Coinspeaker
Stellantis to Unveil First European-made EV in Mid-October
Automobile manufacturer Stellantis NV (BIT: STLAM) is set to unveil its first European-made affordable electric vehicle, the new Citroën e-C3 by mid-October.
According to the Brand Chief Executive Officer (CEO) of Citroën and Stellantis Chief Sales & Marketing Officer Thierry Koskas, the Electric Vehicle (EV) will sell for less than 25,000 euros which is approximately $27,400. With this price, Stellantis is geared towards countering lower-cost Chinese brands arriving in the European market.
Chinese carmakers are usually focused on larger electric vehicles but recently they have started introducing smaller and cheaper models to Europe to gain traction.
In today’s French market, the most affordable EVs are the Chinese-made Renault Dacia Spring and the electric Renault Twingo, priced at 21,000 euros ($22,806) and 25,000 euros respectively. Meanwhile, Twingo will stop production by mid-2024. Compared to these two models, the Citroën e-C3 is a larger city car selling for less or around the same price.
Stellantis has made efforts towards tapping into the EV business which is largely dominated by Chinese manufacturers. So far, it has recorded outstanding results.
Last month, the carmaker announced the addition of nine new battery EVs to its range for 2023. By the end of 2024, Stellantis plans to have a total of 47 battery EVs while Citroën plans to have electrified its total range by the same time. In 2022, Stellantis collaborated with car-hailing service provider Uber Technologies Inc (NYSE: UBER) to take on the electric vehicle market in France.
Stellantis and the EV Subsidy Uncertainty
Ordinarily, EVs are way more expensive than their fossil-fuel counterparts. European car manufacturers always try to come up with cheaper models which are encouraged by government subsidies.
A clear example is France which plans a subsidy for EVs produced in Europe seeing that they have a lower carbon footprint than imported models. There is also an upcoming social leasing program that would offer these EVs to poorer households for about $100.
Information from some sources has hinted at a possible release of this subsidy by October for cars that would be delivered by next year.
The Citroën e-C3 model will have a 320-kilometer range and a 57-minute “fast charge” capability. It is built on Stellantis “smart car” architecture that was launched in India and Latin America. The EVs will be assembled in Slovakia as they get ready for the official launch in the second quarter of next year.
The e-C3 battery will likely be produced in China and this raises the question of whether the Citroën vehicle can be covered by the subsidies, seeing that one of its vital parts is from China. Consistently, China has successfully led the EV market but Volvo Cars CEO Jim Rowan believes that an end has come to that narrative.
