Stellantis (NYSE: STLA) and Dongfeng Group signed a strategic cooperation agreement to expand their 34-year partnership via shared production at the DPCA joint venture in Wuhan.
DPCA is expected from 2027 to build two new Peugeot new energy vehicles and two Jeep off-road new energy vehicles for China and global export, supported by a project investment over 8 billion CNY (about 1 billion euros), with Stellantis contributing about 130 million euros, and a separate non-binding strategic MoU to deepen cooperation.
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AI-generated analysis. Not financial advice.
Positive
Joint project investment over 8 billion CNY (≈1 billion euros)
Stellantis expected capital contribution of about 130 million euros
DPCA to build two Peugeot new energy vehicles from 2027
DPCA to build two Jeep off-road new energy vehicles from 2027
Expanded global export role for Wuhan DPCA plant
Non-binding MoU aims to leverage combined scale and R&D
Negative
Project execution subject to customary conditions and approvals
Strategic MoU is non-binding, leaving terms to be finalized
Implementation depends on future economic and operational agreements
Partnership duration
34 years
Length of Stellantis–Dongfeng relationship
Peugeot NEV models
2 models
All-new Peugeot-branded new energy vehicles planned at DPCA Wuhan
Jeep NEV models
2 models
Jeep-branded off-road new energy vehicles planned at DPCA Wuhan
Production start year
2027
Initial production timing for Peugeot and Jeep new energy vehicles
Combined project investment
Over 8 billion CNY
Total investment for Wuhan new energy vehicle project
Project investment (EUR)
Approximately 1 billion euros
Approximate euro value of combined project investment
Stellantis contribution
Approximately 130 million euros
Expected Stellantis share of the project investment
Beijing Auto Show
2026
Concept cars that inspired the planned Peugeot designs
$7.60
Last Close
Volume
Volume 14,247,789 is below 20-day average 17,415,536 (relative volume 0.82x) ahead of this news.
normal
Technical
Shares at $7.84 are trading below the 200-day MA at $9.29 and about 35.84% under the 52-week high.
STLA was up 3.16% pre-release while peers were mixed: F +5.31%, HMC +2.8%, XPEV +1.26%, RIVN +1.89%, LI −1.98%. Scanner data shows no coordinated sector momentum.
Date
Event
Sentiment
Move
Catalyst
May 08
EV partnership expansion
Positive
+3.5%
Plan to deepen Leapmotor BEV partnership and expand European production.
Mar 17
Sports marketing deal
Positive
+2.1%
Ram named official truck partner for multiple Thrill Sports properties.
Mar 03
Retail campaign tie-in
Positive
-1.8%
Declaration of Deals retail campaign linked to America250 partnership.
Feb 19
Motorsport partnership
Positive
-4.2%
Dodge TSR NHRA return with Leah Pruett and Matt Hagan collaboration.
Feb 05
Racing & retail tie-up
Positive
-6.7%
Jeep partnership with Casey Currie plus Mopar accessories agreement.
Pattern Detected
Recent partnership headlines produced mixed reactions: some marketing and strategic deals drew gains, while others coincided with notable declines, with an overall slightly negative average move.
Recent Company History
Over recent months, Stellantis has used partnerships to support its transition and brand positioning. Deals ranged from expanding the Leapmotor BEV alliance in Europe to sports and motorsports collaborations for Ram, Jeep and Dodge, plus accessory and retail tie‑ups. Price reactions around these 5 partnership announcements varied from gains above 3% to declines greater than 6%, indicating that similar news has not produced a consistent market response, even when strategically positive.
-1.4%
Average Historical Move
partnership
In the past five partnership headlines, STLA’s average move was -1.43%, with both gains and sizable selloffs, underscoring historically uneven market reactions to similar announcements.
Partnerships have evolved from sports and motorsports marketing and accessory deals to deeper EV manufacturing alliances, including Leapmotor in Europe and now expanded joint production with Dongfeng in China.
This announcement underscores Stellantis’ intent to deepen its 34-year partnership with Dongfeng by allocating over 8 billion CNY of investment to launch Peugeot and Jeep new energy vehicles from 2027. Set against recent partnership activity and a gradual financial recovery from the 2025 loss, the deal highlights a push into Chinese and export EV markets. Investors may watch future filings for project milestones, capital deployment details and how this JV supports margins and cash flow.
joint venture
financial
“by reinforcing their DPCA joint venture DPCA expected to produce in China”
A joint venture is when two or more companies team up to work on a specific project or business idea, sharing both the risks and the rewards. It’s like friends starting a lemonade stand together—each contributes resources and they split the profits, making it easier to succeed than going alone.
memorandum of understanding
regulatory
“also enter into a non-binding strategic MoU to strengthen even further”
A memorandum of understanding (MOU) is a formal agreement between two or more parties that outlines their shared intentions and plans to work together. It acts like a handshake in writing, clarifying each side’s roles and expectations before any official contract is signed. For investors, an MOU signals that parties are serious about collaboration, which can influence future business opportunities and potential growth.
new energy vehicles
technical
“two all-new Peugeot-branded new energy vehicles, from 2027”
New energy vehicles are cars and light trucks that use electricity or alternative fuels instead of relying only on gasoline or diesel, including battery electric vehicles, plug-in hybrids, and hydrogen fuel-cell models. Investors watch them because they signal shifts in consumer demand, regulation, and supply chains—like swapping an old phone for a smart one—and that shift can change sales, raw-material needs, and company valuations across automakers, battery makers, and component suppliers.
forward-looking statements
regulatory
“Stellantis Forward-Looking Statements This communication contains forward-looking statements.”
Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company’s outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.
AI-generated analysis. Not financial advice.
05/15/2026 – 12:04 AM
Stellantis and Dongfeng Strengthen Their
Historic Partnership in China and Beyond
Building on their long-standing relationship, Stellantis and Dongfeng Group open a new chapter of their strategic partnership by reinforcing their DPCA joint venture DPCA expected to produce in China all-new Peugeot and Jeep® models for the Chinese market and for export Stellantis and Dongfeng Group also enter into a non-binding strategic MoU to strengthen even further their cooperation
AMSTERDAM and WUHAN, May 15, 2026 – Stellantis and Dongfeng Group today announced the signing of a strategic cooperation agreement to expand their 34-year partnership through shared production of Peugeot and Jeep® vehicles in China for the Chinese market and for sales worldwide. Stellantis and Dongfeng Group also signed a non-binding strategic MoU to further strengthen their cooperation by leveraging the two parties’ scale, expertise, and R&D capabilities in the industry.
Under today’s strategic cooperation agreement, and subject to required approvals and finalization of the relevant implementation agreements, the Dongfeng Peugeot Citroën Automobile Co., Ltd (“DPCA”) joint venture is expected to produce at its Wuhan plant initially two all-new Peugeot-branded new energy vehicles, from 2027. These will be based on the latest design language of the all-new concept cars unveiled by Peugeot at the 2026 Beijing Auto Show. These products are intended for China and the export to global markets as part of Peugeot’s international growth plan.
The plan also includes the production at DPCA’s Wuhan plant of initially two Jeep®-branded off-road new energy vehicles for global markets, starting in 2027.
Powered by the favorable automotive industrial policies of the Hubei province and the Wuhan municipality, the project corresponds to a combined investment of over 8 billion Chinese Yuan (approximately 1 billion euros), of which Stellantis is expected to contribute approximately 130 million euros.
“With a track record of more than 30 years of collaboration and shared automotive expertise, Stellantis and Dongfeng are ready to further leverage their strengths and introduce all-new vehicles with cutting-edge EV technologies from brands that customers worldwide trust and love,” said Antonio Filosa, Stellantis CEO. “We look forward to this project and to collaborate even more in the future.”
“Dongfeng Motor has always taken the transformation and revitalization of Dongfeng Peugeot Citroën Automobile Co., Ltd. (DPCA) as a key strategic priority, fully supporting and advancing its sustainable development. Through the signing of this strategic cooperation, by integrating Hubei’s industrial strengths, Stellantis’ global layout advantages and Dongfeng’s intelligent electric vehicle technologies, a new path featuring complementary strengths and win-win outcomes for all parties has been forged. This will undoubtedly inject strong momentum into DPCA’s transformation,” said Qing YANG, Dongfeng Group Chairman.
The implementation of the project is subject to the execution of the relevant implementation agreements, including economic and operational principles, and the satisfaction of customary conditions and approvals.
# # #
About Stellantis
Stellantis (NYSE: STLA / Euronext Milan: STLAM / Euronext Paris: STLAP) is a leading global automaker, dedicated to giving its customers the freedom to choose the way they move, embracing the latest technologies and creating value for all its stakeholders. Its unique portfolio of iconic and innovative brands includes Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, FIAT, Jeep®, Lancia, Maserati, Opel, Peugeot, Ram, Vauxhall, Free2move and Leasys. For more information, visit www.stellantis.com
@Stellantis
Stellantis
Stellantis
Stellantis
For more information, contact:
Fernão SILVEIRA +31 6 43 25 43 41 – fernao.silveira@stellantis.com
communications@stellantis.com
www.stellantis.com
Stellantis Forward-Looking Statements
This communication contains forward-looking statements. In particular, statements regarding future events and anticipated results of operations, business strategies, the anticipated benefits of the proposed transaction, future financial and operating results, the anticipated closing date for the proposed transaction and other anticipated aspects of our operations or operating results are forward-looking statements. These statements may include terms such as “may”, “will”, “expect”, “could”, “should”, “intend”, “estimate”, “anticipate”, “believe”, “remain”, “on track”, “design”, “target”, “objective”, “goal”, “forecast”, “projection”, “outlook”, “prospects”, “plan”, or similar terms. Forward-looking statements are not guarantees of future performance. Rather, they are based on Stellantis’ current state of knowledge, future expectations and projections about future events and are by their nature, subject to inherent risks and uncertainties. They relate to events and depend on circumstances that may or may not occur or exist in the future and, as such, undue reliance should not be placed on them. There can be no assurance that the contemplated transactions will be completed or that the expected scope or timing will be achieved.
