... !!

[Bravada]

Perhaps I am falling for Fiat PR, but Luca is getting far more exposure than Sergio. I guess they, and their team, did a splendid job together pulling Fiat down from the dumps, even if it was with the help of GM money. The anti-GM backlash never left Italy, AFAIK, or at least never came to Poland. GM and Fiat are two biggest automakers here, so both enjoy quite favorable publicity, plus Poland is home to the couple's darling child, the 1.3 Multijet.

I really don't get it what VW is doing with SEAT. They were supposed to be an Alfish brand and ended up as a funky minivan brand - and VW got their own minivans in the end too. Still, I believe VW should capitalize on their brand portfolio and exapnd SEAT and Skoda internationally too. I just can't get it why they try to stuff both the Fox, Saveiro or Parati and the Phaeton and Touareg into the same brand. The Fox should've been a SEAT all the way.

[steverino]

Maybe GM should have exercised the "put" and not bailed, that Croma interior would look nice in a Malibu

GM could have made Fiat a Canadian subsidiary. HaHa