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183Sluggish Fiat 500 sales triggering layoffs at Chrysler engine plant

The Fiat 500 may have taken overseas markets by storm, but that isn't quite the case here in North America, where a delayed rollout, overly optimistic sales projections and related issues have hampered the retro supermini's sales. So much so, in fact, that Chrysler has reportedly had to stop production of the 1.4-liter engine that powers the Cinquecento until demand catches up to supply. As a result, it has had to lay off a portion of the employees that build it.

28REPORT: Fiat makes 500 engine plant in Michigan official

Fiat currently owns 20 percent of Chrysler and can raise its stake to 35 percent once it satisfies three criteria: builds a plant in the U.S. to assemble fuel efficient engines; builds a 40 mpg car in the U.S. and expands Chrysler's international reach. For each milestone achieved, Fiat gets another five percent of Chrysler. The first hurdle looks like it will be cleared next year, with Fiat committing to building the 500's 1.4-liter, 92-horsepower engine in Dundee, Michigan at what was once the

AddChrysler announces $179 million investment in Dundee plant to build Fiat Multiair engines

In a none-too-shocking announcement, Chrysler has said it will invest $179 million to convert its engine plant in Dundee, Michigan, from building the so-called World Engine to Fiat's 1.4-liter Fully Integrated Robotized Engine. Back in September, Chrysler bought out its former partners Hyundai and Mitsubishi so that it could utilize the Dundee facilities to build the new Multiair powerplants.

27Chrysler announces $179 million investment in Dundee plant to build Fiat Multiair engines

In a none-too-shocking announcement, Chrysler announced plans to invest $179 million to convert its engine plant in Dundee, MI, from building the so-called World Engine to Fiat's 1.4-liter Fully Integrated Robotized Engine. Back in September, Chrysler bought out its former partners Hyundai and Mitsubishi so that it could utilize the Dundee facilities to build the new Multiair powerplants.

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