On Thursday, Big Three automaker Stellantis announced a sweeping \u20ac60 billion ($69.6 billion) revival plan that includes introducing 60 new models this decade.<\/p>\n
Naturally, its New York-listed shares made only limited gains through the end of the week, while rival Ford, which didn\u2019t make any major announcements, rose 9.2%. Wait, what? Shift into reverse gear for a moment.<\/p>\n
Markets and Models<\/p>\n
Stellantis reported a $26 billion loss last year related to its retreat<\/a> from electric vehicles while also marking<\/a> its unlucky seventh year in a row of declining sales. That\u2019s left investors looking to new-ish CEO Antonio Filosa, whose appointment was announced almost a year ago, for a turnaround plan.<\/p>\n At an announcement last week, Stellantis executives said 70% of investments over the next five years will go into the tanks of its high-profile Fiat, Jeep, Peugeot and Ram brands, and commercial vehicle division Pro One, which have \u201cthe highest potential for profitability.\u201d The plan appears designed to address Stellantis\u2019 patchwork evolution: The company formed out of a 2021 merger between France\u2019s PSA Group and Fiat Chrysler, itself the product<\/a> of a 2014 merger between Italian and US automakers. Different markets will have different goals, depending on demand and growth prospects. The company\u2019s US brands, for example, will debut 11 new models and update a dozen more, and aim for a 35% sales increase in North America. Affordability will be a key focus, with nine vehicles priced under $40,000, including two Chryslers under $30,000. In Europe, the growth target is just 15%. Which doesn\u2019t answer the question: What got people so excited about Ford?<\/p>\n Earlier this month, Ford announced the launch of an energy subsidiary<\/a>, including the redeployment of EV lithium-ion battery capacity to building energy storage systems for US data centers and utilities. Last week, a North American<\/a> unit of French electricity giant EDF Group signed on as its first customer.<\/p>\n General Motors is pursuing<\/a> a similar line of business, and Tesla has had an energy business<\/a> for years. Stellantis, meanwhile, agreed<\/a> earlier this year to sell its stake in a Canadian battery plant to LG Energy Solution.<\/p>\n Too Great Expectations: Against that backdrop, it\u2019s not hard to understand the muted reaction to Stellantis, whose Paris-listed shares fell 1.7% the day the turnaround plan was announced, then gained 3% Friday. Its growth goals are ambitious, given analysts expect global auto sales to rise only slightly in the coming years. Roland Berger estimates<\/a> they will climb an average 1.1% annually to 2040, and that North America, Europe and Japan are near \u201cpeak auto.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"On Thursday, Big Three automaker Stellantis announced a sweeping \u20ac60 billion ($69.6 billion) revival plan that includes introducing…\n","protected":false},"author":2,"featured_media":23333,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13129],"tags":[13141,14017,17228,572,12893,14071,12112,6190],"class_list":["post-23332","post","type-post","status-publish","format-standard","has-post-thumbnail","category-stellantis","tag-automakers","tag-batteries","tag-big-3-automakers","tag-data-centers","tag-ford","tag-gm","tag-stellantis","tag-tesla"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/posts\/23332","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/comments?post=23332"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/posts\/23332\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/media\/23333"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/media?parent=23332"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/categories?post=23332"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/france\/wp-json\/wp\/v2\/tags?post=23332"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}