Hoovey689

iTrader: (16)

Report: VW wants to buy Alfa Romeo, Fiat unwilling to part

According to Automotive News Europe, Volkswagen is keen on continuing its hungry, hungry hippo march through the automotive world. The report says that the German manufacturing giant has its eye on snapping up Alfa Romeo, even though parent-company Fiat has no intention of turning the brand loose.

The news comes courtesy of two unnamed, high-ranking VW officials who claim that the company has developed a serious taste for Italian as of late. Meanwhile, a similarly shadowy figure in the upper echelons of the Fiat kingdom says that Fiat won't sell Alfa Romeo to the Germans.

While the two companies appear to be drawing lines in the sand, Fiat has said that it wants Alfa Romeo to become a world-class luxury manufacturer. That includes selling upwards of 500,000 units per year by 2014 – nearly five times what the company managed to move in 2009.

So why does VW want Alfa Romeo? Nabbing the brand would be an easy way to help the carmaker in its quest to take down Toyota as the world's number one automaker. Dipping into the Alfa Romeo stable would also give VW access to a wealth of new front-engine, front-wheel-drive chassis options as well.

http://www.autoblog.com/2010/08/23/r...lling-to-part/

Big Andy

I don't think FIAT is ready to give up Alfa yet. They want to see how the new MiTo and Guilletta perform in the market, together with a new larger 159 replacement. However, they are in the last chance saloon and if they continue to fail then a deal could be in the offing.
If VW do buy Alfa Romeo then that surely would sound the death knell for SEAT - wasn't that supposed to be VW's Alfa competitor?

Faymester

Once upon a time, there was a car company called GM ...

mmarshall

If this figure won't come out of the shadows (and the media won't print the name), why should they be believed? If you speak the truth, you should have nothing to hide. I don't believe in shadowy, in-the-closet nonsense....at least when it comes to auto marketing.

And how did Toyota get in so much trouble? Among other things, chasing after GM, trying to become the world's #1 automaker. History repeats itself.


VW doesn't already have enough FWD platforms of their own? Most of what they already sell, both in America and Europe, is either FWD or AWD.

caddyowner

Hmm, Alfa is supposed to provide the larger sedan offerings for Chrysler in the U.S. and sell select Chrysler models in Europe. Mr. Black Sweater is now predicting that Chrysler will not post a profit this year. I wonder if he'll sell Alfa only if VW agrees to take Chrysler, too.

mmarshall

VW working with Chrysler (or merging with them) would not be anything new. In the past, VW and Chrysler have had several buisness deals.....Chrysler giving VW a U.S. plant for Rabbit/Golf manufacture, VW giving Chrysler 4-cylinder engines for FWD Dodge-Plymouth small cars, and, of course, the Chrysler/Dodge minivan platform being the basis for the new VW Routan minivan.

LexFather

VW would simply turn it into another rebadge brand like SEAT, Skoda, etc etc

2002GGPIS3

Yes I read this in autoweek and one of VW's plans is to phase Seat out and have Alfa in it's place.

mmarshall

Alfa (and Fiat) officials also seem to want to make their own decision whether to bring Alfa back to the American market or not (and there have been some strong hints of that). If VW gets control of Alfa, of course, that decision will likely be made by someone else.