Cassino Plant Shutdown: Stellantis Faces Prolonged Challenges

The Stellantis Cassino Assembly Plant in Italy is facing yet another setback as production halts extend into 2025. Initially slated to resume operations on January 15th, inside sources now suggest the plant may remain idle until at least January 27th, possibly even February 3rd.

This prolonged shutdown comes on the heels of a challenging 2024, where the plant saw a staggering 45% drop in deliveries compared to the previous year. The facility, which currently produces the Alfa Romeo Stelvio, Giulia, and Maserati Grecale, is operating at a fraction of its former capacity.

Gennaro D’Avino, Provincial Secretary of Uilm-Uil, bluntly stated the core issue: “The problem is the lack of orders.” This sentiment is echoed by Mirko Marsella of Fim-Cisl, who grimly predicts that “2025 is expected to be worse than 2024.”

The plant’s workforce has already shrunk from about 5,000 employees in 2017 to just 2,500 today. In 2024, workers faced approximately 60 days of production stoppage through Solidarity Contracts, a measure now extended into the first quarter of 2025.

Stellantis isn’t just battling production issues at Cassino. The company has announced temporary shutdowns at other Italian plants, including Termoli and Mirafiori, citing the need to adjust production to current market conditions.

Looking ahead, Stellantis plans to transition the Cassino plant to produce electric and hybrid versions of the Stelvio and Giulia on the STLA Large platform by 2026. However, this future promise does little to alleviate current concerns, especially for the plant’s suppliers. For instance, 32 workers at De Vizia, a cleaning contractor, face potential dismissal by February 1st if quick interventions aren’t made.

As Stellantis grapples with these challenges, the broader Italian automotive sector watches closely. The company’s recent commitment to invest €2 billion ($2.2 billion USD) in Italian production in 2025 offers a glimmer of hope, but for now, the Cassino plant’s struggles serve as a stark reminder of the hurdles facing traditional automakers in an evolving industry landscape.