Stellantis to invest €30-billion-plus in electrification, software development

17th August 2021 By: Irma Venter - Creamer Media Senior Deputy Editor

Stellantis to invest €30-billion-plus in electrification, software development

Stellantis, the manufacturer and owner of the Jeep, Peugeot, Opel, Alfa, Fiat and Citroën brands, says its low-emission vehicle (LEV) mix for passenger cars in Europe is targeted to grow to more than 70% through to 2030.

In the US, its LEV mix for passenger cars and light-duty trucks is expected to be more than 40% by 2030.

To execute this electrification strategy, Stellantis plans to invest more than €30-billion through 2025 in electrification and software development, including equity investments made in joint ventures.

The company says it remains committed to growing its commercial vehicle leadership in Europe and to strengthen its position in North America, while aiming to be the global leader in electric commercial vehicles. 

Stellantis says its commercial vehicle electrification rollout will extend to all products and all regions over the next three years, including the delivery of hydrogen fuel-cell medium-sized vans by the end of the year.

The Stellantis electrification roadmap also encompasses the entire value chain. 

The company’s EV battery sourcing strategy is to secure more than 130 gigawatt hours (GWh) of capacity by 2025 and more than 260 GWh by 2030.

Stellantis’ EV battery and component needs will be met by five gigafactories in Europe and North America, completed with additional supply contracts and partnerships to support total demand.

Stellantis has signed memoranda of understanding with two lithium geothermal brine process partners in North America and Europe to ensure a sustainable supply of lithium, identified as the most critical battery raw material with regard to availability.

In addition to sourcing strategies, Stellantis says its technical expertise and manufacturing synergies should drive battery costs lower. 

Electric vehicle battery pack costs are targeted to be reduced by more than 40% from 2020 to 2024, and by more than an additional 20% by 2030. 

All aspects of the battery pack play a role in reducing the costs – optimising the overall pack, simplifying the format of the modules, increasing the size of the battery cells and upgrading the battery chemistry.

The vehicle manufacturer adds that it intends to maximise the full value of the battery life cycle through repair, remanufacturing, second-life use and recycling.

Stellantis notes that it aims for the total cost of ownership of EVs to be equivalent to internal combustion engine vehicles by 2026.

It says its battery electric vehicles will deliver ranges of between 500 km and 800 km, with a fast charging capability of 32 km a minute.

Stellantis says the following statements express some of its brands’ electrification approaches:

Alfa Romeo – “From 2024, Alfa Becomes Alfa e-Romeo”

Citroën – “Citroën Electric: Well-Being for All!”

Fiat – “It’s Only Green When It’s Green for All”

Jeep – “Zero Emission Freedom”

Maserati – “The Best in Performance Luxury, Electrified”

Opel – “Green is the New Cool”

Peugeot – “Turning Sustainable Mobility into Quality Time”

Commercial Vehicles – “The Global Leader in e-Commercial Vehicles”