Stellantis CEO Carlos Tavares sought to defend the group’s turnaround strategies on Monday, the day after informing investors that it has missed its target and rattled markets. The September 30th announcement came as a surprise to some stakeholders who have been used to the automaker’s high margins from US pickup truck and Jeep sales and saw stock of Stellantis drop almost 45 per cent this year.

To begin with, Tavares dismissed the problems with the US market as 'small operational error.' Yet the stock slumped further after it was announced that his break is coming at the end of 2026, and amid a major management reshuffle that has left investors jittery. “The reason was personal, I didn’t ask for an extension,” Tavares told reporters, before adding: “I’m the guy heading the company so I will take the hits.”

Stellantis’ lack of struggles in the US went to the CEO who blamed a “risky” marketing plan rolled out in the second quarter by regional managers apologising: “I could have stopped it.” And it didn’t work, I didn’t.” The remarks reflect a dramatic turnabout for Tavares, who had previously been famous for being a successful leader after the Peugeot and Fiat Chrysler merger.

Tavares came under increasing pressure from a rapidly rising dearth of Stellantis' cheaper Chinese rivals and soaring costs as his remaining 18 months saw the car makers' future in jeopardy. If customer preference requires, he said job cuts, plant closures or brand divestiture could be needed to ensure profitability.

US issues, mostly ones due to excessive inventories, will be dealt with 'before Christmas, 2024,' Tavares said, 'I am sure.' Analysts have highlighted missteps in operations, including firms turning off price discounts too slowly to compensate, resulting in thousands of vehicles left unsold on dealerships, and price increases that alienated customers.

While they have expressed concerns about Stellantis' strategy, they have criticised the company’s focus on neglecting entry level vehicles and a lack of investment in popular models. It’s no wonder Tavares could also find himself clashing with the United Auto Workers (UAW) union, which has warned of strikes over delayed investments, making the road forward for Stellantis even more challenging.

Stellantis CEO Carlos Tavares sought to defend the group’s turnaround strategies on Monday, the day after informing investors that it has missed its target and rattled markets.

Stellantis CEO Carlos Tavares sought to defend the group’s turnaround strategies on Monday, the day after informing investors that it has missed its target and rattled markets. The September 30th announcement came as a surprise to some stakeholders who have been used to the automaker’s high margins from US pickup truck and Jeep sales and saw stock of Stellantis drop almost 45 per cent this year. To begin with, Tavares dismissed the problems with the US market as 'small operational error.' Yet the stock slumped further after it was announced that his break is coming at the end of 2026, and amid a major management reshuffle that has left investors jittery. “The reason was personal, I didn’t ask for an extension,” Tavares told reporters, before adding: “I’m the guy heading the company so I will take the hits.” Stellantis’ lack of struggles in the US went to the CEO who blamed a “risky” marketing plan rolled out in the second quarter by regional managers apologising: “I could have stopped it.” And it didn’t work, I didn’t.” The remarks reflect a dramatic turnabout for Tavares, who had previously been famous for being a successful leader after the Peugeot and Fiat Chrysler merger. Tavares came under increasing pressure from a rapidly rising dearth of Stellantis' cheaper Chinese rivals and soaring costs as his remaining 18 months saw the car makers' future in jeopardy. If customer preference requires, he said job cuts, plant closures or brand divestiture could be needed to ensure profitability. US issues, mostly ones due to excessive inventories, will be dealt with 'before Christmas, 2024,' Tavares said, 'I am sure.' Analysts have highlighted missteps in operations, including firms turning off price discounts too slowly to compensate, resulting in thousands of vehicles left unsold on dealerships, and price increases that alienated customers. While they have expressed concerns about Stellantis' strategy, they have criticised the company’s focus on neglecting entry level vehicles and a lack of investment in popular models. It’s no wonder Tavares could also find himself clashing with the United Auto Workers (UAW) union, which has warned of strikes over delayed investments, making the road forward for Stellantis even more challenging.

Stellantis CEO Carlos Tavares faces pressure at Paris Auto Show amid US crisis

John Elkann, Chairman of Stellantis, has firmly declared that the French-Italian automotive giant is not pursuing mergers with or acquisitions of competitors. This announcement, made during an interview with Agence France-Presse (AFP) at the Paris Car Show, comes amidst swirling rumours of a potential tie-up between Stellantis and French automaker Renault.

Elkann, who also serves as the single largest shareholder of Stellantis through the Agnelli family's investment company EXOR, emphasised the company's commitment to its current business trajectory. "We are really focused on the business, at the level of our reference shareholders, the board, our CEO and the management team. Not on the possible distractions of consolidation operations, whatever they may be," Elkann stated, underscoring the company's strategic direction.

The chairman's comments align closely with recent statements made by Stellantis CEO Carlos Tavares, who earlier this month dismissed rumours of a merger with Renault as "pure speculation." This unified message from the top echelons of Stellantis leadership sends a clear signal to investors, competitors, and industry analysts about the company's steadfast commitment to its existing corporate structure and market strategy.

Elkann further reinforced the company's position by asserting, "We, as Stellantis, consider that we have a competitive size." This statement suggests that the automotive conglomerate, formed in 2021 through the merger of Fiat Chrysler Automobiles and the PSA Group, believes it has achieved an optimal scale to compete effectively in the global automotive market without the need for further consolidation.

The automotive industry has been rife with speculation about potential mergers and acquisitions, particularly as manufacturers grapple with the challenges of transitioning to electric vehicles and navigating complex global supply chains. However, Stellantis appears to be charting its own course, focusing on internal growth and optimisation rather than external expansion through mergers or acquisitions.

While Elkann's comments primarily addressed the company's stance on acquisitions, he did not completely close the door on potential changes to the Stellantis brand portfolio. Earlier discussions with CEO Tavares had indicated that while the company is not actively seeking to divest brands, it remains open to considering offers for underperforming marques within its 14-strong brand lineup. However, Tavares revealed that he had already rebuffed offers from Chinese competitors, indicating a selective approach to any potential brand sales.

"We're not ready to consolidate, but we're not ready to deconsolidate. This is not the time," Elkann elaborated to AFP, suggesting a period of stability and focus on internal operations for Stellantis. This strategy appears to be aimed at maximising the synergies and efficiencies gained from the recent merger that formed Stellantis, rather than pursuing further corporate restructuring in the near term.

The automotive landscape is currently experiencing significant shifts, with traditional manufacturers facing competition from new entrants, particularly in the electric vehicle space. Stellantis, with its diverse brand portfolio including names like Peugeot, Citroën, Opel, Fiat, Chrysler, and Jeep, among others, seems to be betting on its existing strengths and market positions to navigate these industry changes.

Elkann's statements at the Paris Car Show come at a crucial time for the global automotive industry, which is grappling with supply chain disruptions, the transition to electric and autonomous vehicles, and changing consumer preferences. By reaffirming Stellantis' commitment to its current structure and strategy, the company is positioning itself as a stable and focused player in a rapidly evolving market.

As Stellantis continues to integrate its operations following the 2021 merger, industry observers will be closely watching how the company leverages its scale and brand diversity to compete in key markets around the world. The firm stance against further consolidation suggests a period of internal focus, potentially aimed at streamlining operations, investing in new technologies, and enhancing competitiveness across its existing brand portfolio.

John Elkann, Chairman of Stellantis, has firmly declared that the French-Italian automotive giant is not pursuing mergers with or acquisitions of competitors. This announcement, made during an interview with Agence France-Presse (AFP) at the Paris Car Show, comes amidst swirling rumours of a potential tie-up between Stellantis and French automaker Renault.

John Elkann, Chairman of Stellantis, has firmly declared that the French-Italian automotive giant is not pursuing mergers with or acquisitions of competitors. This announcement, made during an interview with Agence France-Presse (AFP) at the Paris Car Show, comes amidst swirling rumours of a potential tie-up between Stellantis and French automaker Renault. Elkann, who also serves as the single largest shareholder of Stellantis through the Agnelli family's investment company EXOR, emphasised the company's commitment to its current business trajectory. "We are really focused on the business, at the level of our reference shareholders, the board, our CEO and the management team. Not on the possible distractions of consolidation operations, whatever they may be," Elkann stated, underscoring the company's strategic direction. The chairman's comments align closely with recent statements made by Stellantis CEO Carlos Tavares, who earlier this month dismissed rumours of a merger with Renault as "pure speculation." This unified message from the top echelons of Stellantis leadership sends a clear signal to investors, competitors, and industry analysts about the company's steadfast commitment to its existing corporate structure and market strategy. Elkann further reinforced the company's position by asserting, "We, as Stellantis, consider that we have a competitive size." This statement suggests that the automotive conglomerate, formed in 2021 through the merger of Fiat Chrysler Automobiles and the PSA Group, believes it has achieved an optimal scale to compete effectively in the global automotive market without the need for further consolidation. The automotive industry has been rife with speculation about potential mergers and acquisitions, particularly as manufacturers grapple with the challenges of transitioning to electric vehicles and navigating complex global supply chains. However, Stellantis appears to be charting its own course, focusing on internal growth and optimisation rather than external expansion through mergers or acquisitions. While Elkann's comments primarily addressed the company's stance on acquisitions, he did not completely close the door on potential changes to the Stellantis brand portfolio. Earlier discussions with CEO Tavares had indicated that while the company is not actively seeking to divest brands, it remains open to considering offers for underperforming marques within its 14-strong brand lineup. However, Tavares revealed that he had already rebuffed offers from Chinese competitors, indicating a selective approach to any potential brand sales. "We're not ready to consolidate, but we're not ready to deconsolidate. This is not the time," Elkann elaborated to AFP, suggesting a period of stability and focus on internal operations for Stellantis. This strategy appears to be aimed at maximising the synergies and efficiencies gained from the recent merger that formed Stellantis, rather than pursuing further corporate restructuring in the near term. The automotive landscape is currently experiencing significant shifts, with traditional manufacturers facing competition from new entrants, particularly in the electric vehicle space. Stellantis, with its diverse brand portfolio including names like Peugeot, Citroën, Opel, Fiat, Chrysler, and Jeep, among others, seems to be betting on its existing strengths and market positions to navigate these industry changes. Elkann's statements at the Paris Car Show come at a crucial time for the global automotive industry, which is grappling with supply chain disruptions, the transition to electric and autonomous vehicles, and changing consumer preferences. By reaffirming Stellantis' commitment to its current structure and strategy, the company is positioning itself as a stable and focused player in a rapidly evolving market. As Stellantis continues to integrate its operations following the 2021 merger, industry observers will be closely watching how the company leverages its scale and brand diversity to compete in key markets around the world. The firm stance against further consolidation suggests a period of internal focus, potentially aimed at streamlining operations, investing in new technologies, and enhancing competitiveness across its existing brand portfolio.

Stellantis Chairman John Elkann dismisses merger rumours

Stellantis CEO Carlos Tavares is poised for a key week at the Paris Auto Show as he tries to address a raft of new problems after announcing a significant profit warning that jolted investors. The world's fourth-largest automaker has announced a grim outlook and caused its stock to plummet nearly 45 per cent year-to-date. Questions are also being asked over how Tavares will go out in 2026, as this downturn has come less than halfway through his retirement.

But Tavares's confidence dwindled after a series of management changes to stabilise share prices could not soothe the issues, initially passed off as a 'small operational error.' Tavares was once feted as a towering leader to admire his achievement in bringing Peugeot’s parent company PSA together with Fiat Chrysler, yet now finds himself under the lens for his five planned speaking dates — the equivalent of the work of Renault’s CEO Luca de Meo and more than industry luminaries such as BMW top executives. Volkswagen’s chief, Oliver Blume, declined to appear at the event, and Timo Dohr’s absence has similarly been noted.

The US market proved to be a hard sell, as Stellantis raised prices too steeply and was slow in the market response margin, helping to create a backlog of vehicles not sold. Cox Automotive's Erin Keating, however, said 'they didn't try hard enough ... to be strong on pricing' and that inventory issues were too great.

In addition, dealers add they are frustrated by Stellantis' strategy, which included removing entry level models and failing to invest in popular ones. Ford, being one of the competitors, has capitalised upon these missteps more in SUV segment than Jeep which in turn has pushed Jeep’s market share to the bottom. In a letter addressed to Tavares, Kevin Farrish, president of Stellantis' national dealer council, criticised Tavares, saying focus on short term profits have hurt key brands.

Yet in weak demand and stepped up competition, Tavares has tough decisions to make as Stellantis seeks to boost output by selling more of its brightly coloured cars with electric motors. He must also deal with the possibility of potential tensions with the United Auto Workers union that has threatened strikes over stalled investments and what the future of Stellantis' four different US brands will be. The company would like the next 18 months to refresh its fortunes in the North American market.

Stellantis CEO Carlos Tavares is poised for a key week at the Paris Auto Show as he tries to address a raft of new problems after announcing a significant profit warning that jolted investors.

Stellantis CEO Carlos Tavares is poised for a key week at the Paris Auto Show as he tries to address a raft of new problems after announcing a significant profit warning that jolted investors. The world's fourth-largest automaker has announced a grim outlook and caused its stock to plummet nearly 45 per cent year-to-date. Questions are also being asked over how Tavares will go out in 2026, as this downturn has come less than halfway through his retirement. But Tavares's confidence dwindled after a series of management changes to stabilise share prices could not soothe the issues, initially passed off as a 'small operational error.' Tavares was once feted as a towering leader to admire his achievement in bringing Peugeot’s parent company PSA together with Fiat Chrysler, yet now finds himself under the lens for his five planned speaking dates — the equivalent of the work of Renault’s CEO Luca de Meo and more than industry luminaries such as BMW top executives. Volkswagen’s chief, Oliver Blume, declined to appear at the event, and Timo Dohr’s absence has similarly been noted. The US market proved to be a hard sell, as Stellantis raised prices too steeply and was slow in the market response margin, helping to create a backlog of vehicles not sold. Cox Automotive's Erin Keating, however, said 'they didn't try hard enough ... to be strong on pricing' and that inventory issues were too great. In addition, dealers add they are frustrated by Stellantis' strategy, which included removing entry level models and failing to invest in popular ones. Ford, being one of the competitors, has capitalised upon these missteps more in SUV segment than Jeep which in turn has pushed Jeep’s market share to the bottom. In a letter addressed to Tavares, Kevin Farrish, president of Stellantis' national dealer council, criticised Tavares, saying focus on short term profits have hurt key brands. Yet in weak demand and stepped up competition, Tavares has tough decisions to make as Stellantis seeks to boost output by selling more of its brightly coloured cars with electric motors. He must also deal with the possibility of potential tensions with the United Auto Workers union that has threatened strikes over stalled investments and what the future of Stellantis' four different US brands will be. The company would like the next 18 months to refresh its fortunes in the North American market.

Stellantis CEO Carlos Tavares takes center stage amid US crisis

Milan-listed shares in Stellantis fell by around 1 per cent on Friday after CEO Carlos Tavares confirmed his retirement by 2026. The announcement, which also included news of major changes in senior management, saw a similar drop in the automaker's Paris listed shares, which also fell by around 1 per cent.

It's just latest in what has already been a difficult year for Stellantis on the stock market: Its Milan-listed shares are down 43% so far this year. The uncertainty that comes with a leadership transition is probably getting to investors, who have had Tavares on their side in the company's success since the start.

CEO Carlos Tavares has been in charge at the helm of Stellantis since the 2021 merger between Fiat Chrysler Automobiles and PSA Group. He's led the automaker to streamline operations and its electrification and new mobility solutions. Tavares’ retirement announcement puts the company in the middle of a rapidly changing world of automotive without him at the helm.

Though specifics were not divulged, but as part of the announcement there are plans for major changes to the company’s senior management team. It represents part of Stellantis' attempts to prepare a smooth leadership change in the coming years as the automaker looks ahead to its long-term strategy that includes aggressive moves toward electric vehicles and sustainable transportation.

Tavares has two years left as head of the company, but investors are already fretting about his departure, even as he plays a key role in turning the company around and keeping it headed down a key avenue. With the electrification and digitalisation of the industry, Stellantis now finds itself competing more, which has made the upcoming changes in the leadership more significant. 
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Milan-listed shares in Stellantis fell by around 1 per cent on Friday after CEO Carlos Tavares confirmed his retirement by 2026. The announcement, which also included news of major changes in senior management, saw a similar drop in the automaker's Paris listed shares, which also fell by around 1 per cent.

Milan-listed shares in Stellantis fell by around 1 per cent on Friday after CEO Carlos Tavares confirmed his retirement by 2026. The announcement, which also included news of major changes in senior management, saw a similar drop in the automaker's Paris listed shares, which also fell by around 1 per cent. It's just latest in what has already been a difficult year for Stellantis on the stock market: Its Milan-listed shares are down 43% so far this year. The uncertainty that comes with a leadership transition is probably getting to investors, who have had Tavares on their side in the company's success since the start. CEO Carlos Tavares has been in charge at the helm of Stellantis since the 2021 merger between Fiat Chrysler Automobiles and PSA Group. He's led the automaker to streamline operations and its electrification and new mobility solutions. Tavares’ retirement announcement puts the company in the middle of a rapidly changing world of automotive without him at the helm. Though specifics were not divulged, but as part of the announcement there are plans for major changes to the company’s senior management team. It represents part of Stellantis' attempts to prepare a smooth leadership change in the coming years as the automaker looks ahead to its long-term strategy that includes aggressive moves toward electric vehicles and sustainable transportation. Tavares has two years left as head of the company, but investors are already fretting about his departure, even as he plays a key role in turning the company around and keeping it headed down a key avenue. With the electrification and digitalisation of the industry, Stellantis now finds itself competing more, which has made the upcoming changes in the leadership more significant.

Stellantis shares dip after CEO Carlos Tavares announces 2026 retirement

Automotive manufacturer Stellantis announced Monday its plans to commence production of the next-generation Jeep Compass at its Melfi facility in southern Italy by 2025. This strategic decision comes as part of the company's broader initiative to address declining output in its Italian operations while advancing its multi-powertrain vehicle strategy.

