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Hot News: Fiat/Zastava Topolino is Coming


Fiat SpA's purchase of a majority holding in Serbian car-maker Zastava looks set to go through before the new year.

The 1bil EUR joint venture between Fiat and the Serbian government was originally planned to go ahead in 2008. The global economic slowdown put paid to that, but since a meeting between Fiat boss Sergio Marchionne and Serbian President Boris Tadic last week, the deal is expected to be finalised within days.

Fiat is expected to make its new Topolino city car, a three-metre two-seater based on the Panda, on the Serbian company's production lines. The car will be positioned below the Panda and the 500 on price, and is expected to use Fiat's new 900cc 'MultiAir' engine in 65bhp, normally aspirated form.

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