Shanghai-Volkswagen (SVW) is considering taking over Fiat’s manufacturing facility in China as it seeks to boost capacity in China.

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“There are several options. Nanjing [Nanjing Auto, now merged with SAIC] would be one of the options,” Kai Grueber told AFP, referring to the east China plant which Fiat has agreed to sell to SAIC.


But the venture has not signed any agreement to take over the Fiat plant, he added, denying a report in the official Shanghai Securities News that a deal had been reached.


The report said the plant had annual production capacity of 60,000 vehicles a year, which would increase to 100,000 by 2010.


“We are still in a phase of growing and need to increase capacity. It will be done step by step in line with demand,” Grueber said.

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“We want to surpass the one million mark this year.”