The new iteration of the popular midsize SUV will be constructed on Stellantis' innovative Medium platform, engineered to accommodate various propulsion systems. This versatile approach will enable the company to offer the vehicle in multiple configurations, including fully electric, hybrid, and traditional internal combustion engine versions. The flexibility in powertrain options is part of Stellantis' strategy to ensure the vehicle remains accessible to a broad spectrum of consumers while aligning with evolving market demands and environmental regulations.

The timing of this announcement is particularly significant given the recent challenges faced by Stellantis in its Italian operations. According to data from the FIM-CISL union, the company has experienced a substantial decline in production volume, with output at Italian plants falling by more than 30% in the first three quarters of the year. The Melfi facility, in particular, has been severely impacted, recording a staggering 62% reduction in production during the same period. Industry analysts project that Stellantis' full-year production in Italy for 2024 will likely fall below 500,000 vehicles, a significant decrease from the 751,000 units produced in the previous year.

To further bolster its production plans at the Melfi plant, Stellantis has also revealed its intention to introduce a new model under its premium DS brand at the beginning of 2025. This announcement is part of a broader strategy that includes the scheduled production of additional mid-sized vehicles at the facility in subsequent years, demonstrating the company's commitment to diversifying its product lineup and maximising plant utilisation.

In a move that underscores the global significance of the new Jeep Compass, Stellantis has outlined plans to expand production beyond Italy. Starting in 2026, manufacturing of the vehicle will extend to North America and other key markets, reflecting the company's ambition to strengthen its global presence and meet diverse regional demands.

The decision to revamp the Jeep Compass, one of Stellantis' best-selling models, represents a crucial step in the company's efforts to navigate the challenging automotive landscape. By offering multiple powertrain options and expanding production across different regions, Stellantis aims to maintain the model's competitiveness while addressing varying consumer preferences and regulatory requirements in different markets.

Industry experts view this announcement as a strategic move by Stellantis to balance its production capabilities, address market challenges, and position itself for future growth in the evolving automotive sector. The company's investment in the Melfi plant and its commitment to diverse powertrain technologies demonstrate its dedication to maintaining a strong manufacturing presence in Italy while adapting to changing market dynamics and consumer expectations. 
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Automotive manufacturer Stellantis announced Monday its plans to commence production of the next-generation Jeep Compass at its Melfi facility in southern Italy by 2025.

Automotive manufacturer Stellantis announced Monday its plans to commence production of the next-generation Jeep Compass at its Melfi facility in southern Italy by 2025. This strategic decision comes as part of the company's broader initiative to address declining output in its Italian operations while advancing its multi-powertrain vehicle strategy. The new iteration of the popular midsize SUV will be constructed on Stellantis' innovative Medium platform, engineered to accommodate various propulsion systems. This versatile approach will enable the company to offer the vehicle in multiple configurations, including fully electric, hybrid, and traditional internal combustion engine versions. The flexibility in powertrain options is part of Stellantis' strategy to ensure the vehicle remains accessible to a broad spectrum of consumers while aligning with evolving market demands and environmental regulations. The timing of this announcement is particularly significant given the recent challenges faced by Stellantis in its Italian operations. According to data from the FIM-CISL union, the company has experienced a substantial decline in production volume, with output at Italian plants falling by more than 30% in the first three quarters of the year. The Melfi facility, in particular, has been severely impacted, recording a staggering 62% reduction in production during the same period. Industry analysts project that Stellantis' full-year production in Italy for 2024 will likely fall below 500,000 vehicles, a significant decrease from the 751,000 units produced in the previous year. To further bolster its production plans at the Melfi plant, Stellantis has also revealed its intention to introduce a new model under its premium DS brand at the beginning of 2025. This announcement is part of a broader strategy that includes the scheduled production of additional mid-sized vehicles at the facility in subsequent years, demonstrating the company's commitment to diversifying its product lineup and maximising plant utilisation. In a move that underscores the global significance of the new Jeep Compass, Stellantis has outlined plans to expand production beyond Italy. Starting in 2026, manufacturing of the vehicle will extend to North America and other key markets, reflecting the company's ambition to strengthen its global presence and meet diverse regional demands. The decision to revamp the Jeep Compass, one of Stellantis' best-selling models, represents a crucial step in the company's efforts to navigate the challenging automotive landscape. By offering multiple powertrain options and expanding production across different regions, Stellantis aims to maintain the model's competitiveness while addressing varying consumer preferences and regulatory requirements in different markets. Industry experts view this announcement as a strategic move by Stellantis to balance its production capabilities, address market challenges, and position itself for future growth in the evolving automotive sector. The company's investment in the Melfi plant and its commitment to diverse powertrain technologies demonstrate its dedication to maintaining a strong manufacturing presence in Italy while adapting to changing market dynamics and consumer expectations.

Stellantis announces global production plans for next-gen Jeep Compass

Stellantis announced Monday a sweeping recall of approximately 194,000 plug-in hybrid Jeep SUVs due to potential fire risks. The recall comes after reports of 13 vehicles catching fire while parked and turned off, prompting immediate safety recommendations for current owners.

The recall encompasses multiple model years across two popular Jeep lines: the Wrangler (2020-2024 model years) and the Grand Cherokee (2022-2024 model years), both in their plug-in hybrid configurations. According to Stellantis, the issue stems from a problematic battery component, though specific details about the defect have not been disclosed.

Breaking down the numbers, the recall affects:

- 154,000 vehicles in the United States 
- 14,000 in Canada 
- 700 in Mexico 
- Approximately 26,000 in other global markets

The company estimates that about 5% of the affected vehicles may have the defect, suggesting a relatively low but significant risk factor. Despite the seemingly small percentage, Stellantis is taking no chances with consumer safety.

In an interim safety measure, the automaker has issued specific guidance to vehicle owners:

1. Park affected vehicles outside and away from other vehicles and structures 
2. Refrain from recharging the hybrid battery 
3. Reduce the battery charge level when possible, as this may decrease risk

A Stellantis spokesperson indicated that the recall was initiated following a routine review of customer data, which led to an internal investigation. This proactive approach to vehicle safety demonstrates the company's commitment to addressing potential hazards before they become widespread issues.

Industry experts note that this recall comes at a crucial time for the automotive sector, as manufacturers worldwide are pushing to expand their electric and hybrid vehicle offerings. While such recalls are not uncommon in the industry, the specific focus on hybrid battery systems highlights the unique challenges faced by automakers as they transition to electrified powertrains.

The company has stated that a remedy for the issue is imminent, though no specific timeline has been provided. Affected owners will be notified directly by Stellantis and can expect to receive information about free recall repairs as soon as the solution is finalised and implemented.

For perspective, this recall represents a significant portion of Stellantis's plug-in hybrid production, potentially impacting the company's electrification strategy and consumer confidence in hybrid technology. However, the swift action taken by the automaker may help mitigate long-term repercussions.

Vehicle owners can check if their Jeep is affected by visiting the National Highway Traffic Safety Administration's website and entering their Vehicle Identification Number (VIN), or by contacting their local Jeep dealership directly.

Stellantis announced Monday a sweeping recall of approximately 194,000 plug-in hybrid Jeep SUVs due to potential fire risks. The recall comes after reports of 13 vehicles catching fire while parked and turned off, prompting immediate safety recommendations for current owners.

Stellantis announced Monday a sweeping recall of approximately 194,000 plug-in hybrid Jeep SUVs due to potential fire risks. The recall comes after reports of 13 vehicles catching fire while parked and turned off, prompting immediate safety recommendations for current owners. The recall encompasses multiple model years across two popular Jeep lines: the Wrangler (2020-2024 model years) and the Grand Cherokee (2022-2024 model years), both in their plug-in hybrid configurations. According to Stellantis, the issue stems from a problematic battery component, though specific details about the defect have not been disclosed. Breaking down the numbers, the recall affects: - 154,000 vehicles in the United States - 14,000 in Canada - 700 in Mexico - Approximately 26,000 in other global markets The company estimates that about 5% of the affected vehicles may have the defect, suggesting a relatively low but significant risk factor. Despite the seemingly small percentage, Stellantis is taking no chances with consumer safety. In an interim safety measure, the automaker has issued specific guidance to vehicle owners: 1. Park affected vehicles outside and away from other vehicles and structures 2. Refrain from recharging the hybrid battery 3. Reduce the battery charge level when possible, as this may decrease risk A Stellantis spokesperson indicated that the recall was initiated following a routine review of customer data, which led to an internal investigation. This proactive approach to vehicle safety demonstrates the company's commitment to addressing potential hazards before they become widespread issues. Industry experts note that this recall comes at a crucial time for the automotive sector, as manufacturers worldwide are pushing to expand their electric and hybrid vehicle offerings. While such recalls are not uncommon in the industry, the specific focus on hybrid battery systems highlights the unique challenges faced by automakers as they transition to electrified powertrains. The company has stated that a remedy for the issue is imminent, though no specific timeline has been provided. Affected owners will be notified directly by Stellantis and can expect to receive information about free recall repairs as soon as the solution is finalised and implemented. For perspective, this recall represents a significant portion of Stellantis's plug-in hybrid production, potentially impacting the company's electrification strategy and consumer confidence in hybrid technology. However, the swift action taken by the automaker may help mitigate long-term repercussions. Vehicle owners can check if their Jeep is affected by visiting the National Highway Traffic Safety Administration's website and entering their Vehicle Identification Number (VIN), or by contacting their local Jeep dealership directly.

Stellantis issues recall of Jeep plug-in hybrids

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Stellantis NV modified its anticipated profits to be more conservative as global market challenges and a rise in competition from China's electric vehicle industry have intensified. On Monday the French-Italian automaker shared that it is projecting lower income in the second half of the year in various areas.

Volkswagen made a comparable decision to lower its profit guidance last month which has increased focus on the European Union amid its negotiations for Chinese electric vehicle tariffs.

The company now believes it will see a significant drop in industrial free cash flow ranging from -5 billion to -10 billion euros compared to its earlier estimates for profitability. Stellantis tweaked its anticipated margin for the year and set it at 5.5 to 7.0%, which is much lower than the earlier targets of over 10%.

Stellantis noted in its announcement that competition has become more intense because of growing supply and rising Chinese rivals.

The warning indicates that Stellantis must tackle problems with its performance in North America and triggers the company to implement 'significant remedial steps'. Details concerning what the company did were not made available. A lawsuit filed by U.S. investors claims Stellantis misrepresented issues with rising inventories and operational issues resulting in poor earnings and a drop in stock value.

Stellantis made it known that up to 2.450 workers at the assembly plant in Detroit would be released due to shutting down Ram 1500 Classic truck manufacturing.

Stellantis faces difficulties while adjusting its position; this prompts uncertainty about its future plans and success in competing in the rapidly growing EV market.

Stellantis NV modified its anticipated profits to be more conservative as global market challenges and a rise in competition from China's electric vehicle industry have intensified.

Stellantis NV modified its anticipated profits to be more conservative as global market challenges and a rise in competition from China's electric vehicle industry have intensified. On Monday the French-Italian automaker shared that it is projecting lower income in the second half of the year in various areas. Volkswagen made a comparable decision to lower its profit guidance last month which has increased focus on the European Union amid its negotiations for Chinese electric vehicle tariffs. The company now believes it will see a significant drop in industrial free cash flow ranging from -5 billion to -10 billion euros compared to its earlier estimates for profitability. Stellantis tweaked its anticipated margin for the year and set it at 5.5 to 7.0%, which is much lower than the earlier targets of over 10%. Stellantis noted in its announcement that competition has become more intense because of growing supply and rising Chinese rivals. The warning indicates that Stellantis must tackle problems with its performance in North America and triggers the company to implement 'significant remedial steps'. Details concerning what the company did were not made available. A lawsuit filed by U.S. investors claims Stellantis misrepresented issues with rising inventories and operational issues resulting in poor earnings and a drop in stock value. Stellantis made it known that up to 2.450 workers at the assembly plant in Detroit would be released due to shutting down Ram 1500 Classic truck manufacturing. Stellantis faces difficulties while adjusting its position; this prompts uncertainty about its future plans and success in competing in the rapidly growing EV market.

Stellantis issues profit warning amid global market challenges and rising Chinese competition

The United Auto Workers union asked workers at Stellantis to authorise a strike as it accused the French-Italian automaker of failing to honour its contract commitments, UAW President Shawn Fain said in a letter to the union's US chapters.

"We unanimously recommend to the membership that every UAW worker at Stellantis prepare for a fight, and we all get ready to vote YES to authorise a strike at Stellantis," Fain wrote in the letter that the UAW shared in a post on Facebook.

The union's grievances centre on Stellantis' promises on the product and investments made during contract negotiations last fall.

"We reviewed the serious violations of our contract and patterns of illegal behaviour by Stellantis. The evidence is clear that CEO Carlos Tavares is steering Stellantis on a crash course that will cause our members tremendous harm," the letter on Friday added.

Stellantis reiterated that it has performed under its obligation to the UAW as the 2023 deal has directed.

Chrysler-parent Stellantis' North American operations have come under heavy fire from consumers and employees, who claim it hasn't done enough to boost demand.

But among the UAW's top issues are delay in a planned multibillion-dollar investment for a new battery plant and factory in Belvidere, Illinois and a report that Stellantis is planning to shift production of the Dodge Durango SUV out of the United States.

Earlier this month, Fain said several of its local union chapters were preparing for possible strikes.

Tavares has said his focus is to improve Stellantis' US performance and announced that he is prepared to eliminate brands across the world if they are not profitable.

The United Auto Workers union asked workers at Stellantis to authorise a strike as it accused the French-Italian automaker of failing to honour its contract commitments, UAW President Shawn Fain said in a letter to the union's US chapters.

The United Auto Workers union asked workers at Stellantis to authorise a strike as it accused the French-Italian automaker of failing to honour its contract commitments, UAW President Shawn Fain said in a letter to the union's US chapters. "We unanimously recommend to the membership that every UAW worker at Stellantis prepare for a fight, and we all get ready to vote YES to authorise a strike at Stellantis," Fain wrote in the letter that the UAW shared in a post on Facebook. The union's grievances centre on Stellantis' promises on the product and investments made during contract negotiations last fall. "We reviewed the serious violations of our contract and patterns of illegal behaviour by Stellantis. The evidence is clear that CEO Carlos Tavares is steering Stellantis on a crash course that will cause our members tremendous harm," the letter on Friday added. Stellantis reiterated that it has performed under its obligation to the UAW as the 2023 deal has directed. Chrysler-parent Stellantis' North American operations have come under heavy fire from consumers and employees, who claim it hasn't done enough to boost demand. But among the UAW's top issues are delay in a planned multibillion-dollar investment for a new battery plant and factory in Belvidere, Illinois and a report that Stellantis is planning to shift production of the Dodge Durango SUV out of the United States. Earlier this month, Fain said several of its local union chapters were preparing for possible strikes. Tavares has said his focus is to improve Stellantis' US performance and announced that he is prepared to eliminate brands across the world if they are not profitable.

UAW calls on Stellantis workers to approve strike, accuses automaker of contract violations

Stellantis CEO Carlos Tavares is utilising low-cost practices akin to his Chinese electric vehicle (EV) competitors to fight what he terms tariffs set by European and US governments. Addressing a conference hosted by Reuters Events in Munich, Tavares described these tariffs as anti-competitive measures that impoverish the old carmakers at the expense of the competition with Chinese opponents that produce electric vehicles for, roughly, 40 percent less.

To strengthen its partnership, Stellantis bought a 21% stake in Chinese EV maker Leapmotor in October 2021 and set a joint venture that affords Leapmotor’s technology and sales rights for its EVs beyond China to Stellaris. It is similar with other automakers who are now searching for the partners from Chinese suppliers in order to stand firm on the changing market environment.

Leapmotor EVs are already being manufactured at Stellantis’ Tychy site in Poland, in addition to vehicles from traditional Stellantis brands such as Fiat, Jeep, and Alfa Romeo. Tavares stated that there is the possibility of manufacturing Leapmotor vehicles within North America but indicated that the standards of the two regions, Europe and the US, are significantly dissimilar.&nbsp;

Currently, Chinese EVs are being manufactured, more factories are being established and countries are offering subsidies to lure investors in Europe. For example, Volkswagen has partnered with Xpeng to bring affordable EVs to China; many insiders now envision this kind of collaboration as the model for the future of automaker relationships.

Nonetheless, the opportunity of the American market remains challenging, especially as the Biden administration continues to advance a 100 percent tax on BEVs assembled in China and energise American manufacturing with the Inflation Reduction Act. New regulation measures may also impede the extent of Chinese components being in vehicles that are imported into the US; therefore, becoming a challenge for Stellantis.

They also have political considerations because American politicians still heavily criticise the cooperation with Chinese companies, which makes the possible manufacturing plans for Stellantis unclear. The differing stances in Europe and the US for trade paints a bipolar environment for the automakers and while Tavares urged for the removal of tariffs, Farley of Ford see tariffs as crucial for American firms.

As some of today’s markets for EVs emerge, analysts agree that China is going to be a major EV industry irrespective of tariff situation.

Stellantis CEO Carlos Tavares is utilising low-cost practices akin to his Chinese electric vehicle (EV) competitors to fight what he terms tariffs set by European and US governments.

