Fiat Group's sportscar brands Ferrari and Maserati will continued to be distributed in New Zealand by Ateco. It will also retain the Citroen, Great Wall, Chery and Lotus distribution rights for New Zealand.
Ateco Automotive NZ general manager Lawrie Malatios said the loss of Fiat and Alfa was "sad - we have such a passion for the brands".
But he said the change would be good for Fiat/Chrysler. "It now gets direct factory support in New Zealand. It was inevitable. Distribution activities by carmakers are being consolidated worldwide."
It is not known when, or if, CAG will take over Chrysler, Jeep and Dodge distribution on this side of the Tasman. At present, the global Sime Darby group handles Chrysler Group business here.
Sime Darby's NZ general manager Grant Smith said he was not sure what the long-term plans were.
"At the moment there is no change - we retain stewardship of Chrysler, Jeep and Dodge vehicles," he said.
"We [Sime Darby] would like to distribute Fiat and Alfa in New Zealand too, but that is for Chrysler to decide," he said. Sime Darby also handles Peugeot distribution here.
Fiat and Chrysler chief executive Sergio Marchionne foreshadowed a shake-up of the New Zealand and Australian Fiat-Alfa import arrangements at the Detroit motor show in January, saying a restructure could be expected in 60 to 90 days.
CAG managing director Clyde Campbell pledged to "re-energise" the Italian brands in New Zealand and Australia under Chrysler group management.
"I have no doubt we will see a reawakening in the levels of sales awareness and interest for the Fiat and Alfa brands under our management," he said.
Although Fiat is one of Europe's larger carmakers, it has only one passenger car on its New Zealand model list, the small Fiat 500, while its commercial division has just Ducato and Scudo.
Ateco took control of Alfa and Fiat in New Zealand in 2000. Said Ateco's Crichton of the change:
"While this makes it all the more hard to say goodbye to these iconic brands we know that it is that passion that has driven us over the past 12 years and which has made them successful once again.
"We know that they now are prepared and positioned for a strong future in Australia and New Zealand, something of which I and everyone who has worked on them at Ateco can justifiably be very proud."