Stellantis Seeks Space in India for Electricity, Europe Has Expensive Costs – News

Then now in europe There is no possibility To build affordable electric cars. This – in short – is the diagnosis made by Carlos Tavares in the statements he made on Tuesday during a meeting at Chennai (India) Visit the Stellants Research Center. The alternative as per what is registered is transfer of production to India, The labor cost is infinitely lower to keep costs and prices within a wide range profit margins.

New factories may already be ready for end of 2023 And they will be interested in the entire low-cost segment of the market, which in any case can hardly go down to 20,000 euros, Confirming doubts that have already been raised for some time that the transition to electricity will be tangible It will bring the price of small cars about to be multiplied. However, according to Tavares, it is a very lively project 5 or 6 years old, But in reality, this meant that for the group, the factories in Europe would be about as obsolete “wholesale market”, With not exactly encouraging prospects for the Italian factories.

The projects, which are still in progress, aim to impose strong control in the Indian market, Which is ranked fourth in the world, although in this region we have to face a competition as historic and well-established as ours Suzuki and Hyundai which they had already engaged without success Ford and General Motors.

How not to open new establishments made in China, which has a much higher manufacturing rate to India? The answer is in the recent past: The group decided to close Joint venture with GAC To build jeeps, taking into account the growing tensions with the People’s Republic of China and Europe at the commercial level and, let’s add, also at the level of almost absolute dependence on the supply of batteries. Hence the decision to shift focus to India, including Batteries production.