Stellantis CEO Carlos Tavares is utilising low-cost practices akin to his Chinese electric vehicle (EV) competitors to fight what he terms tariffs set by European and US governments. Addressing a conference hosted by Reuters Events in Munich, Tavares described these tariffs as anti-competitive measures that impoverish the old carmakers at the expense of the competition with Chinese opponents that produce electric vehicles for, roughly, 40 percent less. To strengthen its partnership, Stellantis bought a 21% stake in Chinese EV maker Leapmotor in October 2021 and set a joint venture that affords Leapmotor’s technology and sales rights for its EVs beyond China to Stellaris. It is similar with other automakers who are now searching for the partners from Chinese suppliers in order to stand firm on the changing market environment. Leapmotor EVs are already being manufactured at Stellantis’ Tychy site in Poland, in addition to vehicles from traditional Stellantis brands such as Fiat, Jeep, and Alfa Romeo. Tavares stated that there is the possibility of manufacturing Leapmotor vehicles within North America but indicated that the standards of the two regions, Europe and the US, are significantly dissimilar. Currently, Chinese EVs are being manufactured, more factories are being established and countries are offering subsidies to lure investors in Europe. For example, Volkswagen has partnered with Xpeng to bring affordable EVs to China; many insiders now envision this kind of collaboration as the model for the future of automaker relationships. Nonetheless, the opportunity of the American market remains challenging, especially as the Biden administration continues to advance a 100 percent tax on BEVs assembled in China and energise American manufacturing with the Inflation Reduction Act. New regulation measures may also impede the extent of Chinese components being in vehicles that are imported into the US; therefore, becoming a challenge for Stellantis. They also have political considerations because American politicians still heavily criticise the cooperation with Chinese companies, which makes the possible manufacturing plans for Stellantis unclear. The differing stances in Europe and the US for trade paints a bipolar environment for the automakers and while Tavares urged for the removal of tariffs, Farley of Ford see tariffs as crucial for American firms. As some of today’s markets for EVs emerge, analysts agree that China is going to be a major EV industry irrespective of tariff situation.

Stellantis CEO embraces Chinese strategy to navigate EV tariffs

Leapmotor, a Chinese automaker, is poised to enter the European market with two electric vehicle (EV) models, as announced by the company and its partner Stellantis on Tuesday. This move signifies an expansion of their affordable EV offerings in the region.

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The joint venture, known as Leapmotor International, is majority-owned by Stellantis with a 51 per cent stake. This partnership grants Stellantis exclusive rights to manufacture, export, and sell Leapmotor products outside of China, marking a pioneering arrangement for a traditional Western automaker.

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The two models set to debut in Europe are the T03 compact car and the C10 SUV. The T03 will be available for orders starting from late September, with a competitive starting price of 18,900 euros (USD 20,990). Following closely, the C10 SUV will arrive in dealerships in October, priced from 36,400 euros. Both vehicles were unveiled to the European market for the first time near Milan on Tuesday.

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Initially, the T03 will be imported from China. However, plans are in place to assemble this model in Europe at Stellantis' Tychy plant in Poland. This strategic move could potentially help the brand circumvent European Union tariffs on imported Chinese EVs.

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Stellantis CEO Carlos Tavares has also hinted at the possibility of manufacturing the C10 model in Europe, though specific details have not been disclosed.

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The introduction of Leapmotor as Stellantis' 15th brand is part of a broader strategy to diversify and expand its range of affordable EVs. This initiative aligns with Stellantis' ongoing electrification efforts and aims to ensure compliance with EU emission regulations, particularly in light of the current soft global demand for EVs.

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Tavares has taken a firm stance against the European auto lobby ACEA's call for relief from intermediate CO2 targets for cars and vans, which are set to take effect in the EU in 2025. He emphasised last week the importance of the industry being able to sell EVs at prices comparable to petrol models.

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This partnership between Leapmotor and Stellantis shows a significant step in the global automotive landscape, blending Chinese EV technology with European manufacturing expertise. It also reflects the ongoing shift in the industry towards electrification and the increasing competition in the affordable EV segment.

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As these new models enter the European market, they are likely to face both opportunities and challenges. The competitive pricing strategy could appeal to budget-conscious consumers looking to transition to electric vehicles. However, they will also need to contend with established European and other international brands in an increasingly crowded EV market.

Leapmotor, a Chinese automaker, is poised to enter the European market with two electric vehicle (EV) models, as announced by the company and its partner Stellantis on Tuesday.

Leapmotor, a Chinese automaker, is poised to enter the European market with two electric vehicle (EV) models, as announced by the company and its partner Stellantis on Tuesday. This move signifies an expansion of their affordable EV offerings in the region. The joint venture, known as Leapmotor International, is majority-owned by Stellantis with a 51 per cent stake. This partnership grants Stellantis exclusive rights to manufacture, export, and sell Leapmotor products outside of China, marking a pioneering arrangement for a traditional Western automaker. The two models set to debut in Europe are the T03 compact car and the C10 SUV. The T03 will be available for orders starting from late September, with a competitive starting price of 18,900 euros (USD 20,990). Following closely, the C10 SUV will arrive in dealerships in October, priced from 36,400 euros. Both vehicles were unveiled to the European market for the first time near Milan on Tuesday. Initially, the T03 will be imported from China. However, plans are in place to assemble this model in Europe at Stellantis' Tychy plant in Poland. This strategic move could potentially help the brand circumvent European Union tariffs on imported Chinese EVs. Stellantis CEO Carlos Tavares has also hinted at the possibility of manufacturing the C10 model in Europe, though specific details have not been disclosed. The introduction of Leapmotor as Stellantis' 15th brand is part of a broader strategy to diversify and expand its range of affordable EVs. This initiative aligns with Stellantis' ongoing electrification efforts and aims to ensure compliance with EU emission regulations, particularly in light of the current soft global demand for EVs. Tavares has taken a firm stance against the European auto lobby ACEA's call for relief from intermediate CO2 targets for cars and vans, which are set to take effect in the EU in 2025. He emphasised last week the importance of the industry being able to sell EVs at prices comparable to petrol models. This partnership between Leapmotor and Stellantis shows a significant step in the global automotive landscape, blending Chinese EV technology with European manufacturing expertise. It also reflects the ongoing shift in the industry towards electrification and the increasing competition in the affordable EV segment. As these new models enter the European market, they are likely to face both opportunities and challenges. The competitive pricing strategy could appeal to budget-conscious consumers looking to transition to electric vehicles. However, they will also need to contend with established European and other international brands in an increasingly crowded EV market.

China's Leapmotor and Stellantis open orders in Europe for budget EVs

The United Auto Workers (UAW) union is preparing to hold strike authorisation votes at one or more of its Stellantis local chapters in the coming days. This development, announced by UAW President Shawn Fain on Tuesday, marks a significant escalation in the ongoing tension between the union and the Jeep manufacturer.

Fain has been vocal in recent months about his dissatisfaction with Stellantis CEO Carlos Tavares, accusing the company of failing to honour the product and investment commitments agreed upon following the six-week strike last autumn. This criticism has centred on several key issues, including alleged plans to move production of the Dodge Durango out of the United States and delays in a multi-billion dollar investment for a new battery plant and factory in Belvidere, Illinois.

The union's grievances span a wide range of concerns, with 28 Stellantis local chapters filing formal complaints. According to a UAW official, these grievances cover approximately 98% of Stellantis' union membership, potentially giving any strike action the same impact as a nationwide walkout.

In response to these allegations, Stellantis released a statement emphasising its focus on offering consumers affordable conventional and electric vehicles while ensuring the company's sustainability and workforce stability. The automaker pointed out that the commitments made during the 2023 negotiations span the life of their 4-year, 7-1/2 month agreement, suggesting it's not surprising that they haven't been fully realised in the first year.

The UAW's decision to pursue strike authorisation votes represents a strategic move, as explained by Harley Shaiken, a labour professor at the University of California, Berkeley. By targeting local chapters rather than calling for a nationwide strike, the union is potentially avoiding legal challenges from Stellantis that could argue a breach of contract.

Further escalating the situation, the UAW filed unfair labour practice claims with the National Labor Relations Board against Stellantis on Monday. These claims allege that the company has refused to provide information about its future product plans, a critical issue for workers concerned about job security in the rapidly evolving automotive industry.

The potential for strike action comes at a particularly sensitive time for Stellantis. The company has recently faced criticism from both dealers and shareholders over rising inventories and lagging sales. This unusual alignment of interests between workers, dealers, suppliers, and shareholders was highlighted by Fain in his video address, where he stated, "It's not every day that we auto workers are on the same side as the dealers, the same side as the suppliers and the same side as the shareholders. But today is that day, and we are prepared to take strike action to make Stellantis keep the promise."

The UAW's focus on securing jobs at the Belvidere plant was one of the union's most significant victories during last year's nationwide strike against Stellantis, Ford Motor, and General Motors. This achievement was seen as a symbol of the union's ability to protect jobs as the industry transitions towards electric vehicle production.

The process for potential strike action follows established union procedures. Stellantis will have several opportunities to respond to the grievances filed by the local chapters. If the issues remain unresolved, the union has 60 days to hold a vote on whether to strike. Should a majority of workers at a union local authorise a strike, the UAW will meet with the company seven times in an attempt to resolve the issue before resorting to a walkout.

This developing situation highlights the ongoing challenges in labour relations within the automotive industry, particularly as companies navigate the complex transition to electric vehicle production. The outcome of these negotiations and potential strike actions could have far-reaching implications not only for Stellantis and its workers but for the broader automotive industry and labour movement in the United States.

As both sides prepare for what could be a contentious period of negotiations, industry observers and stakeholders will be closely watching for any signs of resolution or further escalation in this high-stakes labour dispute. 
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The United Auto Workers (UAW) union is preparing to hold strike authorisation votes at one or more of its Stellantis local chapters in the coming days. This development, announced by UAW President Shawn Fain on Tuesday, marks a significant escalation in the ongoing tension between the union and the Jeep manufacturer.

The United Auto Workers (UAW) union is preparing to hold strike authorisation votes at one or more of its Stellantis local chapters in the coming days. This development, announced by UAW President Shawn Fain on Tuesday, marks a significant escalation in the ongoing tension between the union and the Jeep manufacturer. Fain has been vocal in recent months about his dissatisfaction with Stellantis CEO Carlos Tavares, accusing the company of failing to honour the product and investment commitments agreed upon following the six-week strike last autumn. This criticism has centred on several key issues, including alleged plans to move production of the Dodge Durango out of the United States and delays in a multi-billion dollar investment for a new battery plant and factory in Belvidere, Illinois. The union's grievances span a wide range of concerns, with 28 Stellantis local chapters filing formal complaints. According to a UAW official, these grievances cover approximately 98% of Stellantis' union membership, potentially giving any strike action the same impact as a nationwide walkout. In response to these allegations, Stellantis released a statement emphasising its focus on offering consumers affordable conventional and electric vehicles while ensuring the company's sustainability and workforce stability. The automaker pointed out that the commitments made during the 2023 negotiations span the life of their 4-year, 7-1/2 month agreement, suggesting it's not surprising that they haven't been fully realised in the first year. The UAW's decision to pursue strike authorisation votes represents a strategic move, as explained by Harley Shaiken, a labour professor at the University of California, Berkeley. By targeting local chapters rather than calling for a nationwide strike, the union is potentially avoiding legal challenges from Stellantis that could argue a breach of contract. Further escalating the situation, the UAW filed unfair labour practice claims with the National Labor Relations Board against Stellantis on Monday. These claims allege that the company has refused to provide information about its future product plans, a critical issue for workers concerned about job security in the rapidly evolving automotive industry. The potential for strike action comes at a particularly sensitive time for Stellantis. The company has recently faced criticism from both dealers and shareholders over rising inventories and lagging sales. This unusual alignment of interests between workers, dealers, suppliers, and shareholders was highlighted by Fain in his video address, where he stated, "It's not every day that we auto workers are on the same side as the dealers, the same side as the suppliers and the same side as the shareholders. But today is that day, and we are prepared to take strike action to make Stellantis keep the promise." The UAW's focus on securing jobs at the Belvidere plant was one of the union's most significant victories during last year's nationwide strike against Stellantis, Ford Motor, and General Motors. This achievement was seen as a symbol of the union's ability to protect jobs as the industry transitions towards electric vehicle production. The process for potential strike action follows established union procedures. Stellantis will have several opportunities to respond to the grievances filed by the local chapters. If the issues remain unresolved, the union has 60 days to hold a vote on whether to strike. Should a majority of workers at a union local authorise a strike, the UAW will meet with the company seven times in an attempt to resolve the issue before resorting to a walkout. This developing situation highlights the ongoing challenges in labour relations within the automotive industry, particularly as companies navigate the complex transition to electric vehicle production. The outcome of these negotiations and potential strike actions could have far-reaching implications not only for Stellantis and its workers but for the broader automotive industry and labour movement in the United States. As both sides prepare for what could be a contentious period of negotiations, industry observers and stakeholders will be closely watching for any signs of resolution or further escalation in this high-stakes labour dispute.

UAW prepares for potential strikes at Stellantis amid alleged contract violations

Automaker Stellantis revealed on Thursday that it will halt production of its fully electric Fiat 500 for a month due to low take-ups of the car. The temporary stop, which is set to start this Friday, was as a result of the overall slow down in EV sales globally and inconsistent green incentive policies.

The Fiat 500 electric vehicle that is manufactured at Fiat’s renowned Mirafiori plant in Turin, Italy, has been facing a major issue of low order intake. Although European car manufacturers are struggling, Stellantis admitted that problems including the lack of orders “owing to the severe problems in the European electric car market” led to the move.

To counter this period, Stellatis is putting up EURO 100m (USD 110m) into the Mirafiori plant. This investment will enable the deployment of a higher performing battery and the creation of the full electric version of Fiat 500 EV alongside the hybrid version that is expected to be launched within the fiscal year 2025/2026. It is a part of a wider strategy for the Mirafiori site that has been experiencing slowing down of production in the recent past.

Unions have been demanding a comeback of the Mirafiori complex, calling on Stellantis to bring new, high-volume, and cheap models to the location. Stellantis elaborated on the future vision of Mirafiori as one of the most important innovation and development hubs for the company with a focus on sustainable mobility.

The suspension comes at a time the Italian government in other policies in the first half of this year launched a USD 1 billion plan to promote low-emission automobiles. Subsidies for fully electric cars form part of this plan. However, there is a clear divergence of opinions between Stellantis and the Italian government regarding the efficacy and application of these incentives.

Stellantis said it is "working hard to manage at its best this hard phase of transition," reflecting the company's efforts to adapt to the evolving market conditions and regulatory landscape.

Automaker Stellantis revealed on Thursday that it will halt production of its fully electric Fiat 500 for a month due to low take-ups of the car. The temporary stop, which is set to start this Friday, was as a result of the overall slow down in EV sales globally and inconsistent green incentive policies.

Automaker Stellantis revealed on Thursday that it will halt production of its fully electric Fiat 500 for a month due to low take-ups of the car. The temporary stop, which is set to start this Friday, was as a result of the overall slow down in EV sales globally and inconsistent green incentive policies. The Fiat 500 electric vehicle that is manufactured at Fiat’s renowned Mirafiori plant in Turin, Italy, has been facing a major issue of low order intake. Although European car manufacturers are struggling, Stellantis admitted that problems including the lack of orders “owing to the severe problems in the European electric car market” led to the move. To counter this period, Stellatis is putting up EURO 100m (USD 110m) into the Mirafiori plant. This investment will enable the deployment of a higher performing battery and the creation of the full electric version of Fiat 500 EV alongside the hybrid version that is expected to be launched within the fiscal year 2025/2026. It is a part of a wider strategy for the Mirafiori site that has been experiencing slowing down of production in the recent past. Unions have been demanding a comeback of the Mirafiori complex, calling on Stellantis to bring new, high-volume, and cheap models to the location. Stellantis elaborated on the future vision of Mirafiori as one of the most important innovation and development hubs for the company with a focus on sustainable mobility. The suspension comes at a time the Italian government in other policies in the first half of this year launched a USD 1 billion plan to promote low-emission automobiles. Subsidies for fully electric cars form part of this plan. However, there is a clear divergence of opinions between Stellantis and the Italian government regarding the efficacy and application of these incentives. Stellantis said it is "working hard to manage at its best this hard phase of transition," reflecting the company's efforts to adapt to the evolving market conditions and regulatory landscape.

Stellantis halts Fiat 500 EV production amid sluggish demand

Stellantis NV, a prominent automotive manufacturer, has announced a significant recall affecting approximately 1.46 million Ram trucks. The recall is necessitated by a software issue that could inadvertently disable the electronic stability control systems in these vehicles.

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The recall encompasses certain models of Ram 1500 trucks from the 2019 model year, as well as those produced between 2021 and 2024. While the majority of the affected vehicles are located in North America, Stellantis has indicated that around 61,000 trucks in other regions are also subject to this recall.

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The software problem manifests in a peculiar manner. It causes the illumination of indicator lights for several critical safety systems, including the adaptive cruise control, forward collision warning, antilock braking system, and electronic stability control. When these lights are illuminated, it typically signifies that these systems are not operational. However, Stellantis has assured that the foundation brake function, which is fundamental to a vehicle's stopping ability, remains unaffected by this issue.

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This software glitch poses a significant concern as it potentially puts these vehicles in violation of US federal motor vehicle standards. These regulations mandate that the electronic stability control system must be fully operational. It is a requirement that the affected trucks may fail to meet due to this software flaw.

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To address this issue, Stellantis has developed a solution in the form of a software update. The company has committed to providing this update free of charge to all affected customers. As part of the recall process, Stellantis will be notifying vehicle owners via mail about the necessary steps to have their trucks fixed.

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Stellantis, which is headquartered in the Netherlands and is also the parent company of well-known automotive brands such as Jeep, Chrysler, and Fiat, has stated that it is not aware of any accidents or incidents related to this recall. This suggests that the recall is a proactive measure to address a potential safety issue before it leads to any real-world problems.

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This recall underscores the increasing complexity of modern vehicles and the critical role that software plays in their operation and safety systems. It also highlights the importance of manufacturers' ongoing vigilance and responsiveness to potential issues, even after vehicles have left the production line and are in use by consumers.

Stellantis NV, a prominent automotive manufacturer, has announced a significant recall affecting approximately 1.46 million Ram trucks. The recall is necessitated by a software issue that could inadvertently disable the electronic stability control systems in these vehicles.

