[3] Founded on May 9, 1950, it was created as a joint venture between Spain's government-owned Instituto Nacional de Industria (INI), which held a majority stake, Spanish private banks, and Fiat.
[6][7] This, however, has not always been the case; in the first half of the 20th century, Spain's economy was relatively underdeveloped compared to most other Western European countries and had a limited automobile market.
[9] SEAT dates its origins back to June 22, 1940, when the Spanish bank 'Banco Urquijo', with the support of a group of industrial companies, (Hispano-Suiza, Basconia, Duro-Felguera, S.E.
Because of the country's lack of expertise in automotive mass-production development, finding a foreign partner that would contribute technically and with its models in the early years in exchange for cash, shares, bonds, and royalties became the course of action.
[12][13][14] 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.
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.
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.
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.
[22] 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 Motor Corporation (BLMC) of the bankrupt Authi to take over the brand's operations in Spain, leaving aside 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.
[25] 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 outcome, in 1982, was an end to the relationship with Fiat after nearly 30 years, a rather surprising decision despite the favourable perspectives for the Spanish economy, with Spain being in the anteroom of the European Economic Community since 1977.
The case was eventually taken to the Arbitration Chamber of Paris, which in 1983 declared that differences between both cars were important enough not to consider the Ronda as a rebadged Ritmo, ending the dispute in favour of SEAT.
The centralisation of the management, design, research and production facilities localized around the plant site was meant to serve the aim of optimising the development of new models.
The original planning in October 1993 to close the emblematic Zona Franca assembly plant as soon as the production of vehicles could be transferred to the more efficient Martorell plant was overturned after an arrangement between the Spanish authorities and the Volkswagen Group, according to which the Zona Franca site would continue its operations, but would be gradually turned into a site with an auxiliary role in the production process (foundry, press shop, etc.).
In 1994, the design centre in Sitges[32] – the Spanish coastal town south of Barcelona – and the suppliers' park in Zona Franca were also inaugurated, and in the winter of the same year, SEAT's financing and leasing companies – Fiseat and Liseat – were sold to Volkswagen Financial Services AG.
In March 1999, at the Geneva Motor Show, SEAT presented a modern, stylised logo, more rounded than the last one and using the silver colour on a red background, instead of the previous blue, symbolising respectively the rational and the emotional.
On January 12, 2007, the inauguration of the building of the SEAT Service Centre next to the southern entrance of the Martorell factory was held, the department focused on technical support, after-sales and marketing purposes, and covering the feedback and the relationship of the brand with the customers and its worldwide network.
[41] The headquarters and main manufacturing facilities of the company are located in Martorell, an industrial town approximately 30 km northwest of Barcelona,[42] with an annual production capacity of around 500,000 units.
To date, the company has launched its models in more than 70 countries worldwide in accordance with the development policies of the Volkswagen Group, with almost three-quarters of its annual production representing exports for the markets out of Spain.
Cupra describes itself as 'an unconventional challenger brand, based on stimulating style and contemporary performance that inspires the world from Barcelona with progressive cars and experiences.
The years went by until a 2-L version of the Ibiza was homologated as a kit car, and extra wide tracks, larger wheels, brakes, etc., were fitted to it as the Fédération Internationale de l'Automobile (FIA) kit-car regulations allow.
This situation ended in September 2000, when the company's German upper management revoked its decision forcing SEAT Sport to retire from the World Rally Championship.
The Córdoba was based on the family saloon of the same name but was, naturally, a WRC class car equipped with an inline-four turbocharged petrol engine, permanent four-wheel drive, and active differentials involved in its transmission.
Since 2005, SEAT has also competed in the World Touring Car Championship, with its first best season being 2007 when a failed water pump robbed Yvan Muller of a certain victory at the final meeting in Macau.
The single-seater formula cars, which took part driven by young Spanish drivers, were equipped under support from SEAT with engines of the 1430 model and 6700 gearboxes.
Thus, a large number of SEAT's production models have been named after places in Spain (e.g. Arosa, Ibiza, Córdoba, León, Toledo, Altea, Alhambra, Málaga, Marbella, Ronda etc.).
[185] The 'SEAT al Sol' project consists in the integration of use of solar power through a system of photovoltaic panels generating electricity in SEAT's factory in Martorell.
This installation is expected to produce more than 13 million kWh of electricity annually, aimed at reducing greenhouse gas emissions by over 6,200 tonnes of CO2 per year.
[191] The 'SEAT Autometro' project comprises the construction and management of a rail link service between SEAT's Martorell complex and the Port of Barcelona, in the aim of transport of vehicles and components.
[193] Due to this project, a branch connecting the Martorell plant with the FGC 'Llobregat-Anoia' main rail line had to be constructed, as well as further adaptations to the transport network and the host infrastructures in the Port of Barcelona, had to be made.