Fiat-Chrysler’s plans to build Jeep into a global brand have moved forward with a new executive running the company’s Chinese joint venture to ramp up production of the SUV line.
Chrysler and Chinese automaker Guangzhou Automobile Group joint venture GAC-Fiat aims to produce over 100,000 new Jeep models in China by as early as 2014, in a move that is key to Fiat’s goal of selling 300,000 vehicles annually in China by next year, Reuters reported.
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Fiat-Chrysler is hoping that Jeep’s wide brand recognition in China will help it catch up to competitors in China as well as build Jeep’s sales to a new record high.
GAC-Fiat’s new general manager, John Burton, took over on 1 March, replacing Jack Cheng. Burton has nearly 20 years of experience running plants for General Motors in Poland, Germany and Britain and, most recently, was in charge of green field projects for GM in Detroit.
“He has an immense task since Fiat is obviously one of the last automakers into China,” Bernstein analyst Max Wharburton told Reuters.
“They have some knowledge of China thanks to Iveco (trucks) but in passenger cars they are starting from scratch with an unknown brand, limited distribution, and a somewhat difficult local partner.”
Fiat lags far behind other foreign carmakers in China. General Motors and Volkswagen both sold over 2.8m cars last year, and together accounted for over 29% of total vehicle sales in China, according to IHS Global Insight.
Fiat sold 8,800 cars in January in China, according to IHS.
Ut built its first factory in China in June 2012 in Guandong where Burton is based. It launched the Viaggio sedan in September, which shares a platform with the Alfa Romeo Giulietta and the Dodge Dart.
Jeeps to be made in China again
