With the exception of France, European governments offer very little help to their ailing car industries. Fiat hoped that Italy would follow the French example. Today, it received a cold shower instead. Italy’s prime minister Mario Monti “offers car makers sympathy, but no aid,” says Reuters.
Italy has not intervened with financial support for Fiat because its European losses are more than covered by revenue from its Chrysler unit in the United States, the report says.
In a sit-down with Italy’s Prime Minister Mario Monti , Fiat CEO Sergio Marchionne and chairman John Elkann came to a belated conclusion: A slump in Europe is not such a bad thing of you can sell you cars elsewhere. After the sit-down, Fiat told Reuters that it wants to “re-orient” its business model in Italy “to focus on exports, particularly outside of Europe.” This, the person familiar with the situation said, can mean only one thing: Get ready for made-in-Italy Jeeps and Imported from Torino Chryslers. (Read More…)