Turin, Italy - Some 48,000 workers at auto maker Fiat began Monday an almost month-long vacation, following the company's decision temporarily to halt production at its factories in Italy, a Fiat spokesman said.

The decision by the Turin-based Fiat - Europe's fifth-biggest car maker by market value - to shut its plants until January 12, comes amid the global economic downturn which has had a major impact on the car market.

Fiat, which also produces cars with the Ferrari and Alfa Romeo brand names, has fared better than many other car manufacturers, also thanks to strong sales of its agricultural sector vehicles.

However, in November car sales in Italy, Fiat's biggest single market, fell 29.5 per cent to 138,352 vehicles - their lowest level since 1993.

Fiat CEO Sergio Marchionne has forecast Fiat's net profit next year could fall 85 per cent to around 400 million euros, (535 million), in a "worst case" scenario of rapidly deteriorating car sales.

Marchionne has also said Fiat is in the lookout for a partner with which to forge an alliance that will allow it to cope in a market likely to squeeze out smaller players.

The Fiat CEO has also said that if struggling car manufacturers in the US are successful in their bid to win government support, then European manufactures should be allowed to benefit from similar public sector interventions. (dpa)