Stellantis has announced a four-week halt in production of the electric Fiat 500 model due to a lack of orders in Europe. The company, which owns brands such as Citroën and Peugeot, cited a global slowdown in EV sales as the reason for the suspension. This decision comes amidst challenges faced by carmakers worldwide in adapting their EV plans to changing market conditions.
The fully electric Fiat 500 is produced at the Mirafiori factory in Turin, with Stellantis investing in the facility to introduce a higher performance battery and a hybrid version of the model by 2025-2026. Unions have been advocating for the revitalization of the site, which has seen declining output in recent years.
In Italy, tensions have arisen between the government and Stellantis over incentives for EV purchases, with concerns of a potential trade war with China following EU tariffs on Chinese EV imports. In light of these developments, Spanish Prime Minister Pedro Sánchez has called for a reconsideration of the tariffs, emphasizing the need to find a compromise with China to avoid a trade conflict.
Meanwhile, China remains a key player in the EV market, with a significant increase in electric vehicle sales in recent years. As the world’s largest carbon emitter, China’s rapid growth in EV adoption underscores the importance of finding mutually beneficial solutions to global trade disputes in the electric vehicle sector.
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