Stellantis NV, a prominent automotive manufacturer, has announced a significant recall affecting approximately 1.46 million Ram trucks. The recall is necessitated by a software issue that could inadvertently disable the electronic stability control systems in these vehicles. The recall encompasses certain models of Ram 1500 trucks from the 2019 model year, as well as those produced between 2021 and 2024. While the majority of the affected vehicles are located in North America, Stellantis has indicated that around 61,000 trucks in other regions are also subject to this recall. The software problem manifests in a peculiar manner. It causes the illumination of indicator lights for several critical safety systems, including the adaptive cruise control, forward collision warning, antilock braking system, and electronic stability control. When these lights are illuminated, it typically signifies that these systems are not operational. However, Stellantis has assured that the foundation brake function, which is fundamental to a vehicle's stopping ability, remains unaffected by this issue. This software glitch poses a significant concern as it potentially puts these vehicles in violation of US federal motor vehicle standards. These regulations mandate that the electronic stability control system must be fully operational. It is a requirement that the affected trucks may fail to meet due to this software flaw. To address this issue, Stellantis has developed a solution in the form of a software update. The company has committed to providing this update free of charge to all affected customers. As part of the recall process, Stellantis will be notifying vehicle owners via mail about the necessary steps to have their trucks fixed. Stellantis, which is headquartered in the Netherlands and is also the parent company of well-known automotive brands such as Jeep, Chrysler, and Fiat, has stated that it is not aware of any accidents or incidents related to this recall. This suggests that the recall is a proactive measure to address a potential safety issue before it leads to any real-world problems. This recall underscores the increasing complexity of modern vehicles and the critical role that software plays in their operation and safety systems. It also highlights the importance of manufacturers' ongoing vigilance and responsiveness to potential issues, even after vehicles have left the production line and are in use by consumers.

Stellantis recalls 1.46 million vehicles globally

Stellantis, the automotive conglomerate, has announced that its planned investments at the Belvidere, Illinois facility will be delayed. However, the company has insisted that it remains committed to moving forward with these investments and is not in violation of its union contract.

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On Monday, the United Auto Workers (UAW) union stated that some of its local units, representing tens of thousands of workers at Stellantis, were preparing to file grievances and could even launch a nationwide strike. The union accused the automaker of failing to honour its production commitments.

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In response, Stellantis said on Tuesday that it had informed the UAW about the delay, but it "firmly stands by its commitment." The company explained that the new timetable is necessary "to ensure the company's future competitiveness and sustainability." The contract between Stellantis and the UAW includes language that the product investments are "contingent upon plant performance, changes in market conditions and consumer demand."

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As part of the overall deal, Stellantis had agreed to build a new USD 3.2 billion battery plant, invest USD 1.5 billion in Belvidere to build new mid-size trucks by 2027 and establish a USD 100 million parts distribution centre in 2024. The UAW had previously stated that the agreement included USD 18.9 billion in new investments by Stellantis and a pledge to add 5,000 total U.S. jobs by 2028.

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However, Stellantis declined to disclose any new timetable for these investments on Tuesday.

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UAW President Shawn Fain responded by stating that the investment plans are "binding commitments in a union contract," and the union intends to "enforce that contract to the fullest extent." Fain accused Stellantis of wanting to "delay" reopening the Belvidere Assembly plant to "kick the can past our contract expiration" and then cite "market conditions" as a reason for never opening the plant.

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Fain further emphasized that the UAW will "take whatever action necessary at Stellantis or any other corporation to stand up and hold corporate America accountable."

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Last month, the U.S. Department of Energy announced plans to award Stellantis USD 334.8 million to convert the shuttered Belvidere plant for electric vehicle production and USD 250 million to convert its Indiana Transmission Plant in Kokomo, Indiana, to produce EV components. However, the Department of Energy has stated that it reserves the right to cancel negotiations and rescind the selection during the process.

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Earlier this month, Stellantis had announced it was laying off as many as 2,450 factory workers from its Warren Truck assembly plant outside of Detroit as it ends production of the Ram 1500 Classic truck.

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This dispute between Stellantis and the UAW over the planned investments at the Belvidere facility highlights the ongoing tensions and challenges facing the automotive industry as it navigates the transition to electric vehicles and balances the needs of workers, the company, and market conditions.

Stellantis, the automotive conglomerate, has announced that its planned investments at the Belvidere, Illinois facility will be delayed. However, the company has insisted that it remains committed to moving forward with these investments and is not in violation of its union contract.

Stellantis, the automotive conglomerate, has announced that its planned investments at the Belvidere, Illinois facility will be delayed. However, the company has insisted that it remains committed to moving forward with these investments and is not in violation of its union contract. On Monday, the United Auto Workers (UAW) union stated that some of its local units, representing tens of thousands of workers at Stellantis, were preparing to file grievances and could even launch a nationwide strike. The union accused the automaker of failing to honour its production commitments. In response, Stellantis said on Tuesday that it had informed the UAW about the delay, but it "firmly stands by its commitment." The company explained that the new timetable is necessary "to ensure the company's future competitiveness and sustainability." The contract between Stellantis and the UAW includes language that the product investments are "contingent upon plant performance, changes in market conditions and consumer demand." As part of the overall deal, Stellantis had agreed to build a new USD 3.2 billion battery plant, invest USD 1.5 billion in Belvidere to build new mid-size trucks by 2027 and establish a USD 100 million parts distribution centre in 2024. The UAW had previously stated that the agreement included USD 18.9 billion in new investments by Stellantis and a pledge to add 5,000 total U.S. jobs by 2028. However, Stellantis declined to disclose any new timetable for these investments on Tuesday. UAW President Shawn Fain responded by stating that the investment plans are "binding commitments in a union contract," and the union intends to "enforce that contract to the fullest extent." Fain accused Stellantis of wanting to "delay" reopening the Belvidere Assembly plant to "kick the can past our contract expiration" and then cite "market conditions" as a reason for never opening the plant. Fain further emphasized that the UAW will "take whatever action necessary at Stellantis or any other corporation to stand up and hold corporate America accountable." Last month, the U.S. Department of Energy announced plans to award Stellantis USD 334.8 million to convert the shuttered Belvidere plant for electric vehicle production and USD 250 million to convert its Indiana Transmission Plant in Kokomo, Indiana, to produce EV components. However, the Department of Energy has stated that it reserves the right to cancel negotiations and rescind the selection during the process. Earlier this month, Stellantis had announced it was laying off as many as 2,450 factory workers from its Warren Truck assembly plant outside of Detroit as it ends production of the Ram 1500 Classic truck. This dispute between Stellantis and the UAW over the planned investments at the Belvidere facility highlights the ongoing tensions and challenges facing the automotive industry as it navigates the transition to electric vehicles and balances the needs of workers, the company, and market conditions.

Stellantis postpones investment plans for Illinois

Rivian, the electric vehicle startup known for its R1S SUVs and R1T pickups, is facing a significant change in its leadership as its head of manufacturing, Tim Fallon, is leaving the company to join Stellantis, the automotive conglomerate that produces Jeep SUVs and Ram pickups.

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Stellantis has announced that Fallon will be taking on the role of head of manufacturing in North America, effective September 2nd. This move comes at a critical time for Rivian, as the company is actively expanding its only production facility located in Normal, Illinois. This expansion is focused on preparing for the launch of the smaller and more affordable R2 SUV, which many industry analysts believe will be crucial to the startup's success amid a slowdown in demand for electric vehicles.

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During his tenure at Rivian, Fallon oversaw a major overhaul of the company's manufacturing plant, which included a three-week shutdown of the Normal facility. This shutdown was intended to simplify the production process and reduce costs, as Rivian works to scale its operations.

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In the wake of Fallon's departure, Rivian has appointed its head of logistics, Carlo Materazzo, a former Stellantis executive, to oversee production on an interim basis. Rivian's CEO, RJ Scaringe, communicated this transition to the company's employees in an internal email.

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A spokesperson for Rivian confirmed Fallon's exit, noting that the company has "had different leaders as we approach different levels of scaling our business" and that it is "positioning the organisation structure for the future."

&nbsp;

This change in Rivian's leadership comes at a critical juncture for the electric vehicle startup, as it navigates the challenges of expanding its manufacturing capabilities and preparing to launch a more affordable model that could be crucial to its long-term success. The departure of its head of manufacturing to join a major industry player like Stellantis will undoubtedly be closely watched by both investors and industry observers as Rivian continues its growth trajectory.

Rivian, the electric vehicle startup known for its R1S SUVs and R1T pickups, is facing a significant change in its leadership as its head of manufacturing, Tim Fallon, is leaving the company to join Stellantis, the automotive conglomerate that produces Jeep SUVs and Ram pickups.

Rivian, the electric vehicle startup known for its R1S SUVs and R1T pickups, is facing a significant change in its leadership as its head of manufacturing, Tim Fallon, is leaving the company to join Stellantis, the automotive conglomerate that produces Jeep SUVs and Ram pickups. Stellantis has announced that Fallon will be taking on the role of head of manufacturing in North America, effective September 2nd. This move comes at a critical time for Rivian, as the company is actively expanding its only production facility located in Normal, Illinois. This expansion is focused on preparing for the launch of the smaller and more affordable R2 SUV, which many industry analysts believe will be crucial to the startup's success amid a slowdown in demand for electric vehicles. During his tenure at Rivian, Fallon oversaw a major overhaul of the company's manufacturing plant, which included a three-week shutdown of the Normal facility. This shutdown was intended to simplify the production process and reduce costs, as Rivian works to scale its operations. In the wake of Fallon's departure, Rivian has appointed its head of logistics, Carlo Materazzo, a former Stellantis executive, to oversee production on an interim basis. Rivian's CEO, RJ Scaringe, communicated this transition to the company's employees in an internal email. A spokesperson for Rivian confirmed Fallon's exit, noting that the company has "had different leaders as we approach different levels of scaling our business" and that it is "positioning the organisation structure for the future." This change in Rivian's leadership comes at a critical juncture for the electric vehicle startup, as it navigates the challenges of expanding its manufacturing capabilities and preparing to launch a more affordable model that could be crucial to its long-term success. The departure of its head of manufacturing to join a major industry player like Stellantis will undoubtedly be closely watched by both investors and industry observers as Rivian continues its growth trajectory.

Rivian's production chief joins Stellantis

To underscore the urgency to address Stellantis' struggling North American business, CEO Carlos Tavares will visit Detroit this week to devise a strategy to turn around the company's fortunes in the region. According to a person familiar with the plans, Tavares' visit during his summer break is a clear signal that he is personally taking charge of the situation.

The source, who spoke on the condition of anonymity, stated that Tavares typically visits the North American operations every four to six weeks, but this week's visit is meant to send a strong message: "He wanted to make clear he was handling it personally. North American operations are basically funding the rest of the group."

Stellantis has been grappling with a host of issues in its North American business, which Tavares described as "humbling" during the company's first-half results presentation. These issues include high vehicle inventories, manufacturing problems, and a lack of "sophistication" in addressing the local market.

The impact of these challenges has been significant. Stellantis' first-half operating income fell 40%, primarily due to the poor performance in North America, its profit powerhouse. Sales for the company's top brands, Ram and Jeep, have both declined by at least 33% from the first half of 2019 to the same period this year, according to research firm Cox Automotive.

Tavares has acknowledged the company's missteps, saying, "We were arrogant. I'm talking about myself, nobody else." He has blamed himself for not acting quickly enough to address the mounting problems in the North American operations.

The CEO's visit this week to the U.S. offices in Auburn Hills, Michigan, will initially involve meeting with top-level managers before he formulates a strategy by the end of the week to fix the issues. This sense of urgency comes amid growing unease among investors and union workers over the North American struggles.

United Auto Workers President Shawn Fain has threatened that the U.S. union representing plant workers may strike if the automaker fails to keep the investment commitments outlined in last autumn's labour deal. Additionally, a group of shareholders has sued Stellantis, alleging that the company defrauded them by concealing rising inventories and other weaknesses before posting disappointing earnings that caused its stock price to fall.

Stellantis' main mistake in North America, according to Jefferies analyst Philippe Houchois, was to keep increasing prices in a bid to boost margins even as the market was signalling that customers were not ready to pay, making some Stellantis models too expensive.

"They have lacked pragmatism to address straight away the inventories building, they should have made more tactical prices to avoid that," Houchois said.

As Tavares rushes to develop a turnaround strategy, the pressure is on to demonstrate that he can increase car sales without compromising margins, losing money, and burning cash. Massimo Baggiani, the founder of Niche Asset Management in London, believes Tavares remains "the best executive in the industry" and that it is now crucial for him to maintain financial discipline.

To underscore the urgency to address Stellantis' struggling North American business, CEO Carlos Tavares will visit Detroit this week to devise a strategy to turn around the company's fortunes in the region.

To underscore the urgency to address Stellantis' struggling North American business, CEO Carlos Tavares will visit Detroit this week to devise a strategy to turn around the company's fortunes in the region. According to a person familiar with the plans, Tavares' visit during his summer break is a clear signal that he is personally taking charge of the situation. The source, who spoke on the condition of anonymity, stated that Tavares typically visits the North American operations every four to six weeks, but this week's visit is meant to send a strong message: "He wanted to make clear he was handling it personally. North American operations are basically funding the rest of the group." Stellantis has been grappling with a host of issues in its North American business, which Tavares described as "humbling" during the company's first-half results presentation. These issues include high vehicle inventories, manufacturing problems, and a lack of "sophistication" in addressing the local market. The impact of these challenges has been significant. Stellantis' first-half operating income fell 40%, primarily due to the poor performance in North America, its profit powerhouse. Sales for the company's top brands, Ram and Jeep, have both declined by at least 33% from the first half of 2019 to the same period this year, according to research firm Cox Automotive. Tavares has acknowledged the company's missteps, saying, "We were arrogant. I'm talking about myself, nobody else." He has blamed himself for not acting quickly enough to address the mounting problems in the North American operations. The CEO's visit this week to the U.S. offices in Auburn Hills, Michigan, will initially involve meeting with top-level managers before he formulates a strategy by the end of the week to fix the issues. This sense of urgency comes amid growing unease among investors and union workers over the North American struggles. United Auto Workers President Shawn Fain has threatened that the U.S. union representing plant workers may strike if the automaker fails to keep the investment commitments outlined in last autumn's labour deal. Additionally, a group of shareholders has sued Stellantis, alleging that the company defrauded them by concealing rising inventories and other weaknesses before posting disappointing earnings that caused its stock price to fall. Stellantis' main mistake in North America, according to Jefferies analyst Philippe Houchois, was to keep increasing prices in a bid to boost margins even as the market was signalling that customers were not ready to pay, making some Stellantis models too expensive. "They have lacked pragmatism to address straight away the inventories building, they should have made more tactical prices to avoid that," Houchois said. As Tavares rushes to develop a turnaround strategy, the pressure is on to demonstrate that he can increase car sales without compromising margins, losing money, and burning cash. Massimo Baggiani, the founder of Niche Asset Management in London, believes Tavares remains "the best executive in the industry" and that it is now crucial for him to maintain financial discipline.

Stellantis CEO rushes to develop turnaround strategy for struggling North American operations

Stellantis CEO Carlos Tavares is set to visit Detroit this week, marking a critical intervention in the company’s troubled North American operations. With the automaker’s profitability in the region plummeting, Tavares’ visit aims to craft a new strategy to restore investor confidence and stabilise the workforce. This visit, during Tavares’ summer break, signals the urgency and importance he attaches to resolving these issues.

Why Tavares Is Personally Involved?

Tavares’ hands-on approach is unusual, as he typically visits North America every four to six weeks. However, his decision to visit during his holiday underscores the severity of the situation. According to a source familiar with the matter, “He wanted to make clear he was handling it personally. North American operations are basically funding the rest of the group.” The significance of the visit cannot be overstated, as Stellantis' North American arm has been the financial engine driving the company’s global operations.

The Financial Impact of North American Struggles

The automaker’s North American operations have faced a series of setbacks, resulting in a 40% drop in operating income in the first half of the year. Sales for Stellantis’ flagship brands, Ram and Jeep, have declined by over 33% compared to the first half of 2019, according to Cox Automotive. Tavares himself admitted that he had been slow to react to the growing challenges in the region, attributing the company’s struggles to a mix of high vehicle inventories, manufacturing issues, and a lack of responsiveness to market signals. He candidly stated, “We were arrogant. I’m talking about myself, nobody else.”

Strategic Missteps and Market Realities

One of the critical mistakes Stellantis made in North America was the continued price hikes in an already strained market. According to Jefferies analyst Philippe Houchois, the company’s push to boost margins through higher prices backfired, as customers were unwilling to pay the increased costs, rendering some Stellantis models too expensive. “They have lacked pragmatism to address straight away the inventories building, they should have made more tactical prices to avoid that,” Houchois explained. This pricing strategy led to bloated inventories and a significant loss of market share.

Operational Inefficiencies and Workforce Challenges

Tavares’ visit also comes at a time when Stellantis is taking drastic measures to cut costs, including significant layoffs. The company recently announced it would lay off up to 2,450 workers at its Warren Truck Assembly Plant in Michigan as it ends production of the Ram 1500 Classic truck. Additionally, voluntary buyouts have been offered to U.S. salaried employees as part of the broader effort to trim expenses. Tavares has also identified inefficiencies at two U.S. plants, although he has not specified which ones. However, he did mention that the Sterling Heights Assembly Plant in Michigan was operating below optimal efficiency.

Investor and Union Discontent

The situation has not gone unnoticed by investors and union members. The United Auto Workers (UAW) has expressed growing dissatisfaction, with UAW President Shawn Fain warning of potential strikes if Stellantis fails to meet its investment commitments outlined in the labour deal agreed upon last autumn. Relations between the union and Stellantis have been strained, particularly as the company continues to lay off hourly workers.

Adding to the company’s woes, a group of shareholders recently sued Stellantis, alleging that the automaker had misled them by concealing rising inventories and other operational weaknesses, leading to a sharp drop in its stock price following disappointing earnings. Stellantis has dismissed the lawsuit as “without merit,” and has reassured the UAW that it has not violated the terms of their agreement, arguing that a strike would be illegal.

The Road Ahead for Stellantis

Tavares’ visit this week is crucial for the future of Stellantis’ North American operations. By the end of the week, he is expected to have developed a strategy to address the ongoing challenges. The stakes are high, as the North American market remains a critical profit centre for Stellantis, funding its global operations. However, Tavares will need to navigate a complex landscape of investor concerns, union demands, and market realities to stabilise the company’s position in the region. As Tavares prepares to roll out his plan, the auto industry will be watching closely to see if he can steer Stellantis back on course without sacrificing financial discipline or further alienating key stakeholders.

