MILAN (Reuters) -Stellantis will start making dual-clutch transmissions for hybrid vehicles also in Termoli, Southern Italy, two sources said, in a move that could provide an alternative strategy for a facility that was due to turn to EV battery production.

Termoli's engine making plant in one of the sites where Stellantis-led joint venture ACC planned to build one of its three EV battery-making plants in Europe.

But while a gigafactory in France has already started operations and investments continue for its development, plans for two similar facilities in Italy and Germany were officially paused last year, as ACC was switching to lower cost batteries amid slowing demand for electric vehicles (EV).

Stellantis will produce electrified dual clutch transmissions (eDCT), a key component for hybrid vehicles, in Termoli to expand its offering of this kind of vehicles, the two sources told Reuters on Monday.

The automaker already makes eDCT in Mirafiori, Italy, and Metz, France.

ACC has not yet taken any final decision about its planned gigafactories in Italy and Germany, the sources added.

(Reporting by Giulio Piovaccari, editing by Cristina Carlevaro and Valentina Za)