Fiat Auto will launch the Siena sedan version of its 178 world car platform in Egypt next spring.
Meanwhile, Fiat Auto has formed a joint-venture company to import, sell and service its cars in Egypt.
The new venture, Fiat Auto Egypt, will be 51 percent owned by Fiat Auto. Seoudi Group will own 44.1 percent and Nile Engineering Co. 4.9 percent.
Seoudi Group will assemble the Siena from complete knockdown kits at Fiat's joint venture plant in Bursa, Turkey. Investment will be over $15 million. Production at full capacity is expected to be around 15,000 units a year.
Fiat Auto Egypt will distribute Fiat, Lancia and Alfa Romeo cars through a dealer network that includes the existing sales organizations of Seoudi and Nile Engineering.
The Seoudi Group is one of Egypt's largest industrial and financial groups. Nile Engineering imports Fiat Auto cars in Egypt and is also in the telecommunications business.
El Nasr Manufacturing Co. (Nasco) will continue to assemble and distribute the Fiat Shahin and Dogan, which are derived from the 131 sedan and station wagon.
Fiat Auto held almost 19 percent of the Egyptian passenger-car market in 1998.