Stellantis is officially doubling down on cheap battery chemistry. Speaking during the Q3 financial conference call, CEO Antonio Filosa revealed that the automotive giant will significantly expand the use of Lithium Iron Phosphate (LFP) batteries across its European lineup starting in 2027.
The core motive? Trimming production costs to survive the cutthroat EV market—though, in typical automaker fashion, Filosa shied away from promising whether those “substantial” savings would actually trickle down to buyers’ wallets.
The pivot relies heavily on STLA One, a brand-new evolutionary platform aimed at beefing up competitiveness across B and C segments, as well as entry-level D-segment models.
Leading the charge into this budget-conscious era is the Fiat 500e, scheduled to adopt LFP packs by 2027 in an ambitious effort to undercut its current €23,900 price tag. Emanuele Cappellano, head of European operations, previously hinted at this move to revive the cute city car’s appeal. Meanwhile, the upcoming Peugeot 208 is tipped as another prime candidate, slated to debut the STLA One architecture in Zaragoza, Spain, coincidentally right next to the new joint battery plant built with Chinese giant CATL.
Chemically speaking, LFP technology dumps expensive nickel and cobalt, delivering unmatched thermal stability, longer lifespans, and significantly lower bill-of-materials costs. LFP packs offer lower energy density, meaning they store less juice per pound unless engineers get clever with cell-to-pack packaging to squeeze every millimeter of space. They also famously throw a minor tantrum in freezing weather, making robust thermal management a non-negotiable necessity unless drivers enjoy walking in January.
Of course, Stellantis isn’t reinventing the wheel here. It’s merely joining the party late with enthusiasm. LFP packs are already humming inside the Fiat Grande Panda, Citroën ë-C3, ë-C3 Aircross, Opel Frontera, and Leapmotor’s T03 and C10 models.
Across Europe, LFP market share in EVs surged from 5% in 2024 to 13% in 2025. The era of high-nickel chemistry for daily commutes might officially fade away.