FIAT SpA plans to open 20 exclusive dealerships in India by the end of 2012, a spokesman for its India unit said, as the carmaker starts to rebuild its network after ending a distribution agreement with Tata Motors, according to a Reuters report.
The Italian carmaker announced the end of a six-year agreement with Tata last week, and opened its first FIAT-only showroom on Wednesday in Hyderabad. FIAT cars were previously sold in Tata showrooms. FIAT's solo push comes after years of disappointing sales, in a country where foreign producers such as Ford, Honda and Nissan have recently acted to take more control of their own operations. The company, which sells 20,000 cars per year in India, has not disclosed how much it will invest in developing its dealer network in the country.
FIAT which will continue to manufacture cars and engines in collaboration with Tata Motors, currently sells the Linea, Palio and Punto models in India and is in the process of drawing up a new product line for the country, the report added.