Despite Stellantis’s recent assurances to Italian lawmakers that it will boost vehicle production in the nation, a union suggests its first-quarter output fell to a nearly 70-year low.
According to data supplied in a quarterly report by the Italian union FIM Cisl, vehicle production in the January-March period, comprising passenger cars and vans, was down 35.5% compared to a year earlier, to around 110,000 units, Reuters reports.
The promise of new models, expected to increase production, will not be realized for another year or so at the six assembly plants the automaker operates in Italy.
In Pomigliano, production fell 80% for the Dodge Hornet, at 1,356 units. However, the Hornet is one of the few models Stellantis makes in Europe for the North American market and its exports are now in doubt facing 25% tariffs now being imposed by the U.S. Even before the tariffs, the Hornet was a slow-seller with U.S. consumers.
Output fell 45.5% at the Cassino facility in central Italy, where the group produces some Alfa Romeo models which also sell in the U.S., although in very limited numbers. Stellantis is struggling with both Alfa Romeo and Maserati brands, and have hired consultants to advise on their future as the automaker restructures its portfolio.
Meanwhile, the automaker group has ceased production of its Leapmotor A-segment T03 battery-electric vehicle at its plant in Poland.
In a company statement, Stellantis says “while the company remains fully engaged in the launch of Leapmotor vehicles in Europe, at the moment it is evaluating different production options.”
The production halt was first reported by French newspaper Les Echos giving no specific reasons for the move, but speculation revolves around the Chinese government’s instruction to its automakers last autumn to avoid production activities in European countries that supported EU tariffs against Chinese BEVs. Poland was among the EU countries that supported the tariffs.
Spain, which abstained on EU tariffs, is now thought to be favored for the production of the Leapmotor B10 EV. Stellantis has a 51% stake in the Leapmotor International joint venture with its Chinese partner, with exclusive rights to export, sell and manufacture Leapmotor BEVs outside China.
