Fiat is now the sole owner of diesel engine supplier VM Motori after it acquired a remaining 50 percent stake in the fellow Italian firm from General Motors. VM Motori supplies diesel engines for vehicles like the Jeep Grand Cherokee EcoDiesel, Ram 1500 EcoDiesel and previously some Cadillac models sold overseas.
General Motors Company [NYSE:GM] bought its stake in VM Motori back in 2007 in order to develop some new diesel engines. According to Automotive News (subscription required), GM has now sold the stake to Fiat for 34.1 million euros ($47.1 million).
In addition to sourcing its diesel engines from VM Motori, Fiat’s supercar brand Ferrari also manufactures some diesel engines for the Italian auto giant. These are used in Maserati vehicles. In the U.S., Fiat partner Chrysler will be gauging the popularity of the VM Motori diesel engines in the Jeep Grand Cherokee and Ram 1500 to determine if it offers the option in more vehicles.
VM Motori manufactures approximately 90,000 engines per year, though many of these are utilized for marine, industrial and other uses.