Italian EV start-up Aehra has named its first two cars the Impeto SUV and Estasi saloon as it ramps up its efforts to begin production. 

It has submitted a business plan to Italy’s Ministry of Industry concerning a 207,000sq ft factory at Mosciano Sant'Angelo, in the north-eastern Abruzzo region.

The company said it chose the location for its proximity to Italy’s carbonfibre industry and the expertise offered by the nearby University of L’Aquila.

Aehra founder and CEO Hazim Nada said: “This factor will prove critical to the creation of the carbonfibre monocoque that sits at the heart of the Aehra [saloon] and SUV models and represents a world-first for mainstream production vehicles.

"As an area of special regional development, Abruzzo unlocks further fiscal advantages.

“Aehra has also established a strategic relationship with the University of L’Aquila. Home to one of the world’s most advanced EV engineering centers, the university will prove key to the development of Aehra’s advanced 800km-range [497-mile] electric powertrain and all future EV technology.

"We also have a similar partnership with the Polytechnic of Milan.”

Aehra plans to break ground on the €1.2 billion (£1bn) site later this year. It added that the plant could create 540 jobs locally and an extra 110 positions at the company’s headquarters in Milan.

The company’s bid for government investment comes as Italian authorities aim to shore up the country's automotive industry.

The Ministry of Industry previously forced Alfa Romeo to rename the Milano to Junior because it was built in Poland and seized a shipment of Moroccan-built Fiat Topolinos because they were emblazoned with the Italian flag.

The Italian Competition and Markets Authority also recently fined Italian sibling brands DR and Evo €6 million (£5.1m) for marketing Chinese-built cars as being made in Italy.