just-auto.com

ITALY: Russia to make Fiat vans, parts

By just-auto.com editorial team | 28 June 2007

Fiat's popular Daily van is to be made in Russia, along with Magneti Marelli vehicle instrument clusters.

The Italian automaker on Thursday said it had formed a joint venture with Russia's Samotlor-NN to produce the Daily.

The companies plan to invest about EUR50m ($US67.2m) in the venture, with Fiat's Iveco commercial vehicle unit holding a 51% share and the Russian company 49%, the Associated Press (AP) reported.

The companies aim to produce 25,000 units, mostly for sale in Russia and other ex-Soviet states.

In a separate deal, Fiat's parts unit Magneti Marelli has signed a letter of intent to create a joint venture with Avtopribor of Russia to make electronic instrument clusters for motor vehicles. Magneti Marelli will have 51% and Avtopribor will have 49%, AP added.