Italy Government Considers Taking Over Defunct Auto Brands to Attract Chinese Companies
In a bid to revitalize its automotive industry, the Italian government is reportedly considering taking control of defunct auto brands owned by Stellantis and offering them to Chinese companies. This initiative aims to encourage these companies to establish factories in Italy, according to a report from Il Sole 24 Ore.
The prospective plan involves the acquisition of the Innocenti and Autobianchi brands, both of which ceased operations in the 1990s. Innocenti gained fame in the 1960s and 1970s for its production of an Italian version of the British Mini. However, it was later acquired by Fiat, now a part of Stellantis. On the other hand, Autobianchi specialized in producing high-end city cars like the A112 and Y10.
The government’s appropriation of these brands would be made possible by a law passed in December and a draft implementing decree currently under examination by the Court of Auditors. These regulations pertain specifically to brands that have remained unused for at least five years.
Once under government control, the defunct brands could be offered to both domestic and foreign companies that are willing to invest or relocate their manufacturing activities to Italy. This move reflects an effort to attract foreign investment and promote economic growth within the country.
The Italian government’s motivation to take over these brands lies partly in its strained relationship with Stellantis, the parent company of Fiat. Prime Minister Giorgia Meloni’s nationalist government has repeatedly accused Stellantis of neglecting its historic production bases in Italy. While discussions between the government and Stellantis are underway to increase Italian vehicle manufacturing to 1 million units per year, the government is also seeking to expand the domestic industry by enticing a Chinese automaker to establish operations in Italy.
Recently, Fiat showcased its Serbian-made Panda model and celebrated its 125th anniversary at its historic headquarters in Turin, Italy. During the event, Industry Minister Adolfo Urso reiterated the government’s call for Stellantis to reintroduce manufacturing activities in Italy.
With this potential takeover of defunct auto brands and the subsequent offer to Chinese companies, Italy hopes to attract foreign investment and revive its automotive industry. By leveraging unused brands, the government aims to create opportunities for companies to establish a presence in Italy and contribute to the growth of the domestic economy. This initiative not only displays Italy’s ongoing commitment to its manufacturing heritage but also demonstrates its eagerness to embrace foreign partnerships for a stronger automotive sector.
