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 |  Sep 02 2011, 3:00 PM

Fiat may shift planned production of Jeep and Alfa Romeo SUVs from the Turin plant to an American facility. If this is successful, Fiat will have space to produce a small car at the Italian plant. One insider said that the compact car may be built at the Mirafiori plant, and Fiat’s strategic SUV move is based on America’s ongoing demand for trucks, although Fiat has yet to make a final decision.

Less than a year ago, Fiat invested $1.44 billion in the Turin plant in order to produce Jeep and Alfa Romeo SUVs for late 2012, but since then, the Euro has increased nearly nine percent against the american dollar. This economic shift makes the possiblity of manufacturing Jeep vehicles aborad, then shipping them back to the U.S, a less profitable venture. Fiat will likely build the trucks stateside, allowing Jeep to remain domestic and providing Alfa Romeo with momentum to relaunch in America.

[Source: Detroit News]