Editing SEAT (section)

=== Partnership with Fiat ===
[[File:Seat1400.jpg|thumb|upright|[[SEAT 1400]], the first model produced by SEAT in 1953]]
The construction works for SEAT's Zona Franca plant began in 1950, and the opening day came three years later on June 5, 1953, while in the meantime since 1951, the Spanish marque was starting preparations for setting up almost from scratch an entire supplier industry background. The first car in the marque's history to be produced was a [[SEAT 1400]] model that came off the production line on November 13, 1953, with license plate B-87.223. In the following few months, the plant's production output and workforce significantly increased together with the implementation of locally made components in the production process to limit imports from one part and from another part to push the development of the almost nonexistent Spanish supplier industry and meet SEAT's assigned key role as the national carmaker in restoring the Spanish economy of post–World War II Spain. By 1954, the use of Spanish-made parts had risen to 93% of the total, and the factory was officially opened the next year on May 5, 1955. Nevertheless, the impact on Spanish society could not be seen immediately since the first model launched by SEAT was considered a luxury car, so it was highly priced and still not affordable to the average Spanish consumer. Consequently, SEAT needed a second, more economical model to compete against simpler, inexpensive designs that appeared in the local market, like the [[Biscúter]], which seemed to suit better the unwealthy customers looking for a personal means of transport in a suffering economy.<ref>{{cite web |url=http://thinkmilkandhoney.net/?tag=1950s |title=The world was a mess, but we had the Biscúter |publisher=Thinkmilkandhoney.net |access-date=2012-02-05 |url-status=dead |archive-url=https://web.archive.org/web/20160304050107/http://thinkmilkandhoney.net/?tag=1950s |archive-date=2016-03-04 }}</ref>

Until the time SEAT had the technical maturity and expertise to present its first self-developed model, the [[SEAT 1200 Sport]] in 1975, in its beginnings, the company had to manufacture either rebadged or restyled models borrowed from the range of its Italian partner [[Fiat Automobiles]] or even redeveloped them according to the needs of its range. However, the first example of a SEAT-exclusive derivative would arrive in September 1963 with the launch of the [[SEAT 800]], a car developed in-house by SEAT with no equivalent model in Fiat's range based on the SEAT 600 as a stretched version with four doors.

[[File:Monumento al Seat 600 . Fuengirola - España.jpg|thumb|left|A monument in Spain for the [[SEAT 600]], a symbol of the [[Spanish miracle]]<ref>{{cite web|author=Fernando Fernández |url=http://www.abc.es/hemeroteca/historico-14-11-2008/abc/Opinion/el-coche-como-simbolo-del-declive_911233353595.html |title=El coche como símbolo del declive |publisher=Abc.es |date=2008-11-14 |access-date=2012-02-05}}</ref><ref>{{cite news|last=Simister |first=John |url=https://www.independent.co.uk/life-style/motoring/features/seat-600-764027.html |archive-url=https://web.archive.org/web/20121111053959/http://www.independent.co.uk/life-style/motoring/features/seat-600-764027.html |url-status=dead |archive-date=November 11, 2012 |title=Seat 600 - Features - Motoring |newspaper=The Independent |date=2007-12-11 |access-date=2012-02-05}}</ref>]]
In 1957 SEAT founded the SEAT Training Centre in the greater Zona Franca plant area, an institution covering the training of qualified personnel and serving the needs of the automobile industry in specialized technical human resources.<ref>{{cite web |url=http://media.seat.com/en/seat-news/2007/19.html?g2_language=en_GB |title=El Centro de Formación de SEAT cumple 50 años |publisher=Media.seat.com |access-date=2012-02-05 |archive-date=2013-08-15 |archive-url=https://web.archive.org/web/20130815224940/http://www.seat-mediacenter.comen/seat-news/2007/19.html?g2_language=en_GB |url-status=dead }}</ref> In that same year, the historical [[SEAT 600]] was launched, which proved to be the crucial car that literally motorized Spain, being the first car for many Spanish families and becoming a symbol of the [[Spanish miracle]].

As the annual production growth was hitting one record after another due to the heavy demand, the economies of scale permitted cutting costs and prices, subsequently renewing demand and boosting sales together with profits for SEAT. On June 29, 1964, the brand opened its new headquarters in [[Madrid]], which hosted the firm's sole – up to 1972 – general administration offices. SEAT's plant manager was only in Barcelona until 1973 when SEAT settled another general director in Catalonia.

[[File:Seat 850 Sport Jarama 2006.JPG|thumb|The [[SEAT 850|SEAT 850 Sport]], launched in 1967, was the first [[coupé]] model from SEAT.]]
In 1967, 14 years after producing cars for the domestic market, SEAT's success was signalled by its dominant position in Spain, ahead of its major competitors, i.e. '[[FASA-Renault]]', 'Citroën-Hispania', [[Authi]], and [[Barreiros (manufacturer)|Barreiros]], making SEAT Spain's largest automaker in sales numbers and a wholly localized production. In that year, an agreement between Fiat and the Spanish Ministry of Industry was reached to end the restrictions over exporting SEAT cars from Spain, a term of the original licensee contract agreed with Fiat in 1948. In exchange for that, Fiat would increase its holding in the company from 7% to 36%. At the same time, the share held by the [[Instituto Nacional de Industria|government holding agency]] would be reduced from a controlling 51% to 32%. The six major Spanish banks took the remaining 32%, which decreased from their previous 42% share split equally into 7% parts owned by every single one. Although not a majority owner, Fiat now was seen to control the business: the deal also included various undertakings by Fiat to help in the growth of SEAT, and with the development of a new model (possibly the [[SEAT 133]]).<ref name=Autocar1967>{{cite journal| author = Unsigned| title = News and Views: Fiat control Seat| journal = [[Autocar (magazine)|Autocar]] | volume = 126 (nbr 3702)| page = 46|date = 26 January 1967}}</ref> On December 6, 1967, SEAT also founded its own customer financing company 'Financiera SEAT, S.A.' (Fiseat).

