Stellantis exceeds Italy provider orders pledge at €7bn

After two consecutive years of blowback from the Italian authorities and native unions over weakening commitments to home automotive manufacturing, Stellantis exceeded its native provider buying dedication throughout 2025, inserting orders price over €7bn (US$8.1bn). Chief Govt Antonio Filosa introduced the determine at a Rome occasion on 10 December, surpassing the producer’s unique €6bn pledge. The corporate additionally invested €2bn throughout Italian manufacturing amenities throughout the yr.

The spending improve kinds a part of Chairman John Elkann’s efforts to reassure Italian Prime Minister Giorgia Meloni’s authorities that Stellantis stays dedicated to native manufacturing. Former Chief Govt Carlos Tavares had drawn the ire of Rome by shifting manufacturing to lower-cost territories like Serbia, which took on manufacturing of the Grande Panda in 2024. Selections like these had induced home output to break down 36% throughout the first 9 months of 2025 to simply over 150,000 items, based on FIM-CISL labour union knowledge.

Filosa, who formally succeeded Tavares throughout the summer season, described 2025 as troublesome however characterised the achievement as “a primary step which can permit us to make additional and extra essential ones by way of native improvement and volumes for our suppliers”. Passenger automotive manufacturing reached 283,000 items throughout 2024, marking the bottom determine in nearly 70 years. Final month the automaker pledged to supply roughly 100,000 hybrid Fiat 500 autos at its historic Mirafiori plant in Turin via 2026.

Future development will rely closely on the end result of the European Fee’s carbon emissions guidelines overview; important choices for this are due on 16 December. “These choices will impression (the auto trade) over the subsequent 10, 15, 20 years,” Filosa stated. The newly-seated government lately backed German Chancellor Friedrich Merz’s name for Brussels to allow exemptions for plug-in hybrids and environment friendly combustion engines past 2035. A powerful majority of legacy automakers are urging for a softening of guidelines; others like Geely-owned Volvo Automobiles and Polestar and urging to remain the course.

EU governments together with Germany and Italy have lobbied for softer laws at the moment mandating zero carbon emissions from new automobiles by 2035. Elkann warned final month that Europe’s automotive trade dangers “irreversible decline” with out relaxed guidelines. Business proposals embody revised business automobile emissions targets, regulatory adjustments supporting small automotive manufacturing, and measures accelerating fleet renewal.

Stellar launched voluntary redundancy schemes concentrating on 1,600 positions in June together with 610 at Mirafiori. The workforce has shrunk from 55,000 on the 2021 PSA-Fiat Chrysler merger to underneath 40,000 on the time of writing. The ACC three way partnership seems to have deserted plans changing the Termoli engine plant right into a battery gigafactory, pivoting towards hybrid transmission manufacturing as an alternative. Filosa assumed the chief government function in June and confronts mounting challenges together with 10% American gross sales declines alongside deteriorating European registrations.