Fiat set to make India R&D hub
By siliconindia   |   Wednesday, 17 September 2003, 19:30 IST
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FRANKFURT: Fiat India is steering towards a brighter future. In keeping with the massive organisational revamp undertaken by Fiat Auto SpA, the Italian car major has decided to make India a low-cost R&D hub for its global operations, according to Economic Times, a business daily in India. The Indian arm, officials said, had already been commissioned to develop cars for its operations in China and Italy. Stating that India enjoyed the advantage of being a low-cost manufacturing base with a huge pool of technological talent, a company spokesman said research work on an international model had already begun at Fiat’s Kurla unit. “Fiat is there to stay in India and we will take full advantage of the benefits of the market. In the new scheme of things, Fiat India is fast emerging as the R&D export hub for Fiat’s global operations,” the official said at the ongoing Frankfurt Motor Show. While he refused to divulge details and specifics about the model, sources in Fiat India said though the car was being developed initially for the international market, it would also be rolled out in India later. A Fiat India spokesman added: “There are around 70 engineers in this new research team in India, which will help us transform the Indian unit into an R&D hub for Fiat worldwide.” Fiat is the latest international car maker to make India its R&D and production hub for volume cars. Prior to this, Suzuki and Hyundai had announced similar plans for their respective Indian operations. While Hyundai has already shifted production for its small car to India, Suzuki is using Maruti as the research hub for its future small car models. This comes on the heels of the Italian giant nullifying Fiat India’s losses. (Source: ET)

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