To produce its own research projects independently, on November 16, 1970, SEAT came in accordance with Fiat to start building separate infrastructures aimed at developing new technologies. In 1972, the brand arranged some provisional facilities for the site of the future technical centre in Martorell, and in 1973, it began construction work; this goal would come only until 1975 to be reached with the completion of the first phase in the construction of a facility designed by the Catalan architect [[Josep Antoni Coderch]].<ref>{{cite news|url=http://www.elpais.com/articulo/cultura/CODERCH/_JOSE_ANTONIO/MADRID/MADRID_/MUNICIPIO/obra/arquitecto/Coderch/expuesta/Madrid/elpepicul/19890218elpepicul_5/Tes?print=0 |title=La obra del arquitecto Coderch, expuesta en Madrid |newspaper=El País |publisher=Elpais.com |date=1989-02-18 |access-date=2012-02-05 }}</ref>

During the same period, the manufacturer continued to dominate the Spanish auto market, producing 282,698 cars – more than 58% of the Spanish production total – in 1971, despite the disruption that year caused by strikes and a serious flood at the coastally sited Barcelona plant.<ref name=Motor197204>{{cite journal| editor-first = Charles | editor-last=Bulmer | title = Motorweek: Car losses hit SEAT| journal = [[The Motor (magazine)|Motor]]| volume = nbr 3640| page = 56 |date = 22 April 1972}}</ref> However, with just 81 cars per 1000 people, Spanish car sales were seen as ripe for further growth, and SEAT faced the prospect of increased competition with other major manufacturers contemplating the establishment or expansion of local production facilities in the still heavily protected Spanish car market.<ref name=Motor197204/>

In 1973, SEAT and Citroën-Hispania jointly contributed equal shares in founding the [[Vigo]]-located factory of Industrias Mecánicas de Galicia, SA (Indugasa) producing [[constant-velocity joint]]s, essential components used in [[front-wheel drive]] cars, ''i.e.'' in a transmission layout the use of which was becoming more and more common at the time. This plant, which in the next years would supply parts not only to SEAT and Citroën-Hispania but also to Ford España, was meant to be transferred later in 1986 to the multinational company [[GKN]].<ref>{{cite news|url=http://www.elpais.com/articulo/economia/GALICIA/INDUSTRIAS_MECANICAS_DE_GALICIA/_SA/Indugasa/invierte/780/millones/Galicia/elpepieco/19780623elpepieco_11/Tes |title=Indugasa invierte 780 millones en Galicia |newspaper=El País |publisher=Elpais.com |date=1978-06-23 |access-date=2012-02-05|last1=Martin |first1=Gerardo González }}</ref>

In May 1975, after a request from the Spanish state authorities to ensure the rescue of the jobs for the workers in the Authi-owned factories, SEAT moved on talks with the parent company [[British Leyland|British Leyland Motor Corporation]] (BLMC) of the bankrupt Authi to take over the brand's operations in Spain, leaving aside [[General Motors|GM]]'s interest in it, which would otherwise open the path for the American automaker to enter the Spanish market, thus jeopardizing the relationship with Fiat. The talks ended in July 1975, when an agreement was announced between the two parties under which SEAT would acquire from BLMC the Authi brand along with its assets for 1,250 million pesetas. The imposed acquisition of the Landaben plant would also give up SEAT's plans to build a new facility in [[Saragossa]]. Although the Authi supplier factory in Manresa was transferred to a company called Cometsa for 150 million pesetas, the Landaben plant in Pamplona remained under SEAT's ownership to continue production in February 1976 only of SEAT cars this time.<ref>{{cite web |url=http://www.aronline.co.uk/index.htm?authiindexf.htm |title=Authi history |publisher=Aronline.co.uk |access-date=2012-02-05 |url-status=dead |archive-url=https://web.archive.org/web/20111003054221/http://www.aronline.co.uk/index.htm?authiindexf.htm |archive-date=2011-10-03 }}</ref><ref>Investigaciones de Historia Económica (IHE) Journal of the Spanish Economic History Association, 2007, vol. 9, pages 141-172</ref>

The 1970s were a decade of rising prosperity in Spain, which is reflected in the announcement in August 1976 that SEAT would commence local production of the [[Lancia Beta]].<ref name=Autocar197608>{{cite journal| editor-first =Ray | editor-last=Hutton | title =News: SEAT to build Lancias| journal = [[Autocar (magazine)|Autocar]] | page = 24|date = 14 August 1976}}</ref> Three years later, Beta production by SEAT indeed commenced at the company's recently acquired Pamplona plant, though only the coupe and HPE lift-back versions were included. The Spanish cars were fitted with a simplified suspension system and smaller engines than their Italian counterparts to qualify for a lower car tax rate.

In 1977, SEAT's leasing company Liseat was founded. In 1979, the Gearbox del Prat facility was set up as a specialised plant for producing gearboxes, gear mechanisms, and differentials in El Prat del Llobregat near Barcelona.