Small car, big controversy

Fiat 500 to be built in Mexico

Chrysler is said to be planning on building the Fiat 500 compact car at a plant in Mexico. The decision to build the car outside the U.S. and Canada could prove to be a political nightmare, given that the company owes its existence to taxpayers in the U.S. and Canada. Auto experts, however, say it could prove to be a wise move, as the market for the Fiat 500 may be bigger in Central and South America than in the U.S. Observers also expect that upcoming product lines from Chrysler (and Fiat) will include new cars being built in all three North American countries. Fiat owns a 20 per cent stake in Chrysler, and this is the first step in bringing its small car expertise to North America.

The Detroit News

The Wall Street Journal

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