ROME, Dec 17 (Reuters) -
Stellantis ( STLA ) will keep all of its Italian factories
open and increase output from 2026 thanks to the launch of new
models, the head of the carmaker's European operations said on
Tuesday.
Italian Industry Minister Adolfo Urso also pledged that
Italy would spend more than 1 billion euros ($1.05 billion) next
year to support its struggling automotive sector, drawing a line
under months of fraught relations with Fiat-maker Stellantis ( STLA ).
Urso was hosting a meeting in Rome with representatives
of Stellantis ( STLA ), suppliers and trade unions to seal a deal to
revive Italian automotive production.
Stellantis ( STLA ) will produce at least two compact models at
its Italian plant of Pomigliano in southern Italy, where the
automaker will introduce its new 'STLA Small' platform from
2028, the chief of the firm's European operations told the
meeting.
Jean-Philippe Imparato also said the Jeep Compass,
Lancia Gamma and DS7 -- three mid-sized models scheduled to
start production at the southern Italian plant of Melfi from
2025 -- will be made in both fully electric and hybrid versions.
The mood between Stellantis ( STLA ), the parent company of Fiat
and Alfa Romeo, and Italy's right-wing government has
rapidly improved
following this month's abrupt resignation of Stellantis ( STLA ) CEO
Carlos Tavares.
Italian politicians repeatedly accused Tavares of
neglecting historic manufacturing sites in the country and
moving production of new Fiat and Alfa Romeo models abroad.
Stellantis ( STLA ) is the sole major automaker in Italy, where
it employs around 40,000 people.
Automotive output in Italy -- of both passenger cars and
vans -- is
expected to fall
below 500,000 vehicles this year, according to estimates of
FIM-Cisl union, from 751,000 in 2023.
($1 = 0.9517 euros)