(Inputs from Reuters)

Stellantis CEO Carlos Tavares is set to visit Detroit this week, marking a critical intervention in the company’s troubled North American operations. With the automaker’s profitability in the region plummeting, Tavares’ visit aims to craft a new strategy to restore investor confidence and stabilise the workforce.

Stellantis CEO Carlos Tavares is set to visit Detroit this week, marking a critical intervention in the company’s troubled North American operations. With the automaker’s profitability in the region plummeting, Tavares’ visit aims to craft a new strategy to restore investor confidence and stabilise the workforce. This visit, during Tavares’ summer break, signals the urgency and importance he attaches to resolving these issues. Why Tavares Is Personally Involved? Tavares’ hands-on approach is unusual, as he typically visits North America every four to six weeks. However, his decision to visit during his holiday underscores the severity of the situation. According to a source familiar with the matter, “He wanted to make clear he was handling it personally. North American operations are basically funding the rest of the group.” The significance of the visit cannot be overstated, as Stellantis' North American arm has been the financial engine driving the company’s global operations. The Financial Impact of North American Struggles The automaker’s North American operations have faced a series of setbacks, resulting in a 40% drop in operating income in the first half of the year. Sales for Stellantis’ flagship brands, Ram and Jeep, have declined by over 33% compared to the first half of 2019, according to Cox Automotive. Tavares himself admitted that he had been slow to react to the growing challenges in the region, attributing the company’s struggles to a mix of high vehicle inventories, manufacturing issues, and a lack of responsiveness to market signals. He candidly stated, “We were arrogant. I’m talking about myself, nobody else.” Strategic Missteps and Market Realities One of the critical mistakes Stellantis made in North America was the continued price hikes in an already strained market. According to Jefferies analyst Philippe Houchois, the company’s push to boost margins through higher prices backfired, as customers were unwilling to pay the increased costs, rendering some Stellantis models too expensive. “They have lacked pragmatism to address straight away the inventories building, they should have made more tactical prices to avoid that,” Houchois explained. This pricing strategy led to bloated inventories and a significant loss of market share. Operational Inefficiencies and Workforce Challenges Tavares’ visit also comes at a time when Stellantis is taking drastic measures to cut costs, including significant layoffs. The company recently announced it would lay off up to 2,450 workers at its Warren Truck Assembly Plant in Michigan as it ends production of the Ram 1500 Classic truck. Additionally, voluntary buyouts have been offered to U.S. salaried employees as part of the broader effort to trim expenses. Tavares has also identified inefficiencies at two U.S. plants, although he has not specified which ones. However, he did mention that the Sterling Heights Assembly Plant in Michigan was operating below optimal efficiency. Investor and Union Discontent The situation has not gone unnoticed by investors and union members. The United Auto Workers (UAW) has expressed growing dissatisfaction, with UAW President Shawn Fain warning of potential strikes if Stellantis fails to meet its investment commitments outlined in the labour deal agreed upon last autumn. Relations between the union and Stellantis have been strained, particularly as the company continues to lay off hourly workers. Adding to the company’s woes, a group of shareholders recently sued Stellantis, alleging that the automaker had misled them by concealing rising inventories and other operational weaknesses, leading to a sharp drop in its stock price following disappointing earnings. Stellantis has dismissed the lawsuit as “without merit,” and has reassured the UAW that it has not violated the terms of their agreement, arguing that a strike would be illegal. The Road Ahead for Stellantis Tavares’ visit this week is crucial for the future of Stellantis’ North American operations. By the end of the week, he is expected to have developed a strategy to address the ongoing challenges. The stakes are high, as the North American market remains a critical profit centre for Stellantis, funding its global operations. However, Tavares will need to navigate a complex landscape of investor concerns, union demands, and market realities to stabilise the company’s position in the region. As Tavares prepares to roll out his plan, the auto industry will be watching closely to see if he can steer Stellantis back on course without sacrificing financial discipline or further alienating key stakeholders. (Inputs from Reuters)

Stellantis CEO Carlos Tavares scrambles to revive North American operations

A group of shareholders has filed a lawsuit in the United States against Stellantis, claiming the European-American automaker defrauded them by concealing rising inventories and other weaknesses before it posted disappointing earnings, causing its stock price to fall.

According to the Thursday complaint filed in Manhattan federal court, Stellantis artificially inflated its stock price for much of 2024 by making "overwhelmingly positive" assessments about inventories, pricing power, new products, and operating margin.

Investors said the real situation came to light on July 25 when Stellantis announced first-half adjusted operating income down 40 per cent at 8.46 billion euros ($9.28 billion), missing the 8.85 billion euros that analysts had expected.

"This lawsuit is without merit and the company intends to vigorously defend itself," Stellantis said in an emailed statement to Reuters.

Stellantis also said its adjusted operating income margin fell below its double-digit full-year target.

Its US-listed shares fell $1.94, or 9.9 per cent, to $17.66 over the two trading days following the announcement.

Also named as defendants are Chief Executive Carlos Tavares and Chief Financial Officer Natalie Knight.

Stellantis was created in 2021 from the merger of Fiat Chrysler and France's PSA. Its 14 brands also include Alfa Romeo, Citroen, Dodge, Jeep, Maserati, Opel, Peugeot, Ram and others.

Shareholders often sue companies in the United States following unexpected declines in their stock prices.

Thursday's lawsuit seeks damages of an unspecified amount for shareholders from Feb. 15 to July 24, 2024.

A lawyer for the shareholders did not immediately respond to requests for comment.

Stellantis shares closed up 1.7 per cent at $15.84 on Thursday in New York.

Last week, Stellantis said it may cut up to 2,450 jobs in the suburban Detroit truck assembly plant as production of the Ram 1500 Classic truck winds down.

The case is Long v Stellantis NV et al, US District Court, Southern District of New York,&nbsp;No.&nbsp;24-06196.

A group of shareholders has filed a lawsuit in the United States against Stellantis, claiming the European-American automaker defrauded them by concealing rising inventories and other weaknesses before it posted disappointing earnings, causing its stock price to fall.

A group of shareholders has filed a lawsuit in the United States against Stellantis, claiming the European-American automaker defrauded them by concealing rising inventories and other weaknesses before it posted disappointing earnings, causing its stock price to fall. According to the Thursday complaint filed in Manhattan federal court, Stellantis artificially inflated its stock price for much of 2024 by making "overwhelmingly positive" assessments about inventories, pricing power, new products, and operating margin. Investors said the real situation came to light on July 25 when Stellantis announced first-half adjusted operating income down 40 per cent at 8.46 billion euros ($9.28 billion), missing the 8.85 billion euros that analysts had expected. "This lawsuit is without merit and the company intends to vigorously defend itself," Stellantis said in an emailed statement to Reuters. Stellantis also said its adjusted operating income margin fell below its double-digit full-year target. Its US-listed shares fell $1.94, or 9.9 per cent, to $17.66 over the two trading days following the announcement. Also named as defendants are Chief Executive Carlos Tavares and Chief Financial Officer Natalie Knight. Stellantis was created in 2021 from the merger of Fiat Chrysler and France's PSA. Its 14 brands also include Alfa Romeo, Citroen, Dodge, Jeep, Maserati, Opel, Peugeot, Ram and others. Shareholders often sue companies in the United States following unexpected declines in their stock prices. Thursday's lawsuit seeks damages of an unspecified amount for shareholders from Feb. 15 to July 24, 2024. A lawyer for the shareholders did not immediately respond to requests for comment. Stellantis shares closed up 1.7 per cent at $15.84 on Thursday in New York. Last week, Stellantis said it may cut up to 2,450 jobs in the suburban Detroit truck assembly plant as production of the Ram 1500 Classic truck winds down. The case is Long v Stellantis NV et al, US District Court, Southern District of New York, No. 24-06196.

Shareholders accuse Stellantis of stock price deception after disappointing earnings

Stellantis, the European-American automaker, is facing legal action from shareholders in the United States who allege that the company engaged in fraudulent practices by concealing increasing inventories and other weaknesses. The lawsuit claims that these actions were taken before the company released disappointing earnings, which subsequently led to a decline in its stock price.

&nbsp;

The legal complaint, filed on Thursday in a federal court in Manhattan, asserts that Stellantis artificially inflated its stock price for a significant portion of 2024. This was allegedly achieved by presenting "overwhelmingly positive" assessments regarding various aspects of the company's performance, including inventories, pricing power, new product offerings, and operating margin.

&nbsp;

According to the shareholders, the truth behind these claims was revealed on July 25 when Stellantis announced that its first-half adjusted operating income had fallen by 40 per cent&nbsp;to 8.46 billion euros (USD&nbsp;9.28 billion). This figure fell short of the 8.85 billion euros that analysts had anticipated. In response to these allegations, Stellantis stated to Reuters, declaring, "This lawsuit is without merit and the company intends to vigorously defend itself."

&nbsp;

In addition to the disappointing earnings report, Stellantis also disclosed that its adjusted operating income margin had dropped below the double-digit full-year target that had been previously set. This news had a significant impact on the company's stock performance, with its U.S.-listed shares experiencing a decline of USD&nbsp;1.94, or 9.9 per cent, to USD&nbsp;17.66 over the two trading days following the announcement.

&nbsp;

The lawsuit names both Chief Executive Carlos Tavares and Chief Financial Officer Natalie Knight as defendants alongside the company. Stellantis, which was formed in 2021 through the merger of Fiat Chrysler and France's PSA, encompasses 14 automotive brands including well-known names such as Alfa Romeo, Citroen, Dodge, Jeep, Maserati, Opel, Peugeot, and Ram, among others.

&nbsp;

It is worth noting that such lawsuits are not uncommon in the United States, where shareholders often take legal action against companies following unexpected declines in stock prices. The legal action filed on Thursday seeks unspecified damages for Stellantis shareholders who held stock between February 15 and July 24, 2024. At the time of reporting, a lawyer representing the shareholders had not immediately responded to requests for comment on the case.

&nbsp;

Despite the ongoing legal challenges, Stellantis shares closed up 1.7 per cent&nbsp;at USD&nbsp;15.84 on Thursday in New York, indicating that the market's reaction to the lawsuit was relatively muted.

&nbsp;

In a separate but related development, Stellantis recently announced potential layoffs affecting up to 2,450 employees at a suburban Detroit truck assembly plant. This decision is tied to the company's plan to end production of the Ram 1500 Classic truck at that facility.

&nbsp;

The case, formally known as Long v Stellantis NV et al, has been filed in the U.S. District Court, Southern District of New York, under case number 24-06196. As this legal process unfolds, it will likely draw significant attention from both the automotive industry and the investment community, potentially impacting Stellantis's reputation and future financial performance.

Stellantis, the European-American automaker, is facing legal action from shareholders in the United States who allege that the company engaged in fraudulent practices by concealing increasing inventories and other weaknesses.

Stellantis, the European-American automaker, is facing legal action from shareholders in the United States who allege that the company engaged in fraudulent practices by concealing increasing inventories and other weaknesses. The lawsuit claims that these actions were taken before the company released disappointing earnings, which subsequently led to a decline in its stock price. The legal complaint, filed on Thursday in a federal court in Manhattan, asserts that Stellantis artificially inflated its stock price for a significant portion of 2024. This was allegedly achieved by presenting "overwhelmingly positive" assessments regarding various aspects of the company's performance, including inventories, pricing power, new product offerings, and operating margin. According to the shareholders, the truth behind these claims was revealed on July 25 when Stellantis announced that its first-half adjusted operating income had fallen by 40 per cent to 8.46 billion euros (USD 9.28 billion). This figure fell short of the 8.85 billion euros that analysts had anticipated. In response to these allegations, Stellantis stated to Reuters, declaring, "This lawsuit is without merit and the company intends to vigorously defend itself." In addition to the disappointing earnings report, Stellantis also disclosed that its adjusted operating income margin had dropped below the double-digit full-year target that had been previously set. This news had a significant impact on the company's stock performance, with its U.S.-listed shares experiencing a decline of USD 1.94, or 9.9 per cent, to USD 17.66 over the two trading days following the announcement. The lawsuit names both Chief Executive Carlos Tavares and Chief Financial Officer Natalie Knight as defendants alongside the company. Stellantis, which was formed in 2021 through the merger of Fiat Chrysler and France's PSA, encompasses 14 automotive brands including well-known names such as Alfa Romeo, Citroen, Dodge, Jeep, Maserati, Opel, Peugeot, and Ram, among others. It is worth noting that such lawsuits are not uncommon in the United States, where shareholders often take legal action against companies following unexpected declines in stock prices. The legal action filed on Thursday seeks unspecified damages for Stellantis shareholders who held stock between February 15 and July 24, 2024. At the time of reporting, a lawyer representing the shareholders had not immediately responded to requests for comment on the case. Despite the ongoing legal challenges, Stellantis shares closed up 1.7 per cent at USD 15.84 on Thursday in New York, indicating that the market's reaction to the lawsuit was relatively muted. In a separate but related development, Stellantis recently announced potential layoffs affecting up to 2,450 employees at a suburban Detroit truck assembly plant. This decision is tied to the company's plan to end production of the Ram 1500 Classic truck at that facility. The case, formally known as Long v Stellantis NV et al, has been filed in the U.S. District Court, Southern District of New York, under case number 24-06196. As this legal process unfolds, it will likely draw significant attention from both the automotive industry and the investment community, potentially impacting Stellantis's reputation and future financial performance.

Stellantis shareholders sue automaker in US after low earnings

Stellantis, the parent company of Chrysler, has announced plans to lay off up to 2,450 factory workers from its Warren Truck assembly plant near Detroit. This decision comes as the automaker prepares to end production of the Ram 1500 Classic truck, marking a pivotal moment in the company's manufacturing operations.

The layoffs, scheduled to take effect as early as October 8, 2024, will result in the Warren Truck plant transitioning from a two-shift to a one-shift operating pattern in the general assembly. This change will also affect the production of the Jeep Wagoneer at the same facility, which will now operate on a single shift.

Currently, the Warren Truck plant employs approximately 3,700 workers represented by the United Auto Workers (UAW) union. For those facing layoffs, Stellantis has confirmed a comprehensive support package. Affected employees will receive 52 weeks of supplemental unemployment benefits paid by the company, along with 52 weeks of transition assistance. Additionally, they will be provided with two years of healthcare coverage, demonstrating the company's commitment to supporting its workforce during this transition period.

As the Ram 1500 Classic production winds down later this year, Stellantis is shifting its focus to the Ram 1500 Tradesman truck, which will be produced at the Sterling Heights Assembly facility. A company spokeswoman highlighted the advantages of this new model, stating, "We introduced the new 2025 Ram 1500 Tradesman with incredible value and content. The upgraded electrical architecture allows new technologies useful to commercial fleets for better tracking and improved safety systems."

This move comes in the wake of new labour deals forged between Stellantis and the UAW last fall, following a historic six-week walkout. The agreements, while aimed at improving worker conditions, now face the challenge of balancing labour commitments with changing production needs.

The layoffs at Warren Truck are not an isolated cost-cutting measure. Last week, Stellantis announced a new round of voluntary buyouts for its U.S. salaried workers, indicating a broader strategy to streamline operations and reduce costs across its American operations. These actions align with CEO Carlos Tavares' efforts to enhance efficiency and competitiveness in the challenging automotive market.

During the company's Investor Day in June, Tavares alluded to weaknesses in at least two of Stellantis' U.S. plants, though he declined to name them specifically. This latest announcement may be seen as a direct response to addressing these operational challenges.

The decision to end production of the Ram 1500 Classic and consolidate operations reflects broader trends in the automotive industry, where manufacturers are constantly reevaluating their product lines and production strategies in response to changing market demands, technological advancements, and economic pressures.

As Stellantis navigates this transition, the impact on the local community and the broader automotive industry will be closely watched. The shift in production focus from the Classic to the Tradesman model represents not just a change in product strategy, but also a significant realignment of the company's workforce and manufacturing capabilities.

This move by Stellantis underscores the ongoing challenges faced by traditional automakers as they adapt to a rapidly evolving industry landscape, balancing the need for efficiency and innovation with the responsibility to their workforce and local communities. 
&nbsp;

Stellantis, the parent company of Chrysler, has announced plans to lay off up to 2,450 factory workers from its Warren Truck assembly plant near Detroit. This decision comes as the automaker prepares to end production of the Ram 1500 Classic truck, marking a pivotal moment in the company's manufacturing operations.

Stellantis, the parent company of Chrysler, has announced plans to lay off up to 2,450 factory workers from its Warren Truck assembly plant near Detroit. This decision comes as the automaker prepares to end production of the Ram 1500 Classic truck, marking a pivotal moment in the company's manufacturing operations. The layoffs, scheduled to take effect as early as October 8, 2024, will result in the Warren Truck plant transitioning from a two-shift to a one-shift operating pattern in the general assembly. This change will also affect the production of the Jeep Wagoneer at the same facility, which will now operate on a single shift. Currently, the Warren Truck plant employs approximately 3,700 workers represented by the United Auto Workers (UAW) union. For those facing layoffs, Stellantis has confirmed a comprehensive support package. Affected employees will receive 52 weeks of supplemental unemployment benefits paid by the company, along with 52 weeks of transition assistance. Additionally, they will be provided with two years of healthcare coverage, demonstrating the company's commitment to supporting its workforce during this transition period. As the Ram 1500 Classic production winds down later this year, Stellantis is shifting its focus to the Ram 1500 Tradesman truck, which will be produced at the Sterling Heights Assembly facility. A company spokeswoman highlighted the advantages of this new model, stating, "We introduced the new 2025 Ram 1500 Tradesman with incredible value and content. The upgraded electrical architecture allows new technologies useful to commercial fleets for better tracking and improved safety systems." This move comes in the wake of new labour deals forged between Stellantis and the UAW last fall, following a historic six-week walkout. The agreements, while aimed at improving worker conditions, now face the challenge of balancing labour commitments with changing production needs. The layoffs at Warren Truck are not an isolated cost-cutting measure. Last week, Stellantis announced a new round of voluntary buyouts for its U.S. salaried workers, indicating a broader strategy to streamline operations and reduce costs across its American operations. These actions align with CEO Carlos Tavares' efforts to enhance efficiency and competitiveness in the challenging automotive market. During the company's Investor Day in June, Tavares alluded to weaknesses in at least two of Stellantis' U.S. plants, though he declined to name them specifically. This latest announcement may be seen as a direct response to addressing these operational challenges. The decision to end production of the Ram 1500 Classic and consolidate operations reflects broader trends in the automotive industry, where manufacturers are constantly reevaluating their product lines and production strategies in response to changing market demands, technological advancements, and economic pressures. As Stellantis navigates this transition, the impact on the local community and the broader automotive industry will be closely watched. The shift in production focus from the Classic to the Tradesman model represents not just a change in product strategy, but also a significant realignment of the company's workforce and manufacturing capabilities. This move by Stellantis underscores the ongoing challenges faced by traditional automakers as they adapt to a rapidly evolving industry landscape, balancing the need for efficiency and innovation with the responsibility to their workforce and local communities.

