Fiat Chrysler Automobiles (FCA) will shut down the Fiat brand in India and concentrate only on Jeep, according to reports.
This move comes in after Fiat sales hit an all-time low last year, and with stringent BS6 emission norms coming in by 2020. Substantial investment would be needed to make Fiat cars BS6 compliant.
Another blow to the company comes in the form of 2019 safety norms, where ABS will have to be made standard across all models from 1 April 2019.
Fiat, which also supplied its 1.3-litre Multijet diesel engine to Tata Motors and Maruti Suzuki, has lost its deal as these companies have started development of their in-house BS6 compliant engines.
According to Autocar India, FCA has asked its dealers to sell off its non-ABS cars before the April 2019 deadline to avoid further losses.