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Your next Fiat will be 'from Russia with love'

Albea Palio

An agreement between Fiat Auto and Severstal Auto to produce two Fiat products in Russia has joined a growing list of Fiat joint ventures, which include deals to produce small cars with Ford, platform sharing and diesel engines with General Motors, light commercial vehicles and people movers with Peugeot Citroen and diesel engines and four wheel drive vehicles with Suzuki.

The initial agreement will see the Palio and Albea models produced from parts produced by another Fiat joint venture between Fiat and Tofas in Turkey, with expansion planned in both the range of products, including the Fiat Doblo small commercial vehicle, and growth in the distribution of fully imported Fiat products in Russia. Production will start in 2007 at the Severstal factory in Naberejniye Chelni near Kazan in the Volga region of Russia. The two companies are investigating further areas of cooperation.

In its time Fiat has produced more than 85 million passenger cars and light commercial vehicles and 400 models since 1899, when the company was founded in Turin. The Fiat Group's Automobiles Sector incorporates the Fiat, Lancia, Alfa Romeo, Maserati and Ferrari brands.

OAO Severstal Auto is one of the biggest Russian automotive companies, which represents the famous Russian automotive brands UAZ (see our previous article on De Tomaso) and OKA. The company produces four-wheel drives - the UAZ SUVs, light trucks and minivans- and 'A' segment cars. Severstal Auto is also the Russian largest manufacturer of 4- and 8-cylinder petrol engines with displacements ranging from 2.2 to 4.7 litres.

© italiancar.com.au 08/01/06