The first LPG powered Fiat Punto Classic has rolled of the production lines at the Zastava factory in Kragujevac at the same time as the first batch of petrol-engined variants has left destined for the Bosnian Serb market.

The first LPG powered Fiat Punto Classic has rolled of the production lines at the Zastava factory in Kragujevac at the same time as the first batch of petrol-engined variants has left destined for the Bosnian Serb market.

Adding an LPG [Liquified Petroleum Gas] version to the Serbian-built Punto Classic range brings the number of propulsion options to three as the 5-door hatchback is already available on the local market fitted with petrol and diesel engines. The Serbian Secretary of Economy and Privatisation, Nebojsa Ciric, the General Manager of the newly-formed Fiat Automobili Serbia, Giovanni de Filippis (who is a former Managing Director of Fiat India Automobiles) and the Serbia Minister of Trade and Tourism, Predrag Gluhakovic, all attended the inauguration of the first production Punto Classic LPG off the line.

The Fiat Punto Classic went into production in Kragujevac in April. It had been built at the factory under licence until late last year, but until that point it was badged as the "Zastava 10". However production was terminated to make room for two proposed new Fiat models although the advent of the economic downturn and resulting global recession put these plans on the backburner and the Punto Classic was hastily put back into production, now badged as a Fiat. In fact the signing of the final agreement to get Fiat's bold plan for the creaking Zastava factory to become a key production was now hub back on track and was due to be inked on Tuesday but this was postponed by Fiat at the very last moment leaving much confusion in Serbia. The LNG powered Punto Classic goes on sale in Serbia priced at 8,099 euros, compared to 6,999 euros for the petrol-engined Punto Classic excluding state subsidies.

Meanwhile on Wednesday the first batch of forty-five petrol-engined Punto Classic models destined for the Bosnian Serb market left the Kragujevac factory. These cars will be sold in the Serb-dominated part of Bosnia at a price of 5,999 euros as the Bosnian Serb government as well as the Serbian authorities will join forces to subsidise these cars to the tune of 1,963 euros.