Fiat Chrysler Plans To Resume Panda Production On June 16
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Fiat Chrysler (FCA) plans to resume production of its Panda small car at its plant in Pomigliano, near Naples in southern Italy, on June 16, a union representative said on Wednesday.
The restart, initially scheduled for June 8, had been postponed this month because of weak demand in the face of the coronavirus crisis.
The company has informed unions that production would restart at pre-crisis levels, said Gianluca Ficco of the UILM union.
“FCA told us it aimed to give continuity of production and jobs, even if that will also depend on demand, which is still very weak,” Ficco said. “So we can’t rule out further stops if demand proves too weak”.
Reuters sources say EU competition watchdogs may demand concessions before clearing Fiat-Chrysler’s proposed merger with Peugeot-maker PSA.
A spokesman for the Italian-American carmaker confirmed plans to restart Panda production on June 16.
FCA has already resumed regular production of vans and of Jeep’s Renegade and Compass models in Italy, as well as preparatory work for the new electric Fiat 500 small car.
Ficco said he hoped that the new hybrid version of the Panda would help to support volumes and that the government would agree measures to support demand and production in the Italian automotive industry.
Italy is considering incentives of up to 4,000 euros ($4,550) to buy the latest generation of petrol and diesel cars, joining France and Germany in offering support to an industry that has been hit hard by the coronavirus crisis
Questions & Answers
Q.Why was the planned restart of Panda production earlier in June postponed?
Why was the planned restart of Panda production earlier in June postponed?
The restart, initially scheduled for June 8, was postponed because of weak demand resulting from the coronavirus crisis. This decision reflects ongoing challenges in the automotive market.
Q.What level of production does Fiat Chrysler plan to resume for the Panda?
What level of production does Fiat Chrysler plan to resume for the Panda?
FCA has informed unions that it plans to restart production of the Panda at pre-crisis levels. However, future continuity will depend heavily on sustained demand, which is currently weak.
Q.What other vehicles has Fiat Chrysler already started producing again in Italy?
What other vehicles has Fiat Chrysler already started producing again in Italy?
FCA has already resumed regular production of vans and of Jeep's Renegade and Compass models in Italy. Preparatory work for the new electric Fiat 500 small car has also recommenced.
Q.What measures is the Italian government considering to support its automotive industry?
What measures is the Italian government considering to support its automotive industry?
Italy is considering incentives of up to 4,000 euros to encourage the purchase of the latest generation of petrol and diesel cars. This aims to support the industry hard-hit by the coronavirus crisis.
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