The preparations for the production of a new car model at Kragujevac-based Fiat Automobili Srbija (FAS), a joint venture of Serbian government and Italian Fiat Group, are underway and planned to be completed during spring.

Director of the FAS press shop Rajko Ekovic told Tanjug that this sector of the factory will be equipped with cutting-edge technology, including two press lines, and added that in the first phase, its annual production capacity will reach 130,000 vehicles.

Ekovic said that the new equipment will be supplied by a renowned Japanese company, which is one of the suppliers of the world leading car manufacturer - Toyota.

He underlined that once the reconstruction is over, FAS will be an environment-friendly factory.

FAS COE Giovani de Filipis told Tanjug earlier that the first test vehicle of the new Fiat model will be produced by the end of 2011, and according to him FAS will be one of Fiat's best-equipped production plants.