Chery to build Alfa Romeos in China

Fiat and Chery are likely to sign-off on a new joint-venture next week to start assembly of several Alfa Romeo models in China. The first cars to be assembled will likely be the Alfa Romeo 159 sedan, followed closely by the 147 hatch. Under the deal, Chery will be assembling the cars from imported knocked-down-modules and the complete production run is intended for the Chinese market only. Once suitable suppliers are found locally, full production is likely start up.

Chery already produces engines for Fiat and is also in a deal with Chrysler to manufacture cars for sale in South America and eventually the US. According to Automotive News, Chery also has an agreement with Israel-based Quantum Group to produce cars for global export.

Meanwhile, Fiat is trying to end its relationship with Nanjing Auto which builds Fiat branded cars for sale in China and has recently announced small-scale exports to Brazil.