Stellantis CEO Pushes EU To Step Up and Save Europe’s Auto Industry

Europe’s auto industry is at a breaking point, according to Stellantis’ new CEO, Antonio Filosa. Just weeks into his new role, Filosa is publicly urging the European Union (EU) to take swift action to keep car production alive in the region, saying current emission rules are unrealistic and risk driving automakers—and affordable small cars—out of the market.

In interviews with Il Sole 24 Ore in Italy and Les Echos in France, Filosa made it clear that without regulatory relief, car sales will continue to slide. “Volumes in Italy will arrive, if European rules change, thanks to new launches,” he told Il Sole 24 Ore, pointing to upcoming production of the Jeep® Compass (J4U) at Stellantis’ Melfi Assembly Plant and the hybrid Fiat 500 Ibrida in Mirafiori.

Filosa, 52, took over the top job in June after the ouster of former CEO Carlos Tavares. A native of Naples, Italy, and a longtime protégé of the late Fiat Chrysler CEO Sergio Marchionne, Filosa has been tasked with reviving Stellantis at a time when it’s facing tough battles on both sides of the Atlantic.

Pressures From All Directions – 

In Europe, the primary challenge is a surge of low-cost vehicles from China, led by brands such as BYD. These rivals are capitalizing on overcapacity in their domestic market while offering competitive pricing in Europe. At the same time, EU climate rules are pushing automakers to electrify faster than the market is ready to adopt.

“The auto industry is contracting under the weight of EU regulation, and it’s very worrying at a time of glaring overcapacity in China,” Filosa told Les Echos. He warned that small cars—long the backbone of European brands like Fiat—are becoming more expensive to build because of the regulatory push, which drives up costs and squeezes consumers.

Across the Atlantic, Stellantis is also feeling pain from the U.S. market, where President Donald Trump’s tariffs are raising costs and snarling supply chains. Reuters recently reported that Stellantis has been forced to rethink its strategy in North America while trying to defend its turf in Europe.

Maserati and Alfa Romeo Safe—For Now – 

Despite speculation, Filosa was firm that Stellantis isn’t looking to sell off Maserati or Alfa Romeo. “I want to say clearly that Maserati is not for sale, but we need to understand which products to develop and which long-term strategy to adopt for one of our most iconic brands,” he told Il Sole 24 Ore.

To help refine that strategy, Stellantis has hired consultants from McKinsey & Co. The move highlights how seriously the automaker is evaluating the future of its premium Italian marques.

A Call to Brussels – 

For now, Filosa says Stellantis will stick to its existing investment commitments in Italy and France, but he stressed that Europe’s policymakers must act quickly. Without more flexible rules, he argues, automakers may have no choice but to scale back or even shut down plants in the coming years.

Whether Brussels listens will be critical—not just for Stellantis, but for the future of Europe’s auto industry.

Source: Bloomberg and Reuters