Stellantis has committed to building cars at each of its Italian factories until 2032 in a bid to repair its rocky relationship with the nation’s government.
The car-making giant had come under great pressure from the Italian authorities in recent months as, under former chief executive Carlos Tavares, it opted to build Alfa Romeo, Fiat and Lancia models elsewhere in Europe.
Notably, Alfa Romeo renamed its Milano crossover to Junior after the Italian government contended that it should not take the name of an Italian city if it is built in Tychy, Poland.
But following the resignation of Tavares, the company has quickly sought to paper over the cracks in the relationship.
To that end, it has committed to ramping up Italian production from 2026, thanks in part to the launch of several new models. The DS 7, Jeep Compass and Lancia Gamma will begin rolling off the line at Melfi from next year. And two cars underpinned by the upcoming STLA Small platform – possibly the next Peugeot 208 and Vauxhall Corsa – will be produced in Pomigliano.
Alfa Romeo is also considering offering hybrid powertrains for the next-generation Giulia and Stelvio, due to be built in Cassino, to shore up demand.
The Italian government has pledged to invest €1.6 billion (£1.3bn) in Stellantis, of which over €1 billion (£827m) will come next year.
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