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Fiat To Supply 1 Lakh Diesel Engines To Maruti Suz
According to the agreement signed between the carmakers, fiat will be supplying one lakh diesel engines to Maruti Suzuki per year for a period of three years. Reports say Fiat will begin production of the engines at its plant from the fourth week of January with supplies starting soon after.
Maruti Suzuki has been struggling to contain the long waiting period of the Swift. There are currently more than 1.1 lakh people waiting for the Swift. Further, the launch of the new Swift DZire in February will mean the carmaker will be under higher pressure to deliver more cars. The Swift DZire will also be powered by the same 1.3-litre Multijet diesel engine as the Swift.
Maruti Suzuki had earlier announced that it would be procuring these diesel engines from Fiat but the deal was delayed due to pricing disagreements. An official from the carmaker is quoted to have said: “Swift will definitely get preferential treatment, and we are hopeful of crossing 20,000 units of Swift in a month. And with the new Swift DZire in the pipeline, additional supply of engines would be of immense help to reach our customers faster."
Maruti Suzuki will also increase production of diesel engines from February. The carmaker is hoping Fiat's engines as well as its own will help it reduce the waiting period of the Swift and also have smooth deliveries of the soon to be launched Swift DZire.
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