The Italian automaker Fiat agreed to take a 35 percent stake in the struggling American auto company Chrysler, which was forced last month to seek a federal bailout amid fears it might not survive.

The agreement will allow Chrysler to use Fiat’s technology and vehicle platforms to build more fuel-efficient, small and midsize cars at its factories and sell them in North America. Fiat will give Chrysler access to distribution networks in other parts of the world, particularly Europe. The companies said they expect “substantial cost savings opportunities” but did not specify an amount.

Chrysler, which last month received a $4 billion loan from the federal government to help it avoid bankruptcy, said the partnership would be a “key element” of the viability plan that it must submit by March 31 and that Fiat would help develop the plan.

“This initiative represents a key milestone in the rapidly changing landscape of the automotive sector and confirms Fiat and Chrysler commitment and determination to continue to play a significant role in this global process,” the chief executive of Fiat, Sergio Marchionne, said in a statement.

Read the complete article from the New York Times.

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