Italian car giant Fiat has stopped importing cars into Australia as it struggles to compete with new brands from China.
Fiat’s passenger car division will no longer import the Fiat 500e electric hatchback and Abarth 500e electric hot hatch, leaving the brand in a precarious position.
Fiat, part of the Stellantis group, joins French subsidiary Peugeot in dire straits as the latter’s local importer gave up the right to sell Peugeot cars locally.
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A Stellantis spokeswoman said Fiat had not closed its doors in Australia.
“As part of Stellantis Australia’s ongoing portfolio and product planning process, the availability of specific models may change over time as we assess market demand and future product capabilities,” she said.
“We remain focused on ensuring the cars we bring to Australia meet customer expectations. With Fiat recently establishing Stellantis as one of its core global brands, we are excited about the opportunities the brand represents in the future.
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“Australian stock of the Fiat 500e and Abarth 500e is currently largely sold out and we are not planning additional orders at this stage while we assess future product opportunities for the local market.
“We continue to support our Fiat and Abarth customers and dealer network and look forward to sharing more information about Fiat and Abarth’s future plans in Australia at the appropriate time.”
Fiat has reported 144 sales in Australia this year, including just 13 last month – even fewer than Ferrari or Lamborghini.
Fiat has cut thousands of jobs in Italy as it grapples with increasingly fierce competition from China that is driving down prices.
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The brand launched its Abarth 500e electric hot hatch in Australia in 2024, priced at around $64,000, and then slashed the price by $20,000 in an attempt to clear stock.
Other Stellantis brands are facing similar challenges. Alfa Romeo sold just 139 cars in Australia this year, while Jeep delivered just 322.
Leapmotor is the shining light of the group, outselling all other brands with affordable Chinese-made electric and hybrid vehicles starting to gain traction in Australia.
The change in brand strategy has not affected Fiat’s commercial vehicle range.
The Australian car market is undergoing a period of unprecedented transformation.
BYD recorded a 124 per cent increase in sales, nearly overtaking Toyota to become Australia’s number one brand. BYD sold just under 19,000 cars in Australia last month, well ahead of the likes of Ford, Mazda, Hyundai and Kia.
Electric vehicles made up more than 23 per cent of the market in June, with more than 32,000 electric vehicles delivered to Australians.
Tesla’s Model Y was the more popular car on sale by a wide margin.
China is the clear winner in the auto game, with sales up about 70 percent, helped by gains from manufacturers such as Geely (up 494 percent), Leapmotor (up 151 percent), GWM (up 20.5 percent) and Chery (up 76.8 percent).
Korean Hyundai and Kia have recorded sales growth since the beginning of the year.
But Japanese brands are struggling.
Toyota shares fell 21.4 percent, joined by Mitsubishi (down 25 percent), Nissan (down 32 percent),
Mazda (17 percent), Subaru (down 25.6 percent), Suzuki (down 20.9 percent).
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