The boss of the Stellantis group, Carlos Tavares, does not rule out having to part ways with certain brands in the future.
While the Paris World Cup is in full swing, Carlos Tavares, CEO of Stellantis, recently spoke.
Fewer brands at Stellantis?
And if the automobile market is changing and going through a major crisis, the giant resulting from the merger between PSA and Fiat Chrysler seems determined to play its cards skillfully. And one of them could well be Leapmotor, a Chinese brand that is still relatively unknown but promising, which could become a strategic lever for Stellantis on the European market. The current debate between the European Union and China, concerning surcharges on Chinese electric vehicles, illustrates the scale of the economic and political issues at stake. While Brussels denounces unfair commercial practices by Beijing, which heavily subsidizes its automobile industry , Carlos Tavares sees this dynamic as an opportunity to seize. BFM Businesshe said: “What we are trying to do is take advantage of the dynamics of Chinese cars in Europe, which we will use to ensure the future of Stellantis. There is a Chinese offensive in Europe (…) we let’s take advantage of it.”
A new strategy?
Stellantis seems to have found a clever solution through Leapmotor, a brand that would allow the group to fill an important gap in its portfolio: the absence of an entry-level electric car at a competitive price. However, this strategy is not without raising questions for the future of the group’s other brands. Faced with fierce competition from Chinese manufacturers, certain historic brands could find themselves in difficulty. Could the group consider selling or sacrificing some of its iconic brands? Asked about this sensitive subject, Carlos Tavares remains cautious: “I place myself as the first defender of the brands that we have, particularly in Europe and particularly in France. That being said, there is no taboo.” The fate of European brands therefore seems to depend on market developments and upcoming strategic decisions. And the possibility of factory closures in Europe, particularly in France, cannot be ruled out if competitive pressure continues to increase.
We should know a little more in the coming months about this…
France
