Fiat says production has resumed at its Serbia factory in Kragujevac following a blockade of roads and railways by transport staff.

The stoppage - reported to have been around ten days - affected the Fiat 500L-producing plant although it is not yet clear what volume was lost.

"Production has restarted and everything is back to normal," a Fiat spokeswoman in Turin told just-auto.

"It was a transport company that blocked railways and roads. Suppliers were unable to deliver because someone blocked the railway - it was not Fiat people."

Earlier this summer, Fiat lowered its Kragujevac annual 500L forecast from 180,000 to between 110,000 and 140,000 because of a delay in sales starting to Russia.

Serbia has a free trade agreement with Russia but it excludes cars.

Belgrade has been pushing to have cars included so it can export its Fiat models to Russia under the more favourable terms.

The Kragujevac factory is a EUR1bn (US$1.4bn) joint venture between Fiat and the Serbian government, which has a 33% stake.

Fiat in Belgrade was not immediately available for comment.

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