FIAT SpA is considering seeking new Chinese partners if no solution is imminent in its dispute with the Nanjing Automobile Group.

"We have different opinions on the market situation, targets as well as developing strategy with Nanjing Auto,"said Zheng Xiaoli, publicity officer of Nanjing Fiat Automobile Co Ltd.

"We keep negotiating to solve the problem, but we will also try other ways including teaming up with other Chinese partners to reach our target in China," Zheng told Shanghai Daily yesterday.

Fiat, a specialist in making small-engined compact models worldwide, aims to sell 300,000 units on the Chinese market by 2010, compared with the venture's 30,300 cars sales for last year.

The flat sales, brought by its limited product line-ups and frequent shakeup in its management team, have caused the venture to lose money since it was established eight years ago.

Italy's biggest car maker will quit the joint venture and expand its partnerships with the Shanghai Automotive Industry Corp or with the Chery Automobile Co Ltd, according to the Financial Times, citing Sergio Marchionne, chief executive officer of Fiat.

Marchionne also blamed part of the venture's poor performance on Nanjing Auto's increasing efforts in developing MG models it inherited after buying bankrupted MG Rover Corp in 2005.

A spokesman for Nanjing Auto declined to comment yesterday, while a statement from the Shanghai Automotive Industry Corp said the main focus for the nation's biggest car maker is on developing its self-branded models as well as worldwide expansion.

One month earlier, both Fiat and Chery denied the Chinese car makers will buy all Fiat's shares in its major Chinese joint venture.

But they said the two companies are evaluating several further possible ways of cooperation in the Chinese passenger car business.

Chery, China's fourth-largest car maker, agreed to supply 100,000 units of gasoline engines to be installed on Fiat's vehicles in China last year.