HARD SHOULDER:SIGNIFICANT JOB LOSSES at Fiat's Irish operation are expected as a result of cost-cutting measures the Italian brand is introducing across Europe. A spokesman declined to discuss the likely number of job cuts but it's believed that it will be a sizeable percentage of the 32 currently employed.
He said that a restructuring plan is currently being drawn up by Irish management to present to Turin headquarters. While job losses are expected, Turin is not considering handing over control to the UK division of the car firm.
It’s not believed that the restructuring will involve a move from its current premises on the Naas Road, where a new dealership is due to open in July under the control of the current Tallaght Fiat operator Michael Kerslake.
Fiat has suffered under the severe drop in new car sales since 2008, combined with an ageing product line-up and the additional strain of taking over the Chrysler and Jeep brands last year. In its last filed accounts Fiat Group Automobiles reported a loss in 2010 of €4.5 million.
Fiat’s global chief executive Sergio Marchionne announced yesterday that the firm was cutting capital expenditure in Europe this year by €500 million in light of weakened demand. It has also stopped additional investments in its Chrylser Group models on the continent and postponed the introduction of some new models in Europe.
Kia Sorento SUV makeover is more than skin deep
KIA HAS UNVEILED an updated Sorento SUV, three years on from the launch of the current model, and according to Kia this is not just a cosmetic exercise but a major step forward. While the exterior looks much as it did before, underneath, major engineering changes have seen the weight of the car trimmed by up to 100kg, with claimed subsequent benefits for emissions and fuel consumption.
The new Sorento also gets a much-updated interior and will be available only as a seven-seat model when it goes on sale later this year.
Outlander hybrid to showcase at Paris
WHILE MITSUBISHI is preparing to bring its new Outlander crossover SUV to dealerships this autumn, back at head office in Japan plans are in place to showcase a plug-in hybrid version of the car at September’s Paris motor show.
While the firm’s over-priced electric car, the i-MIEV, has been a bit of a flop, the car maker did learn some valuable insights into alternative powertrains. The result is this new plug-in petrol/electric hybrid version of Outlander. The system involves electric motors front and rear along with a front-mounted petrol engine. Reports claim that it will have emissions below 50g/km and achieve a mouthwatering 150mpg.
Ferrari designer sends his talent east
COULD CHINESE CARS shortly be as good looking as Ferraris? Well, just possibly, as the little-known Beijing Auto company, which got a start making sidecars for Chinese army motorcycles, has just hired Leonardo Fioravanti.
Not heard of him? Dont worry, you’ve most certainly heard of some of his most famous creations, the Ferrari Daytona and 288 GTO. The 74-year-old Italian is just the latest in a stream of European designers heading east, joining Mini designer Gert Hildebrand and former Volvo and Ford chief stylist Peter Horbury. Beijing Auto, in hiring Fioravanti, is committing resources to its plan to be a maker of world-class cars by 2025.
Volvo considers giving Polestar a bigger push
VOLVO IS mulling serious production of a 500bhp rival to the BMW M5, which we'll be giving the road test treatment to soon. The S60 Polestar Performance Concept, built by Volvo's long-standing racing and tuning partner, Polestar, develops a whopping 508bhp from its turbocharged straight-six 3.0-litre engine, and has a claimed 0-100km/h time of 3.9secs. So far, it’s a one-off, built by Polestar for an anonymously wealthy client, but Volvo itself is saying, quietly, that depending on the reaction to the car, it could just possibly be built in small numbers.