Stellantis CEO’s Firm Stand: No More Buying Credits, Goodbye HEMI V8s

Stellantis Will No Longer "Buy A Single Credit"...

In a bold move reflecting a significant shift in strategy, Stellantis CEO Carlos Tavares has declared an end to the era of purchasing emissions credits, a decision with far-reaching implications for the company’s iconic HEMI V8 engines.

For years, Stellantis, formerly Fiat Chrysler Automobiles (FCA), relied on buying emissions credits from Tesla to meet regulatory standards and avoid hefty fines. However, Tavares has drawn a line in the sand, stating that Stellantis will no longer “buy a single credit.” This signals a new direction for the company, one where it aims to self-regulate and accelerate its electric vehicle (EV) transition.

Stellantis CEO, Carlos Tavares and French President Emmanuel Macron at the Paris Motor Show. (Stellantis).

Speaking on the matter, Dodge // Ram CEO Tim Kuniskis emphasized Tavares’ unwavering stance during a recent interview, stating, “It’s not even a topic of discussion. We don’t buy credits, we’re not buying credits, we’re not going to do that.” Kuniskis highlighted the pressure this places on Stellantis to make tough decisions and adapt its plans dynamically, with monthly adjustments based on compliance trajectories.

“This is a game-changer for us. Not having that mental safety blanket really forces you to self-regulate; it forces you to make the tough calls,” Kuniskis added. “We literally adjust our plans on a monthly basis based on where we see the trajectory of compliance.”

2023 Dodge Challenger R/T Scat Pack 1320 in Plum Crazy. (Dodge).

The financial impact of this decision is substantial. Stellantis has been a significant buyer of Tesla’s emissions credits. Automotive News reports that Tesla made nearly $9 billion from selling such credits to other automakers, including FCA, over the last few years. This move from purchasing credits represents a fundamental shift in Stellantis’ financial strategy.

This seismic shift directly affects Chrysler, Dodge, Jeep®, and Ram enthusiasts, particularly those enamored with the legendary HEMI V8 engines. Kuniskis noted that without the fallback of purchasing credits, Stellantis has been compelled to reassess its powertrain strategy, leading to the discontinuation of the beloved HEMI V8 in favor of cleaner, more efficient alternatives like the Hurricane family.

2023 Ram 1500 Rebel Lunar Edition Crew Cab 4×4. (Ram).

“The decision to drop the HEMI engine wasn’t easy. We understand the emotional connection our customers have with it. But we have to move forward, and that means embracing new technologies,” Kuniskis explained.

“Ram is a good example of that,” Kuniskis continued. “We would still be selling and building the ancient iron block HEMI V8 that everyone loved. Knowing we are going into this environment forced us into a space where we had to develop a whole new powertrain strategy.”

2023 Chrysler 300C Limited Edition in Velvet Red. (Chrysler).

Yet, questions linger about the feasibility of solely relying on EVs to offset V8 production, especially amidst sluggish EV sales and shifting market dynamics. Competitors like Ford, which opted to continue V8 production, and General Motors (GM), which invested $918 million into a new V8 and is reevaluating its EV strategy, added complexity to the landscape.

Indeed, Stellantis finds itself at a pivotal juncture, with Tavares’ resolute stance setting the tone for the company’s future trajectory. As Kuniskis hinted, Stellantis’s strategy remains fluid, subject to ongoing evaluation and adaptation, perhaps even influenced by broader geopolitical factors such as the outcome of the U.S. Presidential Election.

2023 Jeep® Grand Cherokee L Summit Reserve. (Jeep).

According to sources close to MoparInsiders.com, the HEMI engine won’t be totally gone from the Stellantis portfolio. The current 6.4-liter HEMI® V8 in the Ram Heavy Duty trucks will remain as the lone HEMI option.

Robert S. Miller

Robert S. Miller is a diehard Mopar enthusiast who lives and breathes all that is Mopar. The Michigander is not only the Editor for MoparInsiders.com, 5thGenRams.com, and HDRams.com but an automotive photographer. He is an avid fan of offshore powerboat racing, which he travels the country to take part in.

