A recent visit by Volkswagen and Audi experts to Fiat's Pomigliano d'Arco factory has fuelled rumours that the Germans are planning to take over Alfa Romeo and the assembly plant near Naples.
Last month it was reported that Fiat CEO Sergio Marchionne and Audi CEO Rupert Stadler were negotiating a major deal. The sale of Alfa was said to be at the top of the agenda, along with the Pomigliano factory. Another possibility is that Fiat will part with the Magneti Marelli auto parts business. So far both companies have denied that there is any substance to the gossip.
The Italians described the visit, by experts working on the assembly of the Volkswagen up! and Audi Q7, as a routine exercise in sharing industry best practices. Fiat currently assembles the Panda at Pomigliano, although the plant was originally built by Alfa Romeo - under the direction of the Italian government - to generate jobs in southern Italy. If the Germans take over it is likely that Alfa production would return to the facility. Last year the factory was awarded the Automotive Lean Production Prize by the German magazine Automobil Produktion.
A delegation from Fiat's Kragujevac plant in Serbia visited the factory at the same time as the Volkswagen party. This prompted speculation that Panda production will move to Serbia if any sale goes ahead.
Fiat has expressed its commitment to Alfa with an announcement in January of eight new and one restyled model in the pipeline for Alfa Romeo by 2016. But an injection of cash would help Fiat increase the company's stake in Chrysler.