The report that Elkann would replace current Fiat Chairman Luca di Montezemolo as Fiat Group Chairman came this morning from Italian daily newspaper La Repubblica. The surprise news also comes on the eve of Marchionne's key presentation which will outline the carmaker's future plans, with very close scrutiny expected. Appointing Elkann, who is close to the CEO and reportedly shares his vision for the future will alleviate some of the worry in Italy that Marchionne is transferring production and focus away from Italy.

John Elkann has been expected to be named Fiat Group Chairman in the future, but the industry has been caught by surprise at the timing of the announcement. Grandson of late Fiat Chairman Gianni Agnelli he was propelled into the limelight in 1997 by the unexpected death of Giovanni Alberto in his early thirties, the son of Gianni Agnelli's younger brother Umberto, who was then being groomed to become Fiat Group Chairman.

John Elkann was appointed to the Fiat Group board and soon took in diverse placements across the world as he developed his role. However it was in 2004 following the deaths of Gianni and Umberto Agnelli that the youngster was thrust into the limelight, appointed Vice-Chairman while Ferrari Chairman and leading Italian industrialist Luca di Montezemolo became Chairman. Sergio Marchionne, then a board member and in charge of SGS, was handed the Group CEO's position. The same year Elkann became Vice-Chairman of IFIL, the Agnelli family's holding company (now known as Exor since the merger of IFIL with a second Agnelli investment vehicle, IFI), a year after joining the board and he then rose to the Chairman's position.