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.). Meanwhile, on December 23, 1993, the 'Fábrica Navarra de Automóviles, S.A. was founded as a new company to hold the management of the Landaben factory, separating any ties to SEAT in production matters, with its shares being transferred to Volkswagen in June 1994 over which, however, SEAT would regain ownership four years later in 1998.
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) Meanwhile on December 23 1993 the 'Fábrica Navarra de Automóviles SA was founded as a new company to hold the management of the Landaben factory separating any ties to SEAT in production matters with its shares being transferred to Volkswagen in June 1994 over which however SEAT would regain ownership four years later in 1998