FIAT Vs. Volkswagen: Brand Battle

If you are deciding between VW and Fiat brands, you should understand, that these two have not much in common. However, both can boast their armies of fans, as well as provide good car models for different budgets and tastes. Today, we delve a bit deeper into their histories and try to compare Volkswagen and Fiat to facilitate your choice.

History of Fiat in the United States

Fiat has a unique charm. This Italian brand offers compact, distinctive cars that have thousands of admirers. Fiat stands out in the U.S., where larger vehicles dominate the roads. Owners adore their two-door Fiat 500s, available in various styles such as convertibles, fully electric versions, and sporty Abarth models. Some fans are also drawn to larger options featuring all-wheel drive.

However, some of the US favorites, like the Fiat 500 Abarth, were discontinued in North America after the 2019 model year. So who owns Fiat and makes these decisions?

Fiat's Main Divisions

Since 2014, the Italian company has owned the American manufacturer Chrysler. The group of companies includes the brands Dodge, Jeep, and Ram. In America, the supply of powerful pickups, SUVs, and muscle cars from these brands is controlled from Europe. Fiat has also united Italian sports brands. Currently, it owns Maserati and Alfa Romeo but has gotten rid of Ferrari. The company also offers standard city cars directly from Fiat and Lancia.

Fiat also owns several parts manufacturers to meet its production needs. For example, the subsidiary Comau is engaged in the production and assembly of transmission parts, industrial equipment for laser cutting, and spot welding. Another company, Teksid, takes part in castings for iron for the automotive industry. The company also produces engine parts, suspensions, and gearboxes.

FIAT 500 and Model Range

Fiat made its first export to the United States in 1908, and by 1909, a factory in Poughkeepsie, New York, was producing models like the Fiat 60 hp and the Fiat 16-20 hp. These Italian cars were considered luxurious and came with a hefty price tag—about five times more than a Ford Model T. However, the Poughkeepsie plant shut down in 1917.

The brand came back to North America during the 1950s, introducing popular models like the original Fiat 500, the 600 Multipla, and the 1100, 1200, and 1300 series. The U.S. market also saw the arrival of the Fiat 124 Sport Spider and the X1/9. Unfortunately, due to a growing reputation for poor quality, Fiat decided to exit the North American market in 1983.

It wasn't until 2009, when Chrysler faced bankruptcy, that Fiat stepped in by acquiring a 20 percent stake in the struggling American automaker. This marked the beginning of plans to reintroduce the Fiat brand to the U.S. market.

Chrysler started producing the two-door Fiat 500 at one of its factories in Mexico for North American sales. In 2013, they launched the electric 500e in California, with then-CCO Sergio Marchionne famously admitting they were losing money on every sale. Additionally, the Fiat Ducato and Doblo commercial vans were rebranded as the Ram ProMaster and Ram ProMaster City for the US market.

For the 2020 model year, Fiat announced it would stop selling and producing the Fiat 500, 500e, and 500 Abarth vans in North America. In other words, the prettiest, greenest, most powerful models are gone.

In the U.S., Fiat still provides larger, more practical four-door models. The Fiat X is one of these, a compact all-wheel-drive crossover that debuted in 2015 and shares its platform with the Renegade SUV. There’s also the extended version of the 500 hatchback, which hit the market in 2013. Additionally, Fiat continues to offer the 124 Spider, a sports car co-developed with the Mazda MX-5.

Volkswagen Success Story in the US

Volkswagen is a German automobile brand owned by the concern of the same name with headquarters in Wolfsburg. It produces passenger cars and commercial vehicles, trucks, minibusses, and auto components.

The history of Volkswagen in the United States began in the 1950s when the company started exporting its cars to the American market. Initially, Volkswagen was selling its vehicles produced in Germany. However, with the increasing demand and the growing popularity of the brand in the United States, it became obvious that it was necessary to organize local production.

In 1978, Volkswagen opened its first plant in Westmoreland, Pennsylvania. It was the first foreign car plant in the United States after World War II. Although the plant closed in 1988, it laid the foundation for further expansion of production in America.

In 2011, Volkswagen opened a new modern plant in Chattanooga, Tennessee. This plant has become a key element of the company's strategy to strengthen its position in the American market. Popular models such as the Volkswagen Passat and Volkswagen Atlas, aimed specifically at American consumers, are produced here.

Is Volkswagen better than FIAT?

When comparing the FIAT and Volkswagen brands, FIAT excels in used car pricing, retained value, and depreciation. On the other hand, Volkswagen stands out in terms of horsepower, safety, reliability, vehicle rankings, overall quality, and the variety of models available.

FIAT 500 Vs. VW Golf

The FIAT 500 and VW Golf can be named the most frequent competing models of the brands. The Golf comes out on top in several key areas like reliability, fuel efficiency, interior space, base engine power, and overall quality. On the other hand, the FIAT 500 shines when it comes to pricing for used models and resale value. Overall, based on these comparisons, the Volkswagen Golf is generally considered the better car.

• Pricing: You can find a 2019 Volkswagen Golf priced between $13,000 and $21,000, while a used FIAT 500 of the same year ranges from $12,000 to $20,000.
• Engine Power and Fuel Efficiency: In terms of performance, the Golf’s base engine produces 147 hp, while the FIAT 500's generates 135 hp. The Golf averages about 32 mpg with a highway range of 488 miles, whereas the FIAT 500 averages around 30 mpg with a highway range of 347 miles. This means the Golf is more fuel-efficient and has a longer range. Additionally, the Golf runs on regular unleaded fuel, while the FIAT 500 requires a premium.
• Passenger Space: The Volkswagen Golf offers more interior space overall, including more room for shoulders and legs in both the front and rear seats, as well as greater cargo capacity. The FIAT 500 does have an advantage in front headroom, but overall, the Golf provides a more spacious experience.
• Quality Ratings: According to iSeeCars, the Volkswagen Golf has an overall quality rating of 8.8 out of 10, while the FIAT 500 scores 8.1 out of 10. 
• Reliability Ratings: The reliability rating for the Volkswagen Golf is 8.2 out of 10 compared to the FIAT 500's rating of 7.6 out of 10. This gives the Golf a slight advantage in terms of reliability.
• Safety Ratings: Finally, when it comes to safety, the Volkswagen Golf scores higher in crash tests conducted by NHTSA, earning an average rating of 5 out of 5 stars compared to the FIAT 500’s rating of 4 out of 5 stars.

VW vs. Fiat: which brand to choose?

Fiat and Volkswagen can offer great cars with unique features. If we take the competitive models, the advantages are as follows: 

• The Fiat 500 is perfect for first-time drivers. It is compact, stylish, and fuel-efficient. It features a turbocharged engine, standard all-wheel drive, and a high-quality interior.
• The Volkswagen Golf, one of the best-selling cars in the world, boasts a clean and simple interior, impressive engine and transmission options, and is easy to maneuver in city traffic. It offers excellent visibility, light steering, and responsive brakes. For those looking for a sportier ride, the Golf R comes with all-wheel drive for enhanced traction on the road.

If you want to get first-hand experience behind the wheel of a Fiat or Volkswagen, check the availability of your favorite models in our inventory and choose a date for your test drive in Indianapolis.