[mints21]

If the news item in various forums are to be believed, Fiat India Automobiles Limited (FIAL) has rolled out 300,000th car (A Fiat Linea) manufactured from its Ranjangaon facility in Pune. The facility is a joint venture with Tata Motors and also produces Petrol and Diesel engines that are supplied to Maruti.

FIAL manufacturing facility in Pune has a total area of 200 acres which comprises of 4,000 trained personnel who have contributed to achieve this landmark. The facility has a maximum capacity of producing 1,60,000 cars and 3,50,000 engines annually besides 3,00,000 parts and accessories.

The news item reflects the FIAL's commitment towards Indian market.

Congrats and all the best FIAL.


Link to the Articles:

http://www.autocarindia.com/auto-new...ia-382639.aspx

http://carsizzler.com/news-detail/00...t-in-Pune.html

[ad3952n]

Originally Posted by mints21

The news item reflects the FIAL's commitment towards Indian market.

Dear Sir, It’s hard to ignore Fiat as there has been a multitude of developments in the brand recently. But, it's indeed a prestigious production milestone for Fiat in India.

Sir, In my view the brand is targeting a very risky market, as their focus is on performance and driving pleasure. These two facets do appeal to many, but with current car prices, buyers have to go for safer options by force.

Thanks

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[a4anurag]

Originally Posted by mints21

If the news item in various forums are to be believed, Fiat India Automobiles Limited (FIAL) has rolled out 300,000th car (A Fiat Linea) manufactured from its Ranjangaon facility in Pune. The facility is a joint venture with Tata Motors and also produces Petrol and Diesel engines that are supplied to Maruti.

The news item reflects the FIAL's commitment towards Indian market.

I was thinking that Maruti produces the DDiS engine themselves and pays Fiat royalty! And does that mean the K-Series engine is also produced in that very factory?

Fiat is in refreshing mode with repairing things in their working pattern. Hope they come out in a better way so that their cars sell well. They currently seem to enjoying the money that Maruti keeps paying them for the 1.3 MJD a.k.a DDiS engine.

Anurag.

[GTO]

It's telling that a majority of those 300,000 cars have been Tata cars and not Fiat. Just look at the sales of the last 5 years and you'll know that Tata's models have kept the factory busier than Fiat's own rides.

Fact is, as of date, Fiat builds more cars for other brands & sells more Fiat engines for use in other cars than its own.

[desdemona]

Originally Posted by GTO

It's telling that a majority of those 300,000 cars have been Tata cars and not Fiat. Just look at the sales of the last 5 years and you'll know that Tata's models have kept the factory busier than Fiat's own rides.

Fact is, as of date, Fiat builds more cars for other brands & sells more Fiat engines for use in other cars than its own.

True, although it is also true that the Ranjangaon factory has recently started turning out 'profits' (albeit as Fiat and Tata define them.) Which of course is much more than can be said of most of the non-Maruti/Hyundai/Mahindra factories. Interestingly, this factory manufactures not only engines for exports and supply to Maruti but many other components inhouse ('insourcing').

As Fiat carries forward its ongoing comeback, soon hopefully to be joined by Tata, and as in a year or two fiat hopefully starts part-manufacture/assembly of the new small global Jeeps (Renegade+Compass replacement), this manufacturing JV looks set to flourish, maybe?

[amit]

Originally Posted by ad3952n

Sir, In my view the brand is targeting a very risky market, as their focus is on performance and driving pleasure. These two facets do appeal to many, but with current car prices, buyers have to go for safer options by force.

Problem is current Fiat car's are neither safe options nor having performance which dent's driving pleasure to a big extent. Yes, they have the T-Jet but by hiking the ground clearance to SUV level's they have made a mess of any potential the car had for a sporty performance.

[desdemona]

Originally Posted by amit

Problem is current Fiat car's are neither safe options nor having performance which dent's driving pleasure to a big extent. Yes, they have the T-Jet but by hiking the ground clearance to SUV level's they have made a mess of any potential the car had for a sporty performance.

Highly debatable, and a somewhat extreme formulation, I'd say. Have you driven the T-jet? Believe me it remains a brilliantly sporty ride, without being exorbitantly priced or uneconomical to run/own. Still by far the best manual petrol sedan this side of 17-18 lakhs.

[im_srini]

Originally Posted by a4anurag

I was thinking that Maruti produces the DDiS engine themselves & pays FIAT royalty !

It's a rather complicated story, but par for the course when it comes to automobile companies.



Source : 4-year old image from CarMagazine...

FIAT-India-Automobiles-Limited ( FIAL ) is a 50:50 joint venture between Fiat-Group-Automobile-SpA ( Italy ) & Tata-Motors ( India ).
FIAL owns the engine & transmission plant at Ranjangaon.
Suzuki-Motor-Corporation ( SMC ) owns around 56% of Maruti-Suzuki-India-Limited ( MSIL ).
Suzuki-Powertrain-India-Limited ( SPIL ) was a 70:30 joint venture between SMC & MSIL.
SPIL was originally Suzuki-Metal-India-Limited ( SMIL ), which was involved in casting of aluminum engine blocks & heads.
SMIL was renamed as SPIL & its function increased to include manufacture of petrol & diesel engines, as well as transmissions.
SPIL's diesel engine plant was setup with a capacity to make 300,000 DDiS engines a year ( under license from FIAT ).
Due to the demand for the diesel Swift & Dzire, MSIL faced issues with diesel engine supply ( remember the long waiting times ? ).
So, SMC signed an agreement with FIAT, sometime in 2012, for the supply of the 1.3 L diesel engine from FIAL.
The agreement was for Maruti-Suzuki to buy 100,000 diesel engines a year, for 3 years, from FIAL ( i.e. till 2015 ).
SPIL was merged with MSIL sometime in 2012.

Originally Posted by GTO

Fact is, as of date, Fiat builds more cars for other brands & sells more Fiat engines for use in other cars than its own.

True, now that SMC / MSIL are developing their own line of diesel engines, their dependence on FIAL for diesel engines could be diluted in the next couple of years or so.

Originally Posted by a4anurag

Does that mean the K-Series engine is also produced in that very factory ?

No, the petrol engine tech comes from SMC, the F, G, M, & now K series engines are all from SMC.
Suzuki makes a monster of an engine for the Hayabusa - a 1.3L engine developing ~175 BHP at 10,000 RPM !
This engine has been bored, stroked, & turbo'd to 600 BHP ( ! ), it's fair to say SMC understands petrol engines very well.
Quite late in the game, but SMC is now working on turbo'd, direct injection petrol engines, as well ( VW & Ford being first-movers ).

It's innovate or die in the automobile world, or at least license the tech from somebody who does
.

[desdemona]

Originally Posted by im_srini

It's a rather complicated story, but par for the course when it comes to automobile companies.

True, now that SMC / MSIL are developing their own line of diesel engines, their dependence on FIAL for diesel engines could be diluted in the next couple of years or so.

There has been, for two years now, strong speculation in Fiat-Chrysler circles in the US and Italy about Fiat-Chrysler under Marchionne being VERY interested in buying out VW's stake in Suzuki (depending on the arbitration proceedings currently underway between VW and Dispute.) And of Suzuki apparently being open to such a deal too, for very very compelling resonance and synergies possible between the two.

Wonder what's the status of that? By when does the VW-Suzuki dispute get settled? Later this year?

If it happens it will have a major and salutary impact on both Fiat India and Maruti. Still speculation and rumour, of course. Let's see.