JOINT VENTURE FINALISED AMONG IVECO, FIAT POWERTRAIN TECHNOLOGIES (FPT) AND SAIC MOTOR CORPORATION IN THE FIELD OF MEDIUM AND HEAVY ENGINES
Iveco and Fiat Powertrain Technologies (FPT), two companies of the FIAT Group, have signed a Joint Venture agreement with SAIC Motor Corporation, as a follow-up of the Memorandum of Understanding signed in July, to establish a long-term partnership in China in the field of medium and heavy Diesel engines.
The formal signing occurred in the presence of the Chinese Prime Minister, Mr. Wen Jiabao and the President of the Council of Ministers of the Republic of Italy, Mr. Romano Prodi.
Mr. Luca Cordero di Montezemolo, President of the Confederation of Italian Industry (Confindustria) and Fiat Group Chairman, and Mr. Sergio Marchionne, Fiat Group CEO, also participated in the ceremony.
Industrial plans include the manufacturing of three different medium and heavy engine ranges: F5, NEF (in both 4 and 6 cylinder versions), and Cursor 9 with an investment of above € 150 millions. Localisation of these engine families will guarantee a cost competitive, high-technology engine offer in China which will in turn support the other Fiat Group’s company plans and will allow taking every opportunity in this fast growing market. Investment totals over 150 million Euro.
About SAIC Motor Corporation Limited (SAIC Motor)
SAIC Motor Corporation Limited (SAIC Motor), in Shanghai, is one of the largest automakers in China. It sells more than one million vehicles per year and has more than 56,000 employees. SAIC Group activities also include a wide range of automotive manufacturing and commercial activity, such as passengers and commercial vehicles, agricultural and construction equipments, components, and related services.
With a consolidated revenues exceeding US$ 14,4 bn in year 2005, SAIC Group is one of the “Fortune Global 500” corporations. FIAT Group and SAIC have already set up three joint ventures for industrial co-operation: Shanghai New Holland, a leading tractor manufacturer in China, Huadong Teksid, the biggest producer of engine blocks in China, and Shanghai Meridian, for the production of magnesium castings and components.
About Fiat Powertrain Technologies (FPT)
Born in March 2005, Fiat Powertrain Technologies is the the powertrain sector of the Fiat Group. FPT includes all the powertrain activities of Fiat Auto, Iveco, Centro Ricerche Fiat and Elasis. With its annual output of around 2,5 million engines and 2 million transmissions, FPT is one of the most significant players in the automotive sector on a worldwide basis.
Iveco designs, manufactures, and markets a broad range of light, medium and heavy commercial vehicles, off-road trucks, city and intercity buses and coaches as well as special vehicles for applications such as fire fighting, off-road missions, defence and civil protection.
Iveco employs 32,000 people and runs 43 production units in 18 Countries in the world using excellent technologies developed in 15 research centres. Besides Europe, the company operates in China, Russia, Turkey, Australia, Argentina, Brazil, and South Africa. More than 4,500 service outlets in over 100 Countries guarantee technical support wherever in the world an Iveco vehicle is at work.
Iveco is a Fiat Group Company.
Torino, 18 September 2006