Business news

10 Sep 2015

Fiat Chrysler Automobiles to set up two assembly enterprises in Belarus

TURIN, 10 September (BelTA) – Fiat Chrysler Automobiles (FCA) intends to set up two assembly enterprises in Belarus. The idea was discussed during the meeting of Prime Minister of Belarus Andrei Kobyakov with FCA Group management on 10 September, BelTA has learned.

The meeting took place at a manufacturing site of the Maserati enterprise in Turin. During the meeting the sides discussed prospects of FCA Group’s work. Andrei Kobyakov also took a tour of the enterprise. Talking to the FCA Group management, the Prime Minister remarked that Belarus was ready to arrange a visit of the company’s delegation to Minsk for the sake of further development of cooperation.

Alexei Vaganov, member of the Supervisory Board of the Belarusian automaker ZAO Unison, explained that the sides had reached a preliminary agreement to implement two projects to assemble cars and commercial vehicles. Iveco and Fiat commercial vehicles and cars were mentioned. “Our capabilities match the desire and prospects of Fiat Chrysler Automobiles on the Eurasian Economic Union market. Our first step will be the launch of SKD assembly in 2016. We plan to reach a certain localization percentage — 30-50% — in 2017-2018,” noted Alexei Vaganov.

Premises of the joint venture ZAO Unison and BelavtoMAZ are supposed to be used for projects involving Fiat Chrysler Automobiles. According to Alexei Vaganov, the volume of investments cannot be disclosed yet, the models and technical support are being discussed.

Apart from that, the meeting with the FCA group management also focused on setting up a working group to put together a memorandum of cooperation between Belarus and Fiat Chrysler Automobiles.

Fiat Chrysler Automobiles (FCA Group) is a major automobile manufacturer that was established after FIAT was merged with American Chrysler. The company is the world’s seventh largest automaker. The company is headquartered in Netherlands while the financial center is located in the UK.

Fiat Chrysler Automobiles operates via two primary daughter enterprises — FCA Italy (Fiat Group Automobiles in the past) and FCA US (previously Chrysler Group). The concern works with many famous automobile brands, including Alfa Romeo, Chrysler, Dodge, Fiat, Fiat Professional, Jeep, Lancia, Ram Trucks, Abarth, Ferrari, Maserati, and other ones.

In 2014 Fiat Chrysler Automobiles earned €96.1 billion, with the net profit at €630 million. FCA Group employs over 225,500 people. The concern intends to raise automobile output up to 7 million per annum.