Stellