Fiat Plans 200 Chinese Dealers in 2012

Now that Fiat's US plans are getting closer to reality, the Italian company turns its interest to China, one of the largest auto markets and the only one that brought steady sales despite the economic recession. The first step Fiat will make into China is to raise the number of dealerships available across the country, obviously with the help of its local joint venture.

Fiat recently reopened the doors of 20 dealerships in China, but the company's plans are more encouraging. It appears that figures are likely to reach 200 open stores by 2012, while production will be backed by the Guangzhou-Fiat assembly plant.

And speaking of the Guangzhou-Fiat joint venture, it will start building cars in September 2011, with Linea to become the first car to be produced in China. The alliance received the government's go-ahead back in March, after the two companies announced investments of up to $732 million.

Basically, the whole business will be split in three different divisions, each with its very own activities. One of them will be responsible for assembling cars, the second will focus on engine production, while the third will comprise a research and development center.

If everything goes well, the joint venture will roll out 140,000 cars per year, but will grow up to 250,000 units per year, while annual engine production will achieve 300,000 units. The new tie-up will have its headquarters in the Changsha Economic Zone, located in the center of the Chinese Hunan province.