Stellantis announces major layoffs as Ram 1500 classic production ends

Archer Aviation has announced a radical agreement-in-principle with automotive giant Stellantis. The deal, revealed on Thursday, could see Stellantis covering up to USD 370 million in labour-related costs to support Archer's ambitious production ramp-up of its air taxi, the 'Midnight' aircraft.

This infusion of capital is crucial for Archer, which aims to scale its annual production to 650 units of the Midnight aircraft. The company's financial position has been a point of focus, with cash and cash equivalents standing at USD 360.4 million at the end of June. However, Archer has recently bolstered its finances with an additional USD 230 million in equity capital, including investments from Stellantis and United Airlines.

Under the terms of the agreement, Stellantis, already Archer's largest shareholder, will receive shares in the company on a quarterly basis, corresponding to the labour costs incurred. This arrangement underscores Stellantis' commitment to Archer's vision and the potential of the eVTOL market.

The eVTOL industry, while promising, faces significant challenges, including battery limitations, infrastructure hurdles, and the need for regulatory certification to carry passengers in the United States. These factors have contributed to investor scepticism, reflected in the declining share prices of eVTOL companies. Archer's stock has fallen by 35% this year, while competitor Joby Aviation has seen a 21.8% decrease.

Despite these headwinds, Archer's announcement sparked a brief rally in its shares, although gains were later tempered as the company reported another quarterly loss. This volatility highlights the complex landscape navigated by eVTOL firms as they work towards commercialization.

In a separate development, Archer revealed that aviation firm Future Flight Global plans to purchase up to 116 Midnight aircraft, a deal potentially worth USD 580 million. Future Flight Global has already made an initial deposit, signalling confidence in Archer's technology and business model.

Adding to these developments, Archer unveiled plans to launch an air mobility network in Los Angeles, with operations potentially beginning as early as 2026. This ambitious project aims to address one of the most congested urban areas in the United States, offering passengers the ability to travel between vertiports (vertical take-off and landing locations) in Archer's Midnight aircraft. These short flights, lasting 10 to 20 minutes, could revolutionise urban transportation in the sprawling metropolis.

The Los Angeles network represents a concrete step towards realising the potential of urban air mobility. While Archer has not disclosed the investment size for this project, it demonstrates the company's commitment to moving beyond aircraft development to creating the infrastructure necessary for widespread eVTOL adoption.

These announcements come at a critical time for the eVTOL industry. As companies like Archer work towards certification and commercial operations, partnerships with established automotive manufacturers like Stellantis could prove crucial. Such collaborations bring not only financial support but also manufacturing expertise that could be vital in scaling production.

As Archer Aviation moves forward with its production plans and urban air mobility initiatives, the company's progress will be closely watched by investors, competitors, and urban planners alike. The success of projects like the Los Angeles network could serve as a blueprint for future urban air mobility systems worldwide, potentially transforming the way people move within and between cities.

While challenges remain, including regulatory hurdles and public acceptance, Archer's recent announcements signal a significant step forward in the realisation of electric air taxis as a viable mode of urban transportation. The coming years will be crucial in determining whether this vision of the future becomes a widespread reality. 
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Archer Aviation has announced a radical agreement-in-principle with automotive giant Stellantis. The deal, revealed on Thursday, could see Stellantis covering up to USD 370 million in labour-related costs to support Archer's ambitious production ramp-up of its air taxi, the 'Midnight' aircraft.

Archer Aviation has announced a radical agreement-in-principle with automotive giant Stellantis. The deal, revealed on Thursday, could see Stellantis covering up to USD 370 million in labour-related costs to support Archer's ambitious production ramp-up of its air taxi, the 'Midnight' aircraft. This infusion of capital is crucial for Archer, which aims to scale its annual production to 650 units of the Midnight aircraft. The company's financial position has been a point of focus, with cash and cash equivalents standing at USD 360.4 million at the end of June. However, Archer has recently bolstered its finances with an additional USD 230 million in equity capital, including investments from Stellantis and United Airlines. Under the terms of the agreement, Stellantis, already Archer's largest shareholder, will receive shares in the company on a quarterly basis, corresponding to the labour costs incurred. This arrangement underscores Stellantis' commitment to Archer's vision and the potential of the eVTOL market. The eVTOL industry, while promising, faces significant challenges, including battery limitations, infrastructure hurdles, and the need for regulatory certification to carry passengers in the United States. These factors have contributed to investor scepticism, reflected in the declining share prices of eVTOL companies. Archer's stock has fallen by 35% this year, while competitor Joby Aviation has seen a 21.8% decrease. Despite these headwinds, Archer's announcement sparked a brief rally in its shares, although gains were later tempered as the company reported another quarterly loss. This volatility highlights the complex landscape navigated by eVTOL firms as they work towards commercialization. In a separate development, Archer revealed that aviation firm Future Flight Global plans to purchase up to 116 Midnight aircraft, a deal potentially worth USD 580 million. Future Flight Global has already made an initial deposit, signalling confidence in Archer's technology and business model. Adding to these developments, Archer unveiled plans to launch an air mobility network in Los Angeles, with operations potentially beginning as early as 2026. This ambitious project aims to address one of the most congested urban areas in the United States, offering passengers the ability to travel between vertiports (vertical take-off and landing locations) in Archer's Midnight aircraft. These short flights, lasting 10 to 20 minutes, could revolutionise urban transportation in the sprawling metropolis. The Los Angeles network represents a concrete step towards realising the potential of urban air mobility. While Archer has not disclosed the investment size for this project, it demonstrates the company's commitment to moving beyond aircraft development to creating the infrastructure necessary for widespread eVTOL adoption. These announcements come at a critical time for the eVTOL industry. As companies like Archer work towards certification and commercial operations, partnerships with established automotive manufacturers like Stellantis could prove crucial. Such collaborations bring not only financial support but also manufacturing expertise that could be vital in scaling production. As Archer Aviation moves forward with its production plans and urban air mobility initiatives, the company's progress will be closely watched by investors, competitors, and urban planners alike. The success of projects like the Los Angeles network could serve as a blueprint for future urban air mobility systems worldwide, potentially transforming the way people move within and between cities. While challenges remain, including regulatory hurdles and public acceptance, Archer's recent announcements signal a significant step forward in the realisation of electric air taxis as a viable mode of urban transportation. The coming years will be crucial in determining whether this vision of the future becomes a widespread reality.

Archer Aviation secures Stellantis funding for air taxi production

Stellantis CEO Carlos Tavares has announced that the global automotive giant is prepared to eliminate underperforming brands from its extensive portfolio and is taking decisive steps to address weak margins and high inventory levels in its U.S. operations. This declaration came on Thursday as the world's fourth-largest automaker revealed worse-than-expected first-half results, triggering a sharp decline in its stock price.

Tavares's stark warning, "If they don't make money, we'll shut them down," marks a departure from his previous stance since Stellantis' formation in 2021 through the merger of Fiat Chrysler and PSA Group. Until now, he had maintained that all 14 brands under the Stellantis umbrella, including prestigious names like Maserati, Fiat, Peugeot, and Jeep, had a secure future within the company.

The automaker's shares plummeted by as much as 12.5% following the announcement, reaching their lowest point since August 2023. This decline brings Stellantis' year-to-date stock performance to a 22% loss, making it the worst-performing major European automaker in 2024.

While Stellantis does not disclose financial data for individual brands, it reported that Maserati incurred an adjusted operating loss of 82 million euros in the first half of the year. This performance has led some analysts to speculate that Maserati could be a potential candidate for divestment, while other brands with minimal sales contributions, such as Lancia or DS, might face elimination.

The automotive industry has seen few brand terminations since General Motors' high-profile discontinuation of Saturn and Pontiac during its government-led bankruptcy in 2008. Tavares' willingness to consider such measures underscores the severity of the challenges facing Stellantis, particularly in the crucial U.S. market.

Stellantis reported a 40% drop in adjusted operating income (EBIT) to 8.463 billion euros for the first half of 2024, falling short of analysts' expectations of 8.85 billion euros. The company's adjusted EBIT margin dipped below 10%, jeopardising its full-year target of maintaining a double-digit margin.

To address these issues, Tavares announced plans to work closely with the U.S. team throughout the summer to improve performance and reduce inventory. "We consider that the job is done in Europe," he stated. "The job is not done in the U.S., and we are now going to take care of that work."

Chief Financial Officer Natalie Knight elaborated on the company's strategy, revealing plans to reduce production and adjust prices in North America during the current quarter. These actions are part of Stellantis' broader efforts to tackle "operational challenges" in the region.

The company's struggles in the U.S. market are particularly concerning given the historical importance of high-margin vehicles like RAM pickup trucks and Jeeps to Stellantis' profitability. The weak margin performance has raised questions about the company's cost efficiency reputation, according to Bernstein analysts.

Stellantis' challenges reflect broader industry trends, including a weakening sales outlook across major markets, the costly transition to electric vehicles, and intensifying competition from more affordable Chinese manufacturers. These factors have contributed to poor results from other global automakers, such as Nissan Motor, which reported a near-total erosion of its first-quarter profit and revised its annual outlook downward. 
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Stellantis CEO Carlos Tavares has announced that the global automotive giant is prepared to eliminate underperforming brands from its extensive portfolio and is taking decisive steps to address weak margins and high inventory levels in its U.

Stellantis CEO Carlos Tavares has announced that the global automotive giant is prepared to eliminate underperforming brands from its extensive portfolio and is taking decisive steps to address weak margins and high inventory levels in its U.S. operations. This declaration came on Thursday as the world's fourth-largest automaker revealed worse-than-expected first-half results, triggering a sharp decline in its stock price. Tavares's stark warning, "If they don't make money, we'll shut them down," marks a departure from his previous stance since Stellantis' formation in 2021 through the merger of Fiat Chrysler and PSA Group. Until now, he had maintained that all 14 brands under the Stellantis umbrella, including prestigious names like Maserati, Fiat, Peugeot, and Jeep, had a secure future within the company. The automaker's shares plummeted by as much as 12.5% following the announcement, reaching their lowest point since August 2023. This decline brings Stellantis' year-to-date stock performance to a 22% loss, making it the worst-performing major European automaker in 2024. While Stellantis does not disclose financial data for individual brands, it reported that Maserati incurred an adjusted operating loss of 82 million euros in the first half of the year. This performance has led some analysts to speculate that Maserati could be a potential candidate for divestment, while other brands with minimal sales contributions, such as Lancia or DS, might face elimination. The automotive industry has seen few brand terminations since General Motors' high-profile discontinuation of Saturn and Pontiac during its government-led bankruptcy in 2008. Tavares' willingness to consider such measures underscores the severity of the challenges facing Stellantis, particularly in the crucial U.S. market. Stellantis reported a 40% drop in adjusted operating income (EBIT) to 8.463 billion euros for the first half of 2024, falling short of analysts' expectations of 8.85 billion euros. The company's adjusted EBIT margin dipped below 10%, jeopardising its full-year target of maintaining a double-digit margin. To address these issues, Tavares announced plans to work closely with the U.S. team throughout the summer to improve performance and reduce inventory. "We consider that the job is done in Europe," he stated. "The job is not done in the U.S., and we are now going to take care of that work." Chief Financial Officer Natalie Knight elaborated on the company's strategy, revealing plans to reduce production and adjust prices in North America during the current quarter. These actions are part of Stellantis' broader efforts to tackle "operational challenges" in the region. The company's struggles in the U.S. market are particularly concerning given the historical importance of high-margin vehicles like RAM pickup trucks and Jeeps to Stellantis' profitability. The weak margin performance has raised questions about the company's cost efficiency reputation, according to Bernstein analysts. Stellantis' challenges reflect broader industry trends, including a weakening sales outlook across major markets, the costly transition to electric vehicles, and intensifying competition from more affordable Chinese manufacturers. These factors have contributed to poor results from other global automakers, such as Nissan Motor, which reported a near-total erosion of its first-quarter profit and revised its annual outlook downward.

Stellantis CEO signals potential brand cuts amid U.S. market challenges

Stellantis, the world's fourth-largest automaker, has announced a series of measures to address operational challenges following disappointing financial results for the first half of 2024. The company's performance fell short of both internal and market expectations, prompting a significant decline in its stock price and raising concerns among investors and analysts.

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In response to these challenges, Stellantis has committed to implementing a range of strategic actions, with a particular focus on its North American operations. These measures include reducing production output and adjusting pricing strategies to better align with market conditions. The company aims to recalibrate its supply and demand dynamics, especially in the North American market, which has been identified as a key area requiring improvement.

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CEO Carlos Tavares acknowledged the underwhelming results in a statement, highlighting that the company's performance did not meet its anticipated targets. The financial figures reveal the extent of the challenges faced by Stellantis:

&nbsp;

- Adjusted operating income (EBIT) experienced a substantial 40 per cent&nbsp;decrease, falling to Euro&nbsp;8.463 billion for the six months ending June 30, 2024. This figure fell below the analyst consensus of Euro&nbsp;8.85 billion.

- The company's adjusted EBIT margin contracted to just under 10 per cent, failing to maintain the double-digit margin that Stellantis aims to achieve for the full year.

- Free cash flow turned negative, reaching almost minus Euro&nbsp;400 million in the first half of the year.

&nbsp;

Despite these setbacks, Stellantis remains committed to its full-year forecasts, which include achieving a positive industrial free cash flow. CFO Natalie Knight expressed determination to meet the company's adjusted operating income margin target for the year and to generate positive cash flows in the second half of 2024.

&nbsp;

The company's strategic response includes a focus on inventory reduction and improving logistics, particularly in North America, which has been a key profit driver for the group. Knight emphasized that North America is the market requiring the most attention and where efforts will be concentrated in the coming months.

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Stellantis has invested significantly in product development, with 20 new models planned for release this year. The company hopes that this investment will contribute to improved profitability later in the year, offsetting some of the current challenges.

&nbsp;

However, market analysts remain cautious about Stellantis' near-term prospects. Citi analysts, for instance, have expressed scepticism about the company's ability to overcome its current issues quickly, suggesting that the problems may persist until Stellantis successfully addresses its inventory overhang.

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The automotive industry as a whole appears to be facing headwinds, as evidenced by Nissan's recent announcement of severely diminished first-quarter profits and a revised downward annual outlook, largely due to aggressive discounting in the U.S. market.

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As Stellantis navigates these challenges, the effectiveness of its strategic actions and its ability to adapt to changing market conditions will be crucial in determining its financial performance and market position in the coming months.

Stellantis, the world's fourth-largest automaker, has announced a series of measures to address operational challenges following disappointing financial results for the first half of 2024.

Stellantis, the world's fourth-largest automaker, has announced a series of measures to address operational challenges following disappointing financial results for the first half of 2024. The company's performance fell short of both internal and market expectations, prompting a significant decline in its stock price and raising concerns among investors and analysts. In response to these challenges, Stellantis has committed to implementing a range of strategic actions, with a particular focus on its North American operations. These measures include reducing production output and adjusting pricing strategies to better align with market conditions. The company aims to recalibrate its supply and demand dynamics, especially in the North American market, which has been identified as a key area requiring improvement. CEO Carlos Tavares acknowledged the underwhelming results in a statement, highlighting that the company's performance did not meet its anticipated targets. The financial figures reveal the extent of the challenges faced by Stellantis: - Adjusted operating income (EBIT) experienced a substantial 40 per cent decrease, falling to Euro 8.463 billion for the six months ending June 30, 2024. This figure fell below the analyst consensus of Euro 8.85 billion. - The company's adjusted EBIT margin contracted to just under 10 per cent, failing to maintain the double-digit margin that Stellantis aims to achieve for the full year. - Free cash flow turned negative, reaching almost minus Euro 400 million in the first half of the year. Despite these setbacks, Stellantis remains committed to its full-year forecasts, which include achieving a positive industrial free cash flow. CFO Natalie Knight expressed determination to meet the company's adjusted operating income margin target for the year and to generate positive cash flows in the second half of 2024. The company's strategic response includes a focus on inventory reduction and improving logistics, particularly in North America, which has been a key profit driver for the group. Knight emphasized that North America is the market requiring the most attention and where efforts will be concentrated in the coming months. Stellantis has invested significantly in product development, with 20 new models planned for release this year. The company hopes that this investment will contribute to improved profitability later in the year, offsetting some of the current challenges. However, market analysts remain cautious about Stellantis' near-term prospects. Citi analysts, for instance, have expressed scepticism about the company's ability to overcome its current issues quickly, suggesting that the problems may persist until Stellantis successfully addresses its inventory overhang. The automotive industry as a whole appears to be facing headwinds, as evidenced by Nissan's recent announcement of severely diminished first-quarter profits and a revised downward annual outlook, largely due to aggressive discounting in the U.S. market. As Stellantis navigates these challenges, the effectiveness of its strategic actions and its ability to adapt to changing market conditions will be crucial in determining its financial performance and market position in the coming months.

