After Fiat took a stake in Chrysler, it’s only natural to see some synergy between the American company and Fiat Group brands which include Alfa Romeo and Lancia. Now Fiat has announced how it will capitalise on the situation and broaden its product portfolio while investing more than €8 billion in the process.

The result of this will be a 50% increase in car production figures in Italy over the next two years – a very optimistic target. This year’s Italian output is likely to total 650,000 units.

To achieve the growth, Fiat plans to launch 17 new models and 13 upgraded versions of existing models in 2010 and 2011, revealed Sergio Marchionne, CEO of the Fiat Group. Chrysler’s first contribution to the masterplan will be an SUV that will be launched next year, followed by five new models in 2011 consisting a Fiat crossover and four models for the Lancia brand, including a sedan and a convertible, all based on Chrysler’s big car, SUV and crossover platforms. There was no mention of sharing plans for Alfa Romeo.

In November, Fiat rolled out an equally ambitious five-year plan for Chrysler (which brands include Dodge and Jeep) that would see global sales rise from this year’s 1.3 million to 2.8 million in 2014. By then, half of its models will be based on Fiat Group platforms and most will use Fiat Multiair variable valve engine technology.

The ultimate target for Marchionne is a minimum of five million cars per year from the entire Group, to be achieved by 2014.