Actual results may differ materially from those expressed in forward-looking statements as a result of a variety of factors, including: the ability of Stellantis to launch new products successfully and to maintain vehicle shipment volumes; changes in the global financial markets, general economic environment and changes in demand for automotive products, which is subject to cyclicality; Stellantis’ ability to successfully manage the industry-wide transition from internal combustion engines to full electrification; Stellantis’ ability to offer innovative, attractive products and to develop, manufacture and sell vehicles with advanced features including enhanced electrification, connectivity and autonomous-driving characteristics; Stellantis’ ability to produce or procure electric batteries with competitive performance, cost and at required volumes; Stellantis’ ability to successfully launch new businesses and integrate acquisitions; a significant malfunction, disruption or security breach compromising information technology systems or the electronic control systems contained in Stellantis’ vehicles; exchange rate fluctuations, interest rate changes, credit risk and other market risks; increases in costs, disruptions of supply or shortages of raw materials, parts, components and systems used in Stellantis’ vehicles; changes in local economic and political conditions; changes in trade policy, the imposition of global and regional tariffs or tariffs targeted to the automotive industry, the enactment of tax reforms or other changes in tax laws and regulations; the level of governmental economic incentives available to support the adoption of battery electric vehicles; the impact of increasingly stringent regulations regarding fuel efficiency requirements and reduced greenhouse gas and tailpipe emissions; various types of claims, lawsuits, governmental investigations and other contingencies, including product liability and warranty claims and environmental claims, investigations and lawsuits; material operating expenditures in relation to compliance with environmental, health and safety regulations; the level of competition in the automotive industry, which may increase due to consolidation and new entrants; Stellantis’ ability to attract and retain experienced management and employees; exposure to shortfalls in the funding of Stellantis’ defined benefit pension plans; Stellantis’ ability to provide or arrange for access to adequate financing for dealers and retail customers and associated risks related to the operations of financial services companies; Stellantis’ ability to access funding to execute its business plan; Stellantis’ ability to realize anticipated benefits from joint venture arrangements; disruptions arising from political, social and economic instability; risks associated with Stellantis’ relationships with employees, dealers and suppliers; Stellantis’ ability to maintain effective internal controls over financial reporting; developments in labor and industrial relations and developments in applicable labor laws; earthquakes or other disasters; risks and other items described in Stellantis’ Annual Report on Form 20-F for the year ended December 31, 2025 and Current Reports on Form 6-K and amendments thereto filed with the SEC; and other risks and uncertainties.
Any forward-looking statements contained in this communication speak only as of the date of this document and Stellantis disclaims any obligation to update or revise publicly forward-looking statements. Further information concerning Stellantis and its businesses, including factors that could materially affect Stellantis’ financial results, is included in Stellantis’ reports and filings with the U.S. Securities and Exchange Commission and AFM.
EN-20260515-Stellantis-Dongfeng-Strengthen-Partnership
FAQ
What did Stellantis (STLA) and Dongfeng announce on May 15, 2026?
Stellantis and Dongfeng announced a strategic cooperation agreement to expand their 34-year partnership through shared production of Peugeot and Jeep new energy vehicles at the DPCA joint venture in Wuhan, plus a non-binding strategic MoU to deepen broader collaboration.
How much will Stellantis and Dongfeng invest in the new DPCA project in China?
The project corresponds to a combined investment of over 8 billion Chinese Yuan, approximately 1 billion euros. According to Stellantis, it expects to contribute about 130 million euros, with support from favorable Hubei and Wuhan automotive industrial policies.
What vehicles will DPCA produce under the Stellantis (STLA) and Dongfeng agreement?
DPCA is expected to produce two all-new Peugeot-branded new energy vehicles and two Jeep-branded off-road new energy vehicles. According to Stellantis, production at the Wuhan plant is planned to start in 2027 for China and global export.
When will Stellantis and Dongfeng start producing new Peugeot and Jeep EVs in Wuhan?
Production is expected to start in 2027 at the DPCA Wuhan plant. According to Stellantis, initial output will include two Peugeot new energy models and two Jeep off-road new energy vehicles for Chinese and global markets.
What is the strategic importance of the Stellantis (STLA) and Dongfeng MoU for investors?
The non-binding MoU aims to further strengthen cooperation by leveraging both groups’ scale, expertise and R&D. According to Stellantis, it could support DPCA’s transformation and expand global reach for Peugeot and Jeep-branded new energy vehicles.
Is the Stellantis and Dongfeng Wuhan production project already fully approved?
No, the project implementation remains subject to execution of detailed implementation agreements and customary approvals. According to Stellantis, economic and operational principles still need to be finalized before the planned 2027 production ramp-up.