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Halt in Supplier's Shipments Disrupts Fiat Production

Fiat SpA has been forced to idle factories in Europe for several days in the past two weeks because of a shortage of plastic parts from supplier Selmat Group.

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Fiat SpA has been forced to idle factories in Europe for several days in the past two weeks because of a shortage of plastic parts from supplier Selmat Group.

The lack of parts has disrupted output at Fiat's Maserati plant near Turin, Italy, and facilities in Poland and Serbia that build two variants of the Fiat 500 subcompact. The carmaker says it is facing "serious damages" because of lost production.

Some news reports assert that Selmat suspended shipments to Fiat because of an unspecified contract dispute. The supplier contends it notified Fiat last month that it planned a three-day production halt in late April.

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