Automotive News Europe — 2024-01-23
Automotive Industry
Italy's penny-pinching approach to incentives has meant several months of reduced automotive production, the Stellantis CEO Carlos Tavares said.
"Stellantis has been asking the Italian government for the last nine months to support EV sales," Tavares said on Tuesday during a visit to the automaker's plant in Atessa, central Italy, Europe's largest van-making factory.
Tavares said Stellantis is asking the Italian government to support sales of EVs to also help protect its Mirafiori plant, in Turin, which produces vehicles including Fiat's 500 electric small car. The plant has introduced temporary lay-offs because of sluggish demand.
Fiat-owner Stellantis has been in talks with Rome since last summer over a long term plan for the industry.
The government wants Stellantis to raise its annual production in Italy to one million vehicles, from around 750,000 last year, while the automaker is seeking support measures, including cheaper energy costs and EV sales incentives.
New incentives
The government is expected to present its new incentive program on 1 February, worth over €900 m euros ($975 m) for this year, according to a draft decree seen by Reuters.
"Italy is spending much less money than any other large European country to support EVs," Tavares said.
"The consequence is that we are losing manufacturing products in Italy that we could manufacture. We already wasted nine months of production, of additional production in Mirafiori."
Rome has also said it was working to encourage other major carmakers besides Stellantis to produce in the country.
"We are ready to compete. If the competition is very harsh, you will appreciate the consequences of that competition. But we are absolutely fine," Tavares said.
LCV global leader
Tavares said Stellantis aimed to become global leader in the commercial vehicle market worldwide by 2030, by launching what he called an offensive in North America and picking up opportunities in Asia.
"We believe that within that time window, we have the potential to win this race," he said.
With a market share of over 30% in 2023, Stellantis is LCV leader in Europe, while it is among the three largest manufacturers worldwide, along with number one Ford F.N and Toyota.
The group sold 1.8 m LCVs worldwide last year under its Fiat, Peugeot, Citroen, Opel, Vauxhall and Ram brands, up from 1.6 m units in 2022.