Zastava Automobiles was a Serbian car manufacturer based in Kragujevac. Founded in 1953 as Zavodi Crvena Zastava (Red Flag Factories), the company initially produced licensed versions of Fiat vehicles. Zastava became a prominent automobile manufacturer in Yugoslavia and exported its cars to various countries, including the United States and the United Kingdom.
Zastava's most well-known models included the Zastava 750 (based on the Fiat 600), the Zastava 101 (based on the Fiat 128), and the Yugo (a small hatchback designed for affordability). While the Yugo gained notoriety in the US market for its low price, it was also criticized for its reliability and build quality. Production was severely disrupted by the Yugoslav Wars in the 1990s and the subsequent economic sanctions.
Zastava struggled to remain competitive in the global automotive market. In 2008, Fiat acquired a majority stake in Zastava, leading to the establishment of Fiat Serbia. The Zastava brand was discontinued, and the factory now produces Fiat models. The Zastava name remains a symbol of Serbian automotive history.
