Stellantis working hard to avoid Volkswagen plant closure scenario, says CEO

admin admin | 09-18 00:30

Stellantis has already taken measures and is working hard to avoid the risk of plant closures facing rival Volkswagen.
Stellantis has already taken measures and is working hard to avoid the risk of plant closures facing rival Volkswagen, the carmaker's CEO Carlos Tavares said on Tuesday.

"We have done many unpopular things over the last few years to avoid as much as possible" a situation similar to Volkswagen, Tavares said.

"We have been criticised for that, for taking decisions which were ... not always well understood," Tavares said, adding the key was to sell electric vehicles at the same prices as traditional petrol models.

Earlier this month Europe's largest automaker Volkswagen announced it was considering for the first time in its history to close factories in home country Germany.

Volkswagen's announcement has triggered speculation that more European automakers could assess similar moves to respond to low factory utilisation rates in the region, increasing price pressures from Asian rivals and a tougher economic environment.

"We are working very very hard to avoid that situation and the future will say if we are going to be able to avoid any trouble or not, too soon to say today," Tavares told reporters after inaugurating a global hub for the group's commercial vehicle unit Pro One, in Turin, Italy.

Between 2021 - when it was formed through the merger of Fiat Chrysler and Peugeot maker PSA - and 2023, Stellantis cut its workforce by almost 20,000 in Europe, mostly through voluntary redundancy.

Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.


ALSO READ

Ola Electric responds to ARAI notice, says prices of S1 X 2 kWh scooter unchanged

Ola Electric provided an invoice dated October 6, showing a INR 5,000 discount given to customers, a...

Hyundai Motor IPO’s off to a slow start

Around 35% of the total shares in the offering are reserved for retail investors, while QIBs and NII...

Under fire, Ola Electric taps EY India to get back on track

Close to a dozen executives from EY came on-board at Ola Electric a few weeks ago on deputation for ...

Tata Motors secures 5-star BNCAP safety ratings for Nexon, Curvv, and EV models in latest crash tests

Tata Curvv.EV BNCAP testTata Motors did it again! Tata Motors has once again secured 5 star rating i...

India needs to step up manufacturing to meet Viksit Bharat goal: Volvo Grp India MD

Volvo Group India Managing Director and President, Kamal Bali. The manufacturing sector is a weak li...

Dollar pullback to help Indian rupee, weak risk appetite to weigh

Investors are now nearly certain that the U.S. Federal Reserve will deliver a 25-basis-point rate cu...