Stellantis production in Italy fell 37% in 2024

Milan. Production at automaker Stellantis in Italy fell 37 percent last year, union figures showed on Friday.

To cope with overcapacity in Italy, the group has relied heavily on state-funded temporary layoff schemes. Stellantis presented a project in December to boost production, but an increase is only expected from 2026 thanks to the launch of new models.

The FIM-CISL union noted that Stellantis, created in 2021 from the merger of Fiat Chrysler and the French PSA-Peugeot, manufactured 475,090 vehicles in Italy last year compared to 751,384 in 2023.

Automobile production, in particular, contracted 46 percent and reached its lowest level since 1956, while production of new commercial vehicles fell 17 percent. Stellantis was not available for comment.

Like its European counterparts, the world’s fourth-largest automaker is facing weak demand, especially for all-electric vehicles, regulatory uncertainty and stiff Chinese competition.

Stellantis has five car factories in Italy and one commercial vehicle plant.

Stellantis pledged in December to invest 2 billion euros ($2.1 billion) in Italy in 2025 to produce new models at some of its plants in the country.

FIM-CISL announced that it would join a protest called in Brussels by the union organization IndustriALL Europe for February 5, two weeks before the European Commission presents its clean industrial agreement.

The leader of the union, Ferdinando Uliano, stated that it is important to review the European Union’s objectives for reducing carbon emissions from vehicles, which will come into force in 2025. This is a battle for Europesaid Uliano, referring to the crisis that the European automotive industry is going through. Countries alone can only lose.