Fiat Says Further Plants Might Be Affected by Supplier Disruption image

Fiat said that after the supply disruptions at the Maserati plant in Grugliasco and the production stoppages at the plants in Serbia and Spain, more facilities are now at risk.

Fiat’s vehicle production in Europe faces delays after supplier Selmat Automotive stopped the delivery of plastic components used in the Iveco trucks, 500 subcompacts and Maserati sedans.

“Other plants are also at risk of having to halt activities in the next few days. The situation is causing significant damage to Fiat Group, as well as the other suppliers, who have continued to meet their delivery commitments. Several thousand workers were affected last Friday,” said CEO Sergio Marchionne.

Fiat said that Selmat’s failure to deliver commitments forced plants to suspend production, ‘with inevitable consequences for workers.’ Selmat CEO Enzo Maccherrone said that it told Fiat in April it will stop production between April 29th and May 2nd. Currently, the company deliveries auto parts normally.

“Fiat is making all this noise just because they wanted to buy my company at a bargain price,” said Maccherrone.

As Fiat plans to end loses in Europe by 2016, it is increasing production of the upscale models in the region, including the $130,000 Maserati Quattroporte.

Source: Just-Auto