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That I know of, no government agency, rules, or regulation require an automaker to produce a two-door coupe with a battery electric power-train and weighing three tons. No automaker is required to install a French designed hybrid transmission, which if installed in vehicles sold here in America will likely be a replay of the DDCT and Ultra-Drive debacles.

Note to Stellantis management: CAFE is based a vehicle sales averages. You must first sell an EV before it helps your cause. While the Charger is NOT an ugly eyesore like the Ford Mustang Mock-e, are you sure consumers want an expensive, overweight and overly complicated car. Trying to copy Tesla will fail.

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Why not a smaller aluminum block v8? I'm sure there's some way to make it carbon neutral.

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I’d be down for a smaller displacement V8 with PHEV tech.

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Stellantis management is doing the same thing FCA did! not understanding the American market, FCA tried to push Alfa/Maserati and fiat on the American market to what success? really none! as the 300 alone! almost outsold all those brands vehicles alone in the USA! every year! what a waste of $capital! that came from where? mostly the American Brands! On another note?-It's a funny thing but Daimler seem to get the American USA market better than both FCA, and later Stellantis, but Sadly they just milked, and dragged, Chrysler etc. along for a while then dumped it! but Damn! the Chrysler brand had 7 vehicles under them! and they kept Chrysler in its beginning luxury status! (except for that mistake called the PT cruiser which was a Plymouth!) Daimler also gave us the return of the Charger, and the Magnum, and the Hemi motor return! So then here comes Fiat to the rescue later, with secured USA GOV. loans$ after the Cerberus Capital Management ownership disaster! and they form FCA. Later FCA goes JEEP Vehicle crazy! and yes still Pushes money making Dodge trucks Which they Then take from Dodge and call Ram, ( but the Dodge Brothers Started with Trucks!!!! HMMMM?) FCA then systematically discards Chrysler to the let em Die dump! which the new CEO and leader of the Chrysler Brand-Christine Feuell under Stellantis has said FCA did indeed DO!!!! Ok now back to Stellantis management and their Decisions? no Hemi for the new Ram 1500???? STUPID! they will lose tons of sales to FORD, GM, Toyota, and Nissan's light duty 1500's! as they still all have a V8! So? all you offer in your bread and butter new Ram 1500! is a 6????? and it's turbo charged. I run a Landscape Co. and we use Ram Tradesman V8 1500's, we and tons of other people will never get the 6!! When these 2018's 1500's we have get too old. We don't use, or need, heavy duty 2500's or 3500's rams as we don't plow, or carry very heavy things, or pull very heavy trailers, It's sad because we love our Rams! Who made this decision? The leaders in the Chrysler Building in Auburn Hills Michigan? or the French, and Italian, TOP Bosses!! in the Stellantis Amsterdam HQ. HMMMMMMM???? And Who decided to make Chrysler brand vehicles to be all BEV? by 2028 another Mistake! at least give Chrysler the damn hurricane 6 ice engine! as an option in their upcoming stuff ( if it ever gets here?) but again it's another Micro managed decision over the 2nd tier leaders in Auburn Hills. ( note to Stellantis This is not Europe! ) I know Bev is coming more, and more, but a new engineered V8! based on the hurricane 6 tech could of been done! they had plenty of time! and the Know How! You cant force feed the USA!!!!!!! -( Can someone say the Metric system! ) I'm a Mopar guy but sadly it's really mostly gone! Another stupid example-The Dodge Hornet! It ain't really a Dodge! it's new and it's sales are tanking already! it's a damn Alfa! And hell! another thing!-they even disbanded and split up the SRT engineering group engineers for what?? another micro managing decision! Stellantis Amsterdam management in Europe does not get Americans or even respect the brand history! They hyped the Charger bev for over a year! dropped the Challenger! which just gave Ford a smile!!!!!!!! and then gave us a heavy 3ton 2 door Charger, slow ass car that will cost you $$$$big and use extra gimmicks to sell! It's like the tuners putting loud mufflers on 4 cylinders! all show not much go for the money! I hate Chrysler's old leader Robert Eaton more everyday now :ROFLMAO: he caused this Crap! from the start! by selling out Chrysler and the USA! Just my take! I'm a pissed OLD MAN!

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Why not a smaller aluminum block v8? I'm sure there's some way to make it carbon neutral.

It exists and is underpowered compared to the Hurricane and expensive

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