Sluggish Sales Equal Production Slowdown For Alfa Romeo, Maserati, Jeep, Fiat

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Sluggish Sales Equal Production Slowdown For Alfa Romeo, Maserati, Jeep, Fiat

19 Oct 2017, 14:42 UTC · by Mircea Panait
/ Home / News / Industry

Bad news, fans of Fiat Chrysler’s most Italian of brands! Both Alfa Romeo and Maserati are not doing great regarding sales, the reason why FCA decided to cut production for both automakers. And the reason for this slump in demand? Apparently, new Chinese import rules have hit Fiat Chrysler hard, especially the two brands.
36 photos Although China faced criticism in the past for being too lenient on emissions and pollution, the People’s Republic is working hard on addressing these issues. Collateral damage comes in the form of increased restrictions for automakers, mostly because China follows the model set by France and the UK, countries that will ban the sale of fossil fuel cars and SUVs by 2040.
By August 2017, China had reached its 2020 target for solar energy installation, which makes the People’s Republic the largest producer of solar energy in the world. Large-scale carbon capture plants are also on the way, with the first of a planned eight currently being built. The bottom line is, China’s government is very focused on reducing the carbon footprint.
And as a result of these policies, imported automobiles are not exactly welcome in the Middle Kingdom unless they’re hybridized or electric. Alfa Romeo and Maserati don’t have such vehicles in their lineup, and that’s the gist of it. According to Automotive News, FCA declined to comment on the matter, but the cited publication has the numbers to back up its claims.
The Levante plant in Mirafiori will shut down for two weeks between October and November, with sales in China now averaging 350 examples per month compared to more than 800 units per month in the first half of the year. Over at Alfa Romeo, the Cassino plant in Italy now builds 265 vehicles per shift instead of 300. This decision follows four Fridays that were hampered down by production stops, totaling a loss of 2,000-plus Giulias and Stelvios.
From 2,666 Stelvio units delivered in China in July, Alfa Romeo slumped to 227 examples in August. As if that wasn’t bad enough, the Fiat 500X and Jeep Renegade have both seen production reductions at the Melfi plant in Italy. From the report: “Workers at the plant have been temporarily laid off for 21 days this year, including 11 days in the third quarter. As a result, production of the two models was down 25 percent in the quarter.”