Alfa Romeo confirms SUV production at Mirafiori from 2012
Fiat to invest €1.3bn in Turin’s Mirafiori plant for joint Alfa Romeo and Jeep SUV production, targeting up to 280,000 units annually from late 2012.
Fiat has confirmed that Alfa Romeo will enter the SUV segment in 2012, with production of a new model set to begin at the Mirafiori plant in Turin. The announcement forms part of a €1.3bn investment in the facility, which will also produce a Jeep-badged version of the same compact SUV.
Fiat-Chrysler CEO Sergio Marchionne confirmed the plans during a call with analysts on 27 January 2011. The Mirafiori plant will be re-tooled to support production of both Alfa Romeo and Jeep models, with a combined capacity of up to 280,000 units per year. Jeep is expected to take around 150,000 units, while Alfa Romeo will target a minimum of 100,000 units annually. These figures are described by Fiat as preliminary estimates.
The Alfa Romeo SUV is a key part of the brand’s strategy to re-enter the US market. At least half of the total production is earmarked for export, with the US and European markets as primary destinations. The new model is aimed directly at established premium rivals including the Audi Q5, BMW X3 and Mercedes-Benz GLK.
Mirafiori investment and jobs
The €1.3bn investment in Mirafiori covers re-tooling and new technology required for the SUV project. The plant is one of Italy’s largest, employing around 5,500 staff. Fiat’s broader plan includes a total of €20bn investment across its Italian operations. Alongside the new SUVs, the plant is also expected to begin production of the Alfa Romeo Giulia saloon and estate models from late 2012.
Product positioning and export plans
The new Alfa Romeo SUV will compete in the premium compact segment, targeting buyers of the Audi Q5, BMW X3 and Mercedes-Benz GLK. The model’s development is closely tied to Fiat’s partnership with Chrysler, with the Jeep variant sharing the same platform. Export is central to the project, with at least half of production destined for markets outside Italy, including North America. This move is seen as essential for Alfa Romeo’s global ambitions and its attempt to rebuild a presence in the US.
- Production start: Q3 or Q4 2012
- Target markets: Europe and US
- Rivals: Audi Q5, BMW X3, Mercedes-Benz GLK
- Annual output: up to 280,000 units
The Mirafiori decision follows Fiat’s wider strategy to consolidate Italian manufacturing and leverage its alliance with Chrysler for global product development. The SUV project is the first major Alfa Romeo launch to be aimed equally at European and American buyers. The company expects the new model to play a crucial role in Alfa’s relaunch in the US, where the brand has lacked a presence for several years.
For further context on the Alfa Romeo SUV project and its production timeline, seeAlfa Romeo SUV Gets the Green Light for Production.
