MercoPress. South Atlantic News Agency

Fiat and India's Tata to build light trucks in Argentina

Fiat planned a production of 20 000 units in Cordoba

Fiat and Tata announced in Milan, Italy the expansion of their strategic co-operation with their first industrial project outside India. Fiat will build a Tata bakkie (with Fiat badges) at its plant in Córdoba, Argentina, under an agreement that followed a feasibility study started in July 2006.

The first vehicles will roll off the Córdoba assembly lines during 2008 and annual production is planned at about 20 000 units. Total planned investment in the project is around 80 million US dollars. The (bakkie) light truck is based on the new-generation Tata TL Sprint and will be sold in South and Central America and some European markets, enabling Fiat to enter the medium sector The light truck will be styled and positioned differently from the Tata version; it will available in single and double-cab layout with either rear-wheel or all-wheel drive, and powered by a 2.3-litre, 99kW JTD turbo-diesel engine made in the Fiat Powertrain Technology factory in Sete Lagoas, Brazil. Fiat CEO Sergio Marchionne said: "This agreement is a further step in the building of a large, focused partnership with Tata, and will allow Fiat to enter a specific car segment with a very competitive product." Tata chairman Ratan Tata commented: "I am very pleased at this first step in expanding the Fiat/Tata relationship outside of India, and hope this heralds a global partnership across markets and business segments".