China’s EV Surge, Sluggish Sales: Tough Road Ahead for Stellantis’ New Chief

Here’s a look at few challenges the company faces right now

Market share

Sales have remained weak for quite some time as the world’s fourth-largest automaker lost its market share in the U.S. and Europe.

Dealers across the Atlantic complained about surging prices, thereby putting the vehicles beyond the reach of many customers.

EV transition

Automakers are in a fix following U.S. President Donald Trump’s tough stance against EVs, with many also expecting Europe to slow its adoption of electric vehicles.

Stellantis, which owns Fiat, Peugeot and Jeep has targeted the European passenger car sales to go electric by 2030.

Notably, EV sales have remained muted across the markets. The company has increased its focus on hybrid models as a compromise between the need to reduce carbon emissions and meet customer demand for cheaper vehicles.

Solving the China problem

Interestingly, Stellantis has no significant presence in China, but Chinese automakers have caused a disruption in the EV market, especially with their competitive prices.