Turin, Italy  - Italian industrial group Fiat which earlier this year took control of US car giant Chrysler, reported Wednesday a second-quarter net loss of 179 million euros (250 million dollars), compared with a net income of 646 million euros for the same period in 2008.

The group which among other products makes Fiat and Alfa Romeo cars, said that despite "an extremely difficult trading environment," trading profit for the quarter was 310 million euros.

Fiat shares were down 2.96 per cent at 7.705 euros on the Milan bourse at 1.15 pm (1115 GMT).

The group, Italy's largest private sector employer and Europe's sixth largest car marker, on Wednesday also confirmed its targets of a 2009 trading profit of over 1 billion euros and net debt levels of below 5 billion euros.

Fiat said that compared to the first quarter of 2009, its auto sector has gained market share in Western Europe.

Like many other car manufacturers Fiat has been hit by the global credit crunch and slump in demand, but the statement stressed that thanks to its "product strength in fuel efficient, environmentally- friendly vehicles," Fiat has made gains in major markets were governments environment incentives are in place.

These included Italy where market share stood at 34.5 per cent from 32.9 per cent, Germany at 5.4 per cent from 3.4 per cent and in France at 4.6 per cent from 4.3 per cent.

In Brazil, Fiat has maintained its market leadership with a share of 25.2 per cent, the group said in the statement, issued in its headquarters in the northern Italian city of Turin.(dpa)