Stellantis misses forecasts with H1 drop in revenue and operating income

Stellantis is recalling 19,516 hybrid mini-vans in the United States because of the risk of battery packs catching fire even when a vehicle is parked and the ignition is turned off, the US National Highway Traffic Safety Administration (NHTSA) reported on Tuesday. The recall particularly involves the Chrysler Pacifica Plug-In Hybrid Electric (PHEV) vehicles produced between 2017 and 2021, as per the NHTSA.&nbsp;

The owners of these cars have been discouraged from charging their cars and should park the vehicles outside and away from structures until they are repaired. To rectify the problem, dealerships will flash the software of the high voltage battery pack control module (BPCM), as confirmed by the NHTSA.

The safety concern come from the possibility of a defect in the BPCM software which can overheat the battery pack and create and fire hazard even when the car is not in use. To address this risk, Chrysler plans to release updates for the software to increase the safety of the mentioned vehicles and their owners.

Also Read:&nbsp;<a href="https://www.wionews.com/autonews/cruise-autonomous-vehicle-development-refocuses-on-modified-chevrolet-bolt-743502">Cruise Autonomous Vehicle Development refocuses on modified Chevrolet Bolt</a>

The above recall is a clear indication that Chrysler is willing to accept responsibility for safety defects and act on it. Although it would be rather inconvenient for the owners of cars, it is necessary to guarantee the safety of the cars, including in situations when there is a possibility of a fire.

The owners with affected vehicles are advised to visit their nearby Chrysler dealer and arrange for the software update. The NHTSA encourages owners to visit their website to search for this and other recalls, or to call their manufacturer for information.

This Chrysler undertaking to quickly address this matter reveals the automotive industry’s zero-tolerance policy aimed at maintaining high vehicle safety standards and reducing possible risks to consumers.

Stellantis is recalling 19,516 hybrid mini-vans in the United States because of the risk of battery packs catching fire even when a vehicle is parked and the ignition is turned off, the US National Highway Traffic Safety Administration (NHTSA) reported on Tuesday.

Stellantis is recalling 19,516 hybrid mini-vans in the United States because of the risk of battery packs catching fire even when a vehicle is parked and the ignition is turned off, the US National Highway Traffic Safety Administration (NHTSA) reported on Tuesday. The recall particularly involves the Chrysler Pacifica Plug-In Hybrid Electric (PHEV) vehicles produced between 2017 and 2021, as per the NHTSA. The owners of these cars have been discouraged from charging their cars and should park the vehicles outside and away from structures until they are repaired. To rectify the problem, dealerships will flash the software of the high voltage battery pack control module (BPCM), as confirmed by the NHTSA. The safety concern come from the possibility of a defect in the BPCM software which can overheat the battery pack and create and fire hazard even when the car is not in use. To address this risk, Chrysler plans to release updates for the software to increase the safety of the mentioned vehicles and their owners. Also Read: Cruise Autonomous Vehicle Development refocuses on modified Chevrolet Bolt The above recall is a clear indication that Chrysler is willing to accept responsibility for safety defects and act on it. Although it would be rather inconvenient for the owners of cars, it is necessary to guarantee the safety of the cars, including in situations when there is a possibility of a fire. The owners with affected vehicles are advised to visit their nearby Chrysler dealer and arrange for the software update. The NHTSA encourages owners to visit their website to search for this and other recalls, or to call their manufacturer for information. This Chrysler undertaking to quickly address this matter reveals the automotive industry’s zero-tolerance policy aimed at maintaining high vehicle safety standards and reducing possible risks to consumers.

Stellantis to recall about 19,500 hybrid mini-vans in US over battery fire risk

During a presentation of a new electric vehicle production line in Serbia, Stellantis chief executive officer Carlos Tavares urged his organisation to prepare for a fight for its share of the electric car market in Europe as strong Chinese carmakers are pressing on. "I expect lots of problems ahead especially from the assertive Chinese commercial incursion into the European territory," said Tavares. "At Stellantis, we are fully prepared for this competition."

He stated, "This is the message we want to convey to them that we are hard working, that we possess better technology, and that they should beware of us." Serbia Strategy to directly become a central hub for sustainable raw materials, batteries, and electric cars had attracted a 190 million euro (USD 206.9 million) electric vehicle manufacturing agreement between Stellantis and Serbia in 2022 at Kragujevac plant. As such, this facility has the capacity to spur economic development in the area.

Also Read:&nbsp;<a href="https://www.wionews.com/autonews/gm-and-ford-face-profit-challenges-amid-ev-market-slowdown-743154">GM and Ford face profit challenges amid EV market slowdown</a>

“This is a great potential for us,” Serbian President Aleksandar Vucic at the ceremony of presentation of the electric car production line. In its further efforts to transition towards a green economy, Serbia recently renewed the Rio Tinto mining license to explore Europe’s largest lithium deposit, which has the potential to underpin the continent’s EV industry. Growth is set to reach 92 thousand units in 2020, or 1 million electric vehicles or 17% of the European market.

Furthermore, Serbia has entered into a new agreement with the European Union that gives the EU access to raw materials that originated in Serbia and strengthens cooperation on clean raw materials, batteries, and electric vehicles. On the other hand, Ola Kaellenius, head of Mercedes-Benz, a German automaker, said on Friday that his firm is interested in purchasing lithium in Serbia and is in favor of developing battery value-added in the nation.

During a presentation of a new electric vehicle production line in Serbia, Stellantis chief executive officer Carlos Tavares urged his organisation to prepare for a fight for its share of the electric car market in Europe as strong Chinese carmakers are pressing on.

During a presentation of a new electric vehicle production line in Serbia, Stellantis chief executive officer Carlos Tavares urged his organisation to prepare for a fight for its share of the electric car market in Europe as strong Chinese carmakers are pressing on. "I expect lots of problems ahead especially from the assertive Chinese commercial incursion into the European territory," said Tavares. "At Stellantis, we are fully prepared for this competition." He stated, "This is the message we want to convey to them that we are hard working, that we possess better technology, and that they should beware of us." Serbia Strategy to directly become a central hub for sustainable raw materials, batteries, and electric cars had attracted a 190 million euro (USD 206.9 million) electric vehicle manufacturing agreement between Stellantis and Serbia in 2022 at Kragujevac plant. As such, this facility has the capacity to spur economic development in the area. Also Read: GM and Ford face profit challenges amid EV market slowdown “This is a great potential for us,” Serbian President Aleksandar Vucic at the ceremony of presentation of the electric car production line. In its further efforts to transition towards a green economy, Serbia recently renewed the Rio Tinto mining license to explore Europe’s largest lithium deposit, which has the potential to underpin the continent’s EV industry. Growth is set to reach 92 thousand units in 2020, or 1 million electric vehicles or 17% of the European market. Furthermore, Serbia has entered into a new agreement with the European Union that gives the EU access to raw materials that originated in Serbia and strengthens cooperation on clean raw materials, batteries, and electric vehicles. On the other hand, Ola Kaellenius, head of Mercedes-Benz, a German automaker, said on Friday that his firm is interested in purchasing lithium in Serbia and is in favor of developing battery value-added in the nation.

Stellantis eyeing a share of Europe's EV market, CEO says

Stellantis has made progress in the field of electrification through the launch of its Free2move Charge website and app which aims to help consumers shift easily to EVs as it introduces its first electric cars this year. These include the Fiat 500e, Jeep Wagoneer S, and Dodge Charger Daytona models among others that will hit the US market this year, with each incorporating cutting-edge technology while still carrying the same DNA.

The COO for Stellantis Carlos Zarlenga said that “electrification is a game changer,” mentioning efficiency gains and better performance to illustrate his point. This will help enhance Jeep off-road prowess while solidifying Dodge Charger as the fastest muscle car globally.

To support new battery-electric vehicle (BEV) owners, the Free2move Charge platform provides comprehensive assistance throughout the buying process. It can be downloaded from Apple or Google’s app stores and teaches users about BEVs and charging options available.

Also Read:&nbsp;<a href="https://www.wionews.com/autonews/stellantis-and-totalenergies-introduce-sustainable-lubricant-quartz-ev3r-10w-40-741234">Stellantis and TotalEnergies introduce sustainable lubricant: Quartz EV3R 10W-40</a>

Mathilde Lheureux, head of energy and charge business unit explained that Stellantis gives customers a choice between a Free2move Level 2 charging unit or USD 600 worth of charging credits usable at numerous stations spread across America.

Free2move Charge Options:

Home Package: Included with each BEV purchase, this package features a Level 2 charging unit, allowing users to charge from home. The installation process is streamlined into three easy steps, facilitating a commitment-free estimate and scheduling with Qmerit.

Go Package: For those opting for charging credits, the Go Package provides USD 600 to use at public charging stations. The Free2move Charge app enables users to find charging locations and manage their balance conveniently.

Stellantis customers will gain access to over 75,000 charging stations across the US, including partnerships with ChargePoint, Shell Recharge, and EVgo. Additionally, through its joint venture with IONNA, Stellantis aims to deploy 30,000 in-network chargers, with the first stations set to open in 2024. As Stellantis prepares for an electric future, the Free2move Charge ecosystem positions the company as a leader in seamless charging and energy management for its customers.

Stellantis has made progress in the field of electrification through the launch of its Free2move Charge website and app which aims to help consumers shift easily to EVs as it introduces its first electric cars this year.

Stellantis has made progress in the field of electrification through the launch of its Free2move Charge website and app which aims to help consumers shift easily to EVs as it introduces its first electric cars this year. These include the Fiat 500e, Jeep Wagoneer S, and Dodge Charger Daytona models among others that will hit the US market this year, with each incorporating cutting-edge technology while still carrying the same DNA. The COO for Stellantis Carlos Zarlenga said that “electrification is a game changer,” mentioning efficiency gains and better performance to illustrate his point. This will help enhance Jeep off-road prowess while solidifying Dodge Charger as the fastest muscle car globally. To support new battery-electric vehicle (BEV) owners, the Free2move Charge platform provides comprehensive assistance throughout the buying process. It can be downloaded from Apple or Google’s app stores and teaches users about BEVs and charging options available. Also Read: Stellantis and TotalEnergies introduce sustainable lubricant: Quartz EV3R 10W-40 Mathilde Lheureux, head of energy and charge business unit explained that Stellantis gives customers a choice between a Free2move Level 2 charging unit or USD 600 worth of charging credits usable at numerous stations spread across America. Free2move Charge Options: Home Package: Included with each BEV purchase, this package features a Level 2 charging unit, allowing users to charge from home. The installation process is streamlined into three easy steps, facilitating a commitment-free estimate and scheduling with Qmerit. Go Package: For those opting for charging credits, the Go Package provides USD 600 to use at public charging stations. The Free2move Charge app enables users to find charging locations and manage their balance conveniently. Stellantis customers will gain access to over 75,000 charging stations across the US, including partnerships with ChargePoint, Shell Recharge, and EVgo. Additionally, through its joint venture with IONNA, Stellantis aims to deploy 30,000 in-network chargers, with the first stations set to open in 2024. As Stellantis prepares for an electric future, the Free2move Charge ecosystem positions the company as a leader in seamless charging and energy management for its customers.

Stellantis launches Free2move Charge to support electric vehicle transition

Stellantis, in collaboration with TotalEnergies, has launched a new sustainable lubricant, Quartz EV3R 10W-40, as part of its commitment to environmental responsibility. This&nbsp;product enriches the SUSTAINera RECYCLE range and marks a significant step in the automotive industry’s move towards a circular economy. Available across Europe, this premium lubricant is designed to offer high performance while adhering to sustainable practices.

Embracing the Circular Economy

The launch of Quartz EV3R 10W-40 aligns with Stellantis' circular economy strategies of ‘4R’ (Reman, Repair, Reuse, Recycle) and TotalEnergies Lubrifiants’ ‘3R’ (Reduce, Reuse, Regenerate). This collaboration focuses on responsible management of end-of-life products and reducing waste. Quartz EV3R 10W-40 is made from premium regenerated base oils, which are waste oils that have undergone a refining process to restore their quality and performance.

Alison Jones, Senior Vice President Global Circular Economy at Stellantis, stated, "Within Stellantis’ commitment to sustainability, this manufacturer-approved lubricant in partnership with TotalEnergies Lubrifiants is one more example of our innovation for a better future."

High-Performance, Sustainable Motor Oil

The Quartz EV3R 10W-40 lubricant offers uncompromised performance, meeting the high standards of many car manufacturers. It is formulated from 100% high-quality regenerated base oils and complies with SUSTAINera quality standards. This lubricant reduces engine wear by up to 46% compared to industry limits and improves piston cleanliness by up to 20% over virgin oil formulations.

Pierre Duhot, Senior Vice President of Lubricants and Specialities at TotalEnergies, highlighted the significance of this collaboration: "We are very proud to launch Quartz EV3R 10W-40, the first product in the Quartz EV3R range, in close collaboration with SUSTAINera. We are also very confident about future developments following our recent acquisition of Tecoil."

Reduced Carbon Footprint and Eco-Friendly Packaging

Quartz EV3R 10W-40 boasts a carbon footprint up to 50% lower than the previous generation of Quartz 7000 10W-40. This is achieved through the use of high-quality waste oils and an eco-designed approach. The packaging of this lubricant also reflects these values, with bottles made from 50% recycled plastic that are themselves 100% recyclable.

Broad Compatibility and Market Availability

This new lubricant is suitable for both petrol and diesel engines in vehicles from Peugeot, Citroën, DS, Opel, and Vauxhall brands, under the PSA B71 2300 reference. It is also approved by many other manufacturers. Quartz EV3R 10W-40 is available in Europe through the Stellantis network, supermarkets, and car centres.

Advancing Towards a Greener Future

Stellantis continues to lead the charge in promoting sustainable practices within the automotive industry. The company’s commitment to a circular economy is evident through its strategic initiatives and partnerships. The collaboration with TotalEnergies Lubrifiants is a testament to Stellantis' dedication to environmental stewardship and innovation.

A Step Forward in Sustainable Automotive Solutions

The introduction of Quartz EV3R 10W-40 lubricant by Stellantis and TotalEnergies is a significant milestone in the journey towards a sustainable automotive industry. By focusing on circular economy principles and leveraging innovative technology, Stellantis is setting new standards for environmental responsibility. This new lubricant not only offers high performance but also underscores the importance of reducing waste and conserving resources.

As Stellantis continues to drive change and innovation, consumers can expect more environmentally friendly products that deliver excellent performance and efficiency. The Quartz EV3R 10W-40 lubricant is just one example of how Stellantis is paving the way for a greener and more sustainable future in the automotive world.

Stellantis, in collaboration with TotalEnergies, has launched a new sustainable lubricant, Quartz EV3R 10W-40, as part of its commitment to environmental responsibility.

Stellantis, in collaboration with TotalEnergies, has launched a new sustainable lubricant, Quartz EV3R 10W-40, as part of its commitment to environmental responsibility. This product enriches the SUSTAINera RECYCLE range and marks a significant step in the automotive industry’s move towards a circular economy. Available across Europe, this premium lubricant is designed to offer high performance while adhering to sustainable practices. Embracing the Circular Economy The launch of Quartz EV3R 10W-40 aligns with Stellantis' circular economy strategies of ‘4R’ (Reman, Repair, Reuse, Recycle) and TotalEnergies Lubrifiants’ ‘3R’ (Reduce, Reuse, Regenerate). This collaboration focuses on responsible management of end-of-life products and reducing waste. Quartz EV3R 10W-40 is made from premium regenerated base oils, which are waste oils that have undergone a refining process to restore their quality and performance. Alison Jones, Senior Vice President Global Circular Economy at Stellantis, stated, "Within Stellantis’ commitment to sustainability, this manufacturer-approved lubricant in partnership with TotalEnergies Lubrifiants is one more example of our innovation for a better future." High-Performance, Sustainable Motor Oil The Quartz EV3R 10W-40 lubricant offers uncompromised performance, meeting the high standards of many car manufacturers. It is formulated from 100% high-quality regenerated base oils and complies with SUSTAINera quality standards. This lubricant reduces engine wear by up to 46% compared to industry limits and improves piston cleanliness by up to 20% over virgin oil formulations. Pierre Duhot, Senior Vice President of Lubricants and Specialities at TotalEnergies, highlighted the significance of this collaboration: "We are very proud to launch Quartz EV3R 10W-40, the first product in the Quartz EV3R range, in close collaboration with SUSTAINera. We are also very confident about future developments following our recent acquisition of Tecoil." Reduced Carbon Footprint and Eco-Friendly Packaging Quartz EV3R 10W-40 boasts a carbon footprint up to 50% lower than the previous generation of Quartz 7000 10W-40. This is achieved through the use of high-quality waste oils and an eco-designed approach. The packaging of this lubricant also reflects these values, with bottles made from 50% recycled plastic that are themselves 100% recyclable. Broad Compatibility and Market Availability This new lubricant is suitable for both petrol and diesel engines in vehicles from Peugeot, Citroën, DS, Opel, and Vauxhall brands, under the PSA B71 2300 reference. It is also approved by many other manufacturers. Quartz EV3R 10W-40 is available in Europe through the Stellantis network, supermarkets, and car centres. Advancing Towards a Greener Future Stellantis continues to lead the charge in promoting sustainable practices within the automotive industry. The company’s commitment to a circular economy is evident through its strategic initiatives and partnerships. The collaboration with TotalEnergies Lubrifiants is a testament to Stellantis' dedication to environmental stewardship and innovation. A Step Forward in Sustainable Automotive Solutions The introduction of Quartz EV3R 10W-40 lubricant by Stellantis and TotalEnergies is a significant milestone in the journey towards a sustainable automotive industry. By focusing on circular economy principles and leveraging innovative technology, Stellantis is setting new standards for environmental responsibility. This new lubricant not only offers high performance but also underscores the importance of reducing waste and conserving resources. As Stellantis continues to drive change and innovation, consumers can expect more environmentally friendly products that deliver excellent performance and efficiency. The Quartz EV3R 10W-40 lubricant is just one example of how Stellantis is paving the way for a greener and more sustainable future in the automotive world.

Stellantis and TotalEnergies introduce sustainable lubricant: Quartz EV3R 10W-40

In a monumental move towards a greener future, the Biden administration has announced plans to award nearly USD 1.1 billion in grants to General Motors (GM) and Stellantis. These funds will be used to convert existing manufacturing plants into facilities capable of producing electric vehicles (EVs) and their components. This initiative is part of a broader USD 1.7 billion grant package aimed at transforming 11 "at-risk" plants across eight states, ensuring the production of up to 1 million EVs annually, retaining 15,000 existing jobs, and creating an additional 3,000 positions.

Energy Secretary Jennifer Granholm described the grants as a pivotal element of the Biden administration's industrial strategy. "These awards will modernise historical auto manufacturing facilities," she stated, highlighting the administration's commitment to keeping the U.S. auto industry competitive on a global scale. Granholm emphasised the need for federal support in the transition to electric mobility, pointing out that other countries have heavily subsidised their auto industries. "This massive investment is all about competing globally," she added.

Key plants in strategic states

The grants will support plants in crucial states such as Michigan, Ohio, Pennsylvania, Georgia, Illinois, Indiana, Maryland, and Virginia. These states are significant not only for their industrial output but also for their political importance in the upcoming presidential election. President Joe Biden has been actively pushing U.S. automakers to increase EV production, introducing tax incentives and funding for EV charging infrastructure, while regulators have implemented stricter emissions standards to drive EV sales.

Opposition and political implications

Former President Donald Trump has vehemently criticised Biden's EV policies, pledging to reverse them if re-elected. The White House, meanwhile, is making concerted efforts to reassure union workers in key battleground states that the shift to EVs will not result in job losses. This political backdrop adds an extra layer of complexity to the administration's EV push, as it balances environmental goals with economic and employment considerations.

Details of the grants and expected outcomes

General Motors will receive $500 million to convert its Lansing Grand River Assembly Plant in Michigan for future EV production. While GM has not specified the exact models to be produced, it confirmed that the plant will continue manufacturing the Cadillac CT4 and CT5 in the interim.

Stellantis, which recently agreed to a new union contract involving a $3.2 billion battery plant and a $1.5 billion mid-size truck factory in Belvidere, Illinois, will benefit significantly from the grants. The Department of Energy (DOE) plans to award Stellantis $334.8 million to convert the Belvidere Assembly plant for EV production and $250 million to upgrade its Indiana Transmission Plant in Kokomo for EV components. Stellantis remarked that these grants are crucial for expanding their range of electrified vehicles.

Additional beneficiaries and future plans

Other companies receiving grants include Hyundai Mobis, which will get $32 million to produce plug-in hybrid components and battery packs in Ohio. Harley-Davidson will receive $89 million to expand its York, Pennsylvania plant for EV motorcycle production. Blue Bird, a manufacturer of school buses, will get $80 million to convert a former Georgia plant to produce electric school buses. Engine company Cummins will receive $75 million to convert part of an Indiana plant for zero-emission components and electric powertrain systems.

Furthermore, the DOE plans to award $208 million to the Volvo Group to upgrade plants in Maryland, Virginia, and Pennsylvania to boost EV production capacity. ZF North America will receive $157 million to convert part of its Marysville, Michigan plant for EV component production.

Finalising the awards

Before these awards are finalised, the DOE must complete negotiations with the companies regarding milestones, requirements, and environmental reviews. This rigorous process ensures that the investments align with the administration's broader goals of sustainability, job creation, and economic competitiveness.

The Biden administration's allocation of nearly $1.1 billion in grants to GM and Stellantis represents a significant investment in the future of the U.S. auto industry. By modernising existing plants and boosting EV production, this initiative aims to position the U.S. as a leader in electric mobility, while also addressing the political and economic challenges of the transition. As the U.S. navigates this complex landscape, the success of these grants will be critical in shaping the future of the automotive sector and the broader economy.

(Inputs from Reuters)

In a monumental move towards a greener future, the Biden administration has announced plans to award nearly USD 1.1 billion in grants to General Motors (GM) and Stellantis.

In a monumental move towards a greener future, the Biden administration has announced plans to award nearly USD 1.1 billion in grants to General Motors (GM) and Stellantis. These funds will be used to convert existing manufacturing plants into facilities capable of producing electric vehicles (EVs) and their components. This initiative is part of a broader USD 1.7 billion grant package aimed at transforming 11 "at-risk" plants across eight states, ensuring the production of up to 1 million EVs annually, retaining 15,000 existing jobs, and creating an additional 3,000 positions. Energy Secretary Jennifer Granholm described the grants as a pivotal element of the Biden administration's industrial strategy. "These awards will modernise historical auto manufacturing facilities," she stated, highlighting the administration's commitment to keeping the U.S. auto industry competitive on a global scale. Granholm emphasised the need for federal support in the transition to electric mobility, pointing out that other countries have heavily subsidised their auto industries. "This massive investment is all about competing globally," she added. Key plants in strategic states The grants will support plants in crucial states such as Michigan, Ohio, Pennsylvania, Georgia, Illinois, Indiana, Maryland, and Virginia. These states are significant not only for their industrial output but also for their political importance in the upcoming presidential election. President Joe Biden has been actively pushing U.S. automakers to increase EV production, introducing tax incentives and funding for EV charging infrastructure, while regulators have implemented stricter emissions standards to drive EV sales. Opposition and political implications Former President Donald Trump has vehemently criticised Biden's EV policies, pledging to reverse them if re-elected. The White House, meanwhile, is making concerted efforts to reassure union workers in key battleground states that the shift to EVs will not result in job losses. This political backdrop adds an extra layer of complexity to the administration's EV push, as it balances environmental goals with economic and employment considerations. Details of the grants and expected outcomes General Motors will receive $500 million to convert its Lansing Grand River Assembly Plant in Michigan for future EV production. While GM has not specified the exact models to be produced, it confirmed that the plant will continue manufacturing the Cadillac CT4 and CT5 in the interim. Stellantis, which recently agreed to a new union contract involving a $3.2 billion battery plant and a $1.5 billion mid-size truck factory in Belvidere, Illinois, will benefit significantly from the grants. The Department of Energy (DOE) plans to award Stellantis $334.8 million to convert the Belvidere Assembly plant for EV production and $250 million to upgrade its Indiana Transmission Plant in Kokomo for EV components. Stellantis remarked that these grants are crucial for expanding their range of electrified vehicles. Additional beneficiaries and future plans Other companies receiving grants include Hyundai Mobis, which will get $32 million to produce plug-in hybrid components and battery packs in Ohio. Harley-Davidson will receive $89 million to expand its York, Pennsylvania plant for EV motorcycle production. Blue Bird, a manufacturer of school buses, will get $80 million to convert a former Georgia plant to produce electric school buses. Engine company Cummins will receive $75 million to convert part of an Indiana plant for zero-emission components and electric powertrain systems. Furthermore, the DOE plans to award $208 million to the Volvo Group to upgrade plants in Maryland, Virginia, and Pennsylvania to boost EV production capacity. ZF North America will receive $157 million to convert part of its Marysville, Michigan plant for EV component production. Finalising the awards Before these awards are finalised, the DOE must complete negotiations with the companies regarding milestones, requirements, and environmental reviews. This rigorous process ensures that the investments align with the administration's broader goals of sustainability, job creation, and economic competitiveness. The Biden administration's allocation of nearly $1.1 billion in grants to GM and Stellantis represents a significant investment in the future of the U.S. auto industry. By modernising existing plants and boosting EV production, this initiative aims to position the U.S. as a leader in electric mobility, while also addressing the political and economic challenges of the transition. As the U.S. navigates this complex landscape, the success of these grants will be critical in shaping the future of the automotive sector and the broader economy. (Inputs from Reuters)

Biden administration allocates USD 1.1 bn in grants to GM and Stellantis for EV plant conversions

Utilising its multi-energy plan, Stellantis is shifting quickly to the growing interest in hybrid models in Europe, particularly eDCT sophisticated hybrid technology. Last year, the company’s hybrid models were raised to 30, along with six new hybrid models by 2026. These hybrids raise the prospect of power and eco-friendliness in a single package and could take much less CO2 emissions at a lesser price as compared to entirely electric and plug in hybrid vehicles.

The pressure to move towards hybridisation has already paid off for Stellantis: while the sales of EU30 hybrids increased by a rather impressive 41% in the year-to-date period of 2024 as compared to the same year-ago period. This accomplishment demonstrates Stellantis’ leadership in low emission vehicles in the EU30 market in the A and B segments along with LCVs.

Also Read:<a href="https://www.wionews.com/autonews/eu-mandates-speed-limit-warnings-in-minis-rule-coming-to-us-too-739523">&nbsp;EU mandates speed limit warnings in MINIs; rule coming to US too</a>

Uwe Hochgeschurtz, Stellantis' Chief Operating Officer for Enlarged Europe, expressed the company’s expansion of hybrid technology. He pointed out that these innovations do not only improve combustion engines' efficiency and performance but also depict the future of the automobiles that are environmentally sustainable, have a longer range, and are relatively cheaper.

Today, the listed brands of Stellantis include a wide range of hybrid cars in the European market. The C-PSA Stellantis brands illustrated the full range of offers of hybridised cars for various needs and preferences for using automobiles by presenting the Alfa Romeo Tonale, Citroën C4, DS 4, Peugeot 3008, and Opel/Vauxhall Mokka.

At the center of the above hybrid system lies the Stellantis' new eDCT transmission, housing a 21-kW electric motor. Being an advanced system it enables step-less shifting between electric and hybrid modes enhancing the fuel economy and CO2 emission by 20% on average as compared to combustion engines with automatic transmits. The eDCT system also supports the regenerative braking, to recover the kinetic energy for recharging 48V, 0.9-kWh battery.

Currently, there is a very active hybrid production shift in the European region, as evidenced by the fact that more than 70% of all plants of Stellantis are already producing cars with a hybrid power supply system. The joint eTransmissions venture located in Metz, France and Turin, Italy assume a vital part in providing the eDCT needed for this augmented production level.

Ahead, Stellantis continues its electrification plans as it plans to invest over EURO 50 billion on the electrification over the next ten years. This investment wants to realise the 100% share of BEV for PC in Europe by the year 2030 and a 50% share for the United States, the number one automobile market. The above initiatives are well captured under the company’s sustainability strategy; as it seeks to be carbon neutral by 2038 in all scopes of business operations.

Utilising its multi-energy plan, Stellantis is shifting quickly to the growing interest in hybrid models in Europe, particularly eDCT sophisticated hybrid technology.

Utilising its multi-energy plan, Stellantis is shifting quickly to the growing interest in hybrid models in Europe, particularly eDCT sophisticated hybrid technology. Last year, the company’s hybrid models were raised to 30, along with six new hybrid models by 2026. These hybrids raise the prospect of power and eco-friendliness in a single package and could take much less CO2 emissions at a lesser price as compared to entirely electric and plug in hybrid vehicles. The pressure to move towards hybridisation has already paid off for Stellantis: while the sales of EU30 hybrids increased by a rather impressive 41% in the year-to-date period of 2024 as compared to the same year-ago period. This accomplishment demonstrates Stellantis’ leadership in low emission vehicles in the EU30 market in the A and B segments along with LCVs. Also Read: EU mandates speed limit warnings in MINIs; rule coming to US too Uwe Hochgeschurtz, Stellantis' Chief Operating Officer for Enlarged Europe, expressed the company’s expansion of hybrid technology. He pointed out that these innovations do not only improve combustion engines' efficiency and performance but also depict the future of the automobiles that are environmentally sustainable, have a longer range, and are relatively cheaper. Today, the listed brands of Stellantis include a wide range of hybrid cars in the European market. The C-PSA Stellantis brands illustrated the full range of offers of hybridised cars for various needs and preferences for using automobiles by presenting the Alfa Romeo Tonale, Citroën C4, DS 4, Peugeot 3008, and Opel/Vauxhall Mokka. At the center of the above hybrid system lies the Stellantis' new eDCT transmission, housing a 21-kW electric motor. Being an advanced system it enables step-less shifting between electric and hybrid modes enhancing the fuel economy and CO2 emission by 20% on average as compared to combustion engines with automatic transmits. The eDCT system also supports the regenerative braking, to recover the kinetic energy for recharging 48V, 0.9-kWh battery. Currently, there is a very active hybrid production shift in the European region, as evidenced by the fact that more than 70% of all plants of Stellantis are already producing cars with a hybrid power supply system. The joint eTransmissions venture located in Metz, France and Turin, Italy assume a vital part in providing the eDCT needed for this augmented production level. Ahead, Stellantis continues its electrification plans as it plans to invest over EURO 50 billion on the electrification over the next ten years. This investment wants to realise the 100% share of BEV for PC in Europe by the year 2030 and a 50% share for the United States, the number one automobile market. The above initiatives are well captured under the company’s sustainability strategy; as it seeks to be carbon neutral by 2038 in all scopes of business operations.

Stellantis extends hybrid powertrain to more nameplates in Europe

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Stellantis, the parent company of Chrysler, has announced a major recall affecting 1.16 million vehicles in North America due to a software issue that prevents rear view cameras from displaying. This issue poses a significant risk of accidents, as drivers may not have a clear view behind their vehicles while reversing.

Wide range of affected models

The recall encompasses a diverse range of models from the 2021-2023 production years. This includes:

<ul>
	<li style="margin: 0cm 0cm 10pt;">2021-2022 Dodge Durango</li>
	<li style="margin: 0cm 0cm 10pt;">2021-2023 Chrysler Pacifica</li>
	<li style="margin: 0cm 0cm 10pt;">2021-2023 Jeep Grand Cherokee L</li>
	<li style="margin: 0cm 0cm 10pt;">2022 Ram 1500, 2500, and 3500</li>
	<li style="margin: 0cm 0cm 10pt;">2022-2023 Jeep Compass</li>
	<li style="margin: 0cm 0cm 10pt;">2022-2023 Jeep Grand Cherokee</li>
	<li style="margin: 0cm 0cm 10pt;">2022-2023 Jeep Wagoneer and Grand Wagoneer</li>
	<li style="margin: 0cm 0cm 10pt;">2022-2023 Ram Promaster</li>
</ul>

This recall covers 1.033 million vehicles in the United States and 126,000 in Canada, indicating the vast scale of the problem.

Also read:&nbsp;<a href="https://www.wionews.com/autonews/tesla-faces-class-action-over-repair-monopolisation-733022">Tesla faces class action over repair monopolisation</a>

Software update to fix the issue

The issue stems from the vehicles' radio software, which may be preventing the rear view images from displaying on the screen, according to the U.S. National Highway Traffic Safety Administration (NHTSA). To address this, Stellantis is rolling out an over-the-air software update to rectify the problem.

A prompt to accept the update will appear on the media screens of the affected vehicles. Stellantis has already updated the software in over 735,000 vehicles, showing significant progress in addressing the issue.

Investigation and response

Stellantis began investigating the problem in October 2023, thoroughly reviewing warranty data, field records, and customer assistance records to understand the extent of the issue. The company is confident that the software update will resolve the problem, ensuring the safety and reliability of their vehicles.

Reassurance to customers

In a statement, Stellantis reassured customers, saying, "We are committed to the safety and satisfaction of our customers. The over-the-air software update is designed to swiftly and effectively address the issue, preventing any potential risk of accidents."

The company also highlighted that there have been no reported injuries or crashes related to this recall issue, underscoring their proactive approach in handling the situation.

Looking ahead

This recall is part of Stellantis' broader strategy to maintain high safety standards and ensure customer trust. The ability to issue over-the-air updates demonstrates the company's commitment to leveraging technology for swift problem resolution.

Stellantis' recall follows a trend in the automotive industry where software-related issues are becoming more prevalent due to the increasing complexity of modern vehicles. As cars become more advanced, manufacturers must remain vigilant in identifying and rectifying potential software glitches that could compromise safety.

(Inputs from Reuters)

Stellantis, the parent company of Chrysler, has announced a major recall affecting 1.16 million vehicles in North America due to a software issue that prevents rear view cameras from displaying.

Stellantis, the parent company of Chrysler, has announced a major recall affecting 1.16 million vehicles in North America due to a software issue that prevents rear view cameras from displaying. This issue poses a significant risk of accidents, as drivers may not have a clear view behind their vehicles while reversing. Wide range of affected models The recall encompasses a diverse range of models from the 2021-2023 production years. This includes: 2021-2022 Dodge Durango 2021-2023 Chrysler Pacifica 2021-2023 Jeep Grand Cherokee L 2022 Ram 1500, 2500, and 3500 2022-2023 Jeep Compass 2022-2023 Jeep Grand Cherokee 2022-2023 Jeep Wagoneer and Grand Wagoneer 2022-2023 Ram Promaster This recall covers 1.033 million vehicles in the United States and 126,000 in Canada, indicating the vast scale of the problem. Also read: Tesla faces class action over repair monopolisation Software update to fix the issue The issue stems from the vehicles' radio software, which may be preventing the rear view images from displaying on the screen, according to the U.S. National Highway Traffic Safety Administration (NHTSA). To address this, Stellantis is rolling out an over-the-air software update to rectify the problem. A prompt to accept the update will appear on the media screens of the affected vehicles. Stellantis has already updated the software in over 735,000 vehicles, showing significant progress in addressing the issue. Investigation and response Stellantis began investigating the problem in October 2023, thoroughly reviewing warranty data, field records, and customer assistance records to understand the extent of the issue. The company is confident that the software update will resolve the problem, ensuring the safety and reliability of their vehicles. Reassurance to customers In a statement, Stellantis reassured customers, saying, "We are committed to the safety and satisfaction of our customers. The over-the-air software update is designed to swiftly and effectively address the issue, preventing any potential risk of accidents." The company also highlighted that there have been no reported injuries or crashes related to this recall issue, underscoring their proactive approach in handling the situation. Looking ahead This recall is part of Stellantis' broader strategy to maintain high safety standards and ensure customer trust. The ability to issue over-the-air updates demonstrates the company's commitment to leveraging technology for swift problem resolution. Stellantis' recall follows a trend in the automotive industry where software-related issues are becoming more prevalent due to the increasing complexity of modern vehicles. As cars become more advanced, manufacturers must remain vigilant in identifying and rectifying potential software glitches that could compromise safety. (Inputs from Reuters)

Stellantis recalls 1.16 mn vehicles in North America over rear view camera issue

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