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A Triumph of Corporate Will: the Fiat-Chrysler Merger

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Jarek Kupsc
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   No other nation has such a loving relationship with Fiat as Poland.  In fact, the entry for "car" in the English-Polish children's dictionary features the image of a Fiat.

   The first license was granted to Polish automakers during the Mussolini regime in 1932.  The Communist Party renewed their relationship with Fiat in 1965, and embarked on a fantastic journey that endures to this day.  In fact, the relationship was so precious, the Poles decided to keep the name Fiat in the car's name, simply adding the adjective "Polski" (Polish) to its logo.  Thus, not unlike in the Soviet Union, Polski Fiat bore witness to many a domestic turmoil that befell that troubled country.  As the first Polski Fiats were rolling off the FSO factory line, Poland assisted the Soviets in thwarting the Prague Spring uprising.  It is not clear what role Polski Fiat played in the civil unrest of 1968, where thousands of people voiced their disillusionment with the Communist rule.  However, contrary to some rumors, Polish Jews were not given Fiats to leave the country between 1968-72.  They were forced to relinquish their Polish citizenship and given a travel document, rendering them stateless.  But it was certainly difficult for Polski Fiat drivers to avoid tear gas and bullets during the Party's crackdown on factory workers in December of 1970.  All these experiences paved way for the Solidarity movement, culminating with the creation of the first truly independent Worker's Union in the Soviet Bloc.

    The FSO and FSM factories produced several models of Polski Fiat, but only two models, the 125p and the tiny 126p, became universally accessible.  The 126p, intended as a successor to Fiat Seicento, was so small that anyone over six feet tall had to take out the driver's seat, and commandeer the vehicle from the back seat.  However, by contrast to the Soviet-made Lada, Polski Fiat enjoyed greater respect as a machine – it broke down only half as much.  The 125p also sold well in the West, winning the 1978 "Estate Car of the Year" award in the United Kingdom.

    They joys of freedom for Polish people ended abruptly in December of 1981, when Martial Law was imposed to counter the threat of democracy.  In the iconic photograph, taken in Warsaw by a Newsweek reporter Chris Niedenthal, we can see a forlorn Polski Fiat 125p, as it passes an armored vehicle in front of the Moscow Movie Theatre.

The billboard advertises Coppola's Apocalypse Now, a movie based on Conrad's Heart of Darkness.   That's exactly how most Poles, including this writer, felt during those days.  With Martial Law came the curfew, food and gasoline rations.  It was hard for Polski Fiat owners to make it through the month without running out of gas coupons.  I personally drove my parents' 1974 Polski Fiat as a getaway vehicle during a gasoline robbery from the Polish Army in 1983.

    But the lean and dangerous days ended with the free elections of 1989, and I'm happy to report that Poland is alive and well under a democratically elected government which favors corporate interests over its people.  Polski Fiat, under the name FSO, kept rolling out cars until 2002.  Another Polish producer of licensed Fiat, FSM, sold 90% of its stock back to Italian Fiat, and continues to produce updated and highly competitive models.

    Paradoxically, driving a Fiat-based vehicle in Eastern Europe today is synonymous with a lower class standing, or just pure nostalgia for the "good ol' days."  Fiat has lost its cool mystique there.

North Korea
    The relationship between Fiat and North Korea is quite interesting.  The Axis of Evil communist dictatorship produces, under a Fiat license, two small passenger cars.  As behooves a totalitarian state, Pyeonghwa Motors is the only carmaker and sole dealer in the country.  The venture is a joint one, involving tech support from South Korea, under the leadership of none other than Sun Myung Moon's Unification Church. No irony is lost on the direct translation of the manufacturer's name into English: Pyeonghwa  means "peace."  Due to the hallmark North Korean poverty, only select few can afford the Korean Fiat.

Corporate America
    How does the United States figure into the Fiat saga?
    In the last few months we have seen government bailouts of virtually every major financial institution.  American taxpayers are footing the bill for runaway greed and total corruption of such stellar institutions as AIG.  Congress is writing blank checks to the very same corporations that have caused the financial crisis in the first place.  Bankers and insurance giants receive hundreds of billions of dollars, while small businesses, once the backbone of this nation, get a token few millions as a goodwill gesture.  Partial nationalization of banking institutions and sections of the industry makes us, the citizens, fiscally responsible for the questionable decisions of those who control our lives.  With the unprecedented consolidation of Presidential powers, and the influence of Big Business on policy making, we have officially entered the era of Corporatocracy in the United States.  The ground is prime for a Fiat deal.
    The just-announced Fiat-Chrysler partnership (Chrysler Group LLC) boasts a 55 percent ownership by a union retiree healthcare trust fund.  Only 20 percent of the company is owned by the Italian automaker.  As with the other recent bailouts, the onus is shifted onto the workers, while the corporations take the lesser financial risk.

History lesson
    If there is a lesson to be learned from the history of Fiat, it is an optimistic one.  Every dictatorship it has partnered with thus far has floundered within two decades, yielding to real democratic changes in governance (well, except for North Korea, but it's still early in the game).  A new generation of Fiat owners will soon emerge in America, enjoying their road trips and daily commute, watching the country recover in the next twenty years from the most horrifying abuse of power, corruption and graft since the creation of Federal Reserve.  Check the tire pressure – the ride is bound to get bumpy.

© 2009

Jarek Kupsc is the writer/director of The Reflecting Pool, a political thriller.
www.reflectingpoolfilm.com

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Jarek Kupsc is the writer/director of "The Reflecting Pool," an investigative drama challenging the official version of September Eleven. Born and raised in Warsaw, Poland, Jarek came to the U.S. in 1987, and received his American citizenship in (more...)
 
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