Stellantis Chief to Address Italian Parliament on Production Prospects

MILAN (Reuters) – Stellantis’ chief Carlos Tavares will address an Italian parliamentary committee next week on the prospects for the carmaker’s production in Italy, following a warning about poor demand for electric vehicles.

The hearing will take place on Oct. 11, according to Stellantis (NYSE:STLA), after the company announced it had extended the suspension of production of its Fiat 500 electric city car until Nov. 1 due to weak orders.

The Fiat 500 electric city car is manufactured at Stellantis’ historic Mirafiori plant in Turin, northern Italy. Previously, the company had stated that production of this model would be halted until Oct. 11.

Tavares will provide an “exhaustive picture of the group’s automotive production in Italy,” as the statement indicated. It noted that the complex international and European situation of the automotive sector necessitates rapid responses.

A global slowdown in electric vehicle (EV) sales, influenced by diverging policies on green incentives, has compelled automakers worldwide to adjust their EV strategies. In an earlier statement, Stellantis informed trade unions that the electric car market in Europe is “in deep trouble.”

Despite the temporary halt in production, Stellantis reaffirmed its commitment to invest 100 million euros ($110.93 million) in its Fiat 500e with a high-performance battery. Additionally, from early 2026, the company will commence production of the new 500 Hybrid.

Earlier this year, Italy launched a $1 billion plan to assist drivers in transitioning to cleaner vehicles, including subsidies for purchases of fully electric cars.

($1 = 0.9015 euros)