On the Dash:
- Stellantis pasues European production, including Fiat and Alfa Romeo, due to weak demand, which is impacting supply chains.
- Italian unions are pressing for clarity on plant operations and Maserati’s future.
- CEO Filosa is shifting investment toward the U.S., signaling continued focus on North American markets.
Stellantis CEO Antonio Filosa met with Italian labor unions Monday as weak demand forces the automaker to pause output at several factories, raising questions about the future of Fiat, Alfa Romeo, and Maserati production in Italy.
Unions such as FIM-CISL and Fiom are pressing for clarification on manufacturing plans for plants like Cassino and Termoli and are demanding reassurances about Maserati’s future amid ongoing production disruptions, according to a Bloomberg report.
Notably, Stellantis temporarily halted operations at several European plants due to low demand, affecting local suppliers. Forvia, for example, reported losses of “several tens of millions of euros” this year because of the production slowdown.
Late last year, Stellantis pledged to produce new models such as the overhauled Fiat 500 in Italy to repair relations with the government after former CEO Carlos Tavares pushed to shift production abroad. The company committed 2 billion euros ($2.3 billion) to Italian investments this year, vowed not to close any Italian plants, and placed 6 billion euros in orders with local suppliers.
European demand for Stellantis vehicles has softened amid rising competition from Chinese automakers like BYD, which offer competitively priced cars. Meanwhile, Filosa has redirected some investment to the U.S., committing $13 billion over four years, further fueling union concerns about Italy’s manufacturing future.
