NEW YORK -- Fiat Chrysler Automobiles is flagging the spread of the coronavirus and potential for a worldwide pandemic as a new risk factor for its business in China and other global operations.
In a regulatory filing on Tuesday, FCA said epidemics like the coronavirus pose a threat to its business, although the automaker added it is too soon to determine how seriously it will affect consumer demand and its manufacturing capacity.
"The ultimate severity of the coronavirus outbreak is uncertain at this time and therefore we cannot predict the impact it may have on our end markets and our operations; however, the effect on our results could be material and adverse," FCA said in its annual report.
The company said disruption to the parts supply chain has forced it to temporarily close its factory in Serbia and that the Chinese auto market has "begun to experience reduced demand."
Fiat has so far not interrupted production in Italy, which is the European country most affected by the coronavirus outbreak, its European chief Pietro Gorlier said on Tuesday.
The company says production will resume on Thursday at its Serbian factory, which builds the Fiat 500L.
Fiat Chrysler's European home in Turin is the administrative center of the Piedmont region in northern Italy which has been hit by coronavirus cases. The automaker is restricting access to its European plants.
Reuters contributed to this report
