Fiat India, the Indian subsidiary of the Italian automobile manufacturer Fiat is in talks with the Premier Limited to supply it with diesel engines for the compact Premier SUV RiO. The company will be providing Premier with the 1.3 liter multijet engine which is also supplied to Maruti Suzuki India, stated Mr. Rajeev Kapoor CEO Fiat India Automobiles.
Mr. Kapoor stated that the company will make an announcement regarding the number of engines to be delivered and the term of the contract by May 2012. The diesel engines will be manufactured at the company’s Ranjangaon facility situated in Maharashtra.
The company is also planning to expand the number of dealerships in India from two at present to 25 by the end of 2012 in order to boost its sales. The Fiat exclusive showrooms will be opened specifically by the dealers which are currently hosting both Tata and Fiat car models.