Fiat is reportedly preparing production for two new SUV models that will be released to the public by 2014.
This changes the company's original plans to shut down the Melfi plant in Italy where the two vehicles will be constructed. The move was to take place to reduce expected loses for this year according to Automotive News Europe.
The two vehicles that will be produced there include a Jeep and Fiat SUV models. The new plan came to some as a surprise, but Fiat is hoping by going with option B they will be able to increase sales and export numbers.
The Fiat plant located in Cassino, IT will probably be in charge of building the new Chrysler 100 model as well, which is expected to be advertised heavily in the U.S. The new vehicle would replace the Lancia Delta.
The automaker has seen drastic hit in sales in Europe the past couple of years, and in the last nine months the company's stock fell almost 17 percent according to the European Automobile Manufacturers Association.
The ACEA is also reporting that the European auto market as a whole is going through its worse year in almost 20 years.
"Export from Italy is a way to use some of the capacity that is in Italy and the exports can go anywhere," said Mike Manley, the head of Chrysler's international operations to Automotive News Europe.
Fiat recently suspended investments in Italy, which has currently reduced spending in Europe by 500 million euros or $655 million U.S. dollars in 2012.
The company is currently looking for other businesses interested in helping there export numbers grow. Admittedly, the company knows it would be hard doing so without assistance.
"We need to find an agreement quite rapidly, we can't wait forever," said Sergio Marchionne, the chief executive for Fiat and Chrysler according to Automotive News Europe. "We need some assistance; we can't do everything by ourselves. We must create conditions in Italy to export."
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