Fiat may use Ranjangaon facility as global production base
According to reports in the media, Fiat is said to be considering the possibility of using its manufacturing facility at Ranjangaon as a global production base for some of its cars. In fact, among others, Fiat may also build its low-cost hatchback for the European market, at Ranjangaon.
'It eventually boils down to standardization of volumes. Perhaps our own low-cost car for Europe could even be made in India,' said Sergio Marchionne, CEO, Fiat, speaking to a national newspaper recently. 'This facility has the infrastructure to build the Fiat brand in India. It can be an integral part of the manufacturing footprint of Fiat worldwide, and that is a big issue for us,' he added.
Fiat and Tata Motors have a tie-up - a 50:50 joint venture - under which the two companies aim to produce more than 200,000 cars and powertrain units at this plant, by 2010. Fiat will produce about 70,000 cars at the Ranjangaon plant, with the Linea and Grand Punto being the models that have been earmarked for India.