Speculation that a storm is brewing at Stellantis continues to rise. A Reuters report shows that the automobile conglomerate's American and Italian divisions are struggling. Much like its European peers, Stellantis, the world's fourth-largest car maker, is wrestling with weak demand, especially for fully electric vehicles, regulatory uncertainty, and tough Chinese competition.
Union figures revealed that the firm’s vehicle manufacturing in Italy has fallen by 37% since last year. The dive marks the lowest levels of car production by the affiliated brands in the country since 1956.
The trade union, which is responsible for 751,384 units produced in Italy in 2023, says it only produced 475,090 vehicles in Italy last year.
According to data by the FIM-CISL union, the consumer-minded likes of Alfa Romeo and Maserati were hit alongside commercial vehicle production, which saw a 17% decline compared to 2023.
The union announced that they will soon be taking to the street in Brussels and has shared its intentions to join the IndustriALL Europe demonstration on February 5, two weeks before the European Commission presents its ‘clean industrial deal’.
Ferdinando Uliano, the union’s leader told Reuters, that it was important to review EU targets for vehicles’ carbon emissions reduction due to kick in from 2025.
‘This is a battle for Europe,’ Uliano said. ‘Single countries can only lose.
Plants freeze and numbers down by 79%
Stellantis currently operates five factories in Italy. One of its most significant, the Mirafori plant, near Turin, which produces the Fiat 500e, Maserati GranTurismo, and GranCabrio, was paused at the end of November 2024. Then Stellantis decided to extend its production line hold until January 20.
Maserati’s plant in Modena, the heart of Italy’s ‘motor valley’ which is responsible for the MC20 supercar and Nettuno V-6 engine production, shared that its production numbers down by 79% year-over-year.
‘We are very worried about Maserati,’ said Uliano. ‘We expect quickly a clear and detailed project for Maserati.’
Production at the group's Mirafiori plant in Turin fell by 70% last year.
New electric designs at Alfa Romeo, Jeep and Lansia
According to Reuters, the group has relied heavily on state-funded temporary layoff schemes.
Road & Track reported that Stellantis executive have made plans to improve these figures by claiming the Modena plant will be transformed into a hub for its highest-end electric vehicles.
In December, Stellantis presented a plan to boost production that pledged to invest 2 billion euros in this project. Stellantis wants to bring two new compact EVs out of Alfa Romeo's Pomigliano plant and the electrification of a shared Jeep / Lancia / DS crossover at the Melfi plant
However, the firm’s manufacturing resurgence isn’t set to arrive until 2026.
These investments are yet to be proven as viable means to dig Stellantis out of its slump, but the firm’s commercial and parts supplying schemes perhaps provide more hopeful insight. EV vans are currently well underway at the Atessa plant in Southeastern Italy under the Fiat Professional, Peugeot, Citroen, and Opel/Vauxhall Movano brand names. The nearby Termoli plant is also set on battery production for Stellantis' EV platforms with the support from ACC.
Stellantis is currently a constellation of 14 iconic automotive brands, including Alfa Romeo, Fiat, Jeep, Chrysler, and Maserati.
The FIM-CISL union was originally formed after the merger of Fiat Crysler Automobiles and the PSA-Peugeot in 2021. At present, it represents the vast collection of workers under Stellantis’s 14 brands.
Source: www.roadandtrack.com
