Future of Fiat: Italian moments are rare

Fiat begins to renew and electrify its model range. It is questionable whether the Italians can stick to their strategy. The new merger partner PSA has little left for obstinacy.

Would Fiat still exist without Chrysler? Industry experts like Peter Fintl from the technology consulting firm Altran answer this question with skepticism. "Only the good sales that FCA was able to achieve with the high-margin vehicles of the Jeep and Ram brands in the USA in recent years have secured the majority of their profits for the Italians," said Fintl. Because as well as the Dolce Vita icon Fiat 500 (unchanged in production for 13 years) and the smart small car Panda (market leader in its segment in Europe) sell, the profit margins are simply too small. It doesn't look much better with the 500 X and 500 L. And the Tipo does not play a role in its class against Golf & Co.

The future of the Fiat with Tipo

But what will happen to Fiat in the future? After the failure of the merger with Renault due to the intervention of the French government, FCA is now probably going together with PSA, united under the Stellantis holding company. It doesn't take a lot of imagination that this merger will have a significant impact on the model strategy. Opel has had similar experiences. The Rüsselsheim carmakers today neither have their minis Karl and Adam in their program, nor were they allowed to finish developing the Corsa, which in the end turned out to be very advantageous.
At Fiat, it could primarily hit the tip. The next generation will certainly have French technology under the sheet metal, like the next Opel Astra. Series start of the new Tipo: at the end of 2023 at the earliest. In addition to hatchbacks and station wagons, there will probably also be a classic sedan again. Fiat sells this body shape particularly well in Turkey, the Middle East and Africa. A fully electric version is also set. But it could stand on an evolution of the CMP architecture, as can be heard from Fiat developer circles. What is meant here is a full-surface floor battery that allows more range.

The Fiat 500 is likely to become a very emotional affair for Bald-Stellantis boss Carlos Tavares. "Here you need a lot of tact and not just a cool view of the return," says auto expert Stefan Bratzel, director of the Center of Automotive Management (CAM) in Bergisch Gladbach. "Today's 500 in the combustion version should continue to be built under Tavares as long as there is demand for it," says Bratzel. And the demand is high. Around 190.000 units of the 500 still roll off the production lines in Tichy, Poland.

Developed by Fiat alone and in production since August 24, 2020 is the "New 500", the electric version. It is based on a completely new platform and has its own body. In addition to sedans and convertibles, Fiat is launching a 3 + 1 version for the first time. Just like in the “Trepiuno” study, the rear door of the 3 + 1 on the passenger side opens in opposite directions. One B-pillar is missing.

The next panda won't debut until 2023

It won't stay with the electric 500 alone. "If you invest in a new platform and it is a completely new EV architecture, it is not worth it for a car, you will see it for other vehicles too," said Fiat CEO Olivier François to the magazine "AutoExpress". That the panda is meant is even revealed on the Fiat website and refers to the Centoventi study (Geneva Salon 2019). The next panda could look just as unconventional as this one and maybe become a “great box” again. Debut: around 2023.

According to François, there will also be other electric Fiat cars, including family cars and SUVs. This could be the successor to the 500 X and 500 L models. But it is questionable whether Carlos Tavares will accept Fiat's e-platform as a “dowry” or whether he will insist that the Italian cars be better placed on the CMP architecture.

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