Fiat's Project 326, the 
						long-awaited replacement for the Palio hatchback and its 
						sister Siena sedan, has broken cover through several 
						computer images that are very close to the visual 
						appearance of the final models. The new Palio will come 
						hot on the heels of Project 327, the ‘novo’ Uno, which 
						has just been launched and is already creating a stir 
						with consumers in the Fiat showrooms across Brazil with 
						a waiting list that is building fast. To maximise 
						efficiencies and simplify production, Project 326 will 
						use the same platform as the new Uno, and will be built 
						alongside it in Fiat’s giant Betim plant.
					 
					The series of images have 
						been published recently by Estado de Minas, a newspaper 
						in the Minas Gerias region where Fiat Automóveis' giant 
						factory is located. The accompanying report said the 
						images were created by people familiar with the project. 
						A well-placed source at Fiat with direct involvement in 
						the project has confirmed to Italiaspeed that the 
						images are in fact a strong likeness of Project 326.
					 
					The original Palio was 
						introduced in 1996 as the first member of ‘Project 178’, 
						Fiat’s attempt to build a ‘World Car Family’ with the 
						same basic design being produced in numerous nations 
						around the globe. Four principal models were produced, a 
						hatchback (Palio), sedan (Siena, also known as the Albea 
						and Petra in different markets), pick-up (Strada) and 
						estate (Palio Weekend), different versions being built 
						in different countries. The powerplants, both diesel and 
						petrol, also varied from region to region depending on 
						local production capability, legislation and market 
						requirements.
					 
					The basic chassis of the 
						Palio "world car' project was a development of the 
						original Uno, but little remained unchanged. The entire 
						structure was significantly stronger in order to be 
						suitable on the rougher roads found in some of the 
						markets for which it was intended, as was the 
						suspension. The body was a completely new design by the 
						I.DE.A. studio of Turin, who also designed the new 
						interior.
					 
					The Palio family very 
						quickly became a true ‘world car’. Production began in 
						Brazil and was followed later that year by a line at 
						Cordoba in Argentina. In 1997, production started in 
						Venezuela, Poland and Morocco, whilst Turkey started 
						building the same car in 1998. India and South Africa 
						began production in 1999, Egypt in 2001 and China in 
						2002, while more recently it also went into production 
						in Russia.
					 
					In Brazil, its main 
						market for sales, the Palio has received almost 
						countless facelifts to keep it fresh, and the arrival of 
						Project 326 is urgently needed to allow this key market 
						model for Fiat to keep pace with its rivals. In 
						particular, Fiat Automóveis hopes that the nuova Palio 
						will give it the car to finally topple VW's Gol, which 
						has been almost uninterruptedly the best-selling car in 
						Brazil in its various guises for almost a quarter of a 
						century, and a model the original Palio was never able 
						to get to grips with in a head-to-head sales contest.
					 
					While Fiat Automóveis' 
						just-launched new Uno (Project 327) draws heavily on the 
						Polish-built Panda for design inspiration, the novo 
						5-door Palio will take its styling cues from the 
						European Grande Punto and the newly facelifted Punto EVO, 
						while a similar ‘family’ styling treatment to the new 
						Uno will be meted out to the front bumper. While the 
						current-generation Palio has a length of just over 3.7 
						metres, the new model will grow slightly in length, 
						closer to that of the Grande Punto, at around 4 metres.
					 
					Meanwhile, its sedan 
						sister, which is also being designed and engineered in 
						Brazil, will be distinctly styled away from the new 
						Palio's theme in certain visual areas: again following 
						the Punto EVO theme at the front end, it will attain 
						greater self-identity by drawing cues in particular from 
						the Linea sedan, a model that is also built at the Betim 
						factory, along the flanks. The rear end shows distinct 
						outline cues from the current Siena sedan, while the 
						rear light units ape those seen in the new Alfa Romeo 
						Giulietta, demonstrating influences, just like the new 
						Uno, that are being thrown up by the closer integration 
						of the Fiat Group's styling divisions.