Stellantis, alongside its temporary best friends Renault and Volkswagen, has a brand-new survival strategy: wrapping itself in the European flag and hoping the bureaucracy doesn’t choke them first. Emanuele Cappellano, Stellantis’ European chief, made this pitch at the Italian Automotive Roundtable, arguing that a strict “Made in Europe” label is the only shield left against the onslaught of foreign competitors.
The proposal sounds simple: to qualify for preferential treatment, carmakers must build at least 70% of their European sales within the 27 EU member states, using 70% local content. It is a bold protectionist stance, but Cappellano insists it shouldn’t just be about final assembly.
Of course, this sudden burst of European pride comes with a heavy dose of corporate realism, especially when it comes to EV batteries. Stellantis is pleading for a reality check, suggesting that local battery mandates should be pushed back to 2030 because the European supply chain isn’t remotely ready.
The company is also begging the European Union for a ten-year regulatory freeze, presumably so they can catch their breath and stop rewriting their product plans every time Brussels changes its mind. To make small electric city cars economically viable, Stellantis is asking for emission super-credits, highlighting the struggle to keep entry-level vehicles affordable under current rules.
The desperation is backed by cold, depressing numbers. The European automotive industry has shrunk by three million vehicles compared to 2019, while Chinese EV brands have effortlessly seized over 10% of the market share. For domestic manufacturers, the actual market contraction is closer to five million units. Stellantis plans to fight back with a staggering 50 product launches over the next five years, though whether these are actual new models or just heavy facelifts remains to be seen.
In Italy, Cappellano paints a surprisingly rosy picture, claiming a 14% production increase and reduced reliance on state-funded furloughs. He even praised the local government’s incentive packages, provided they subsidize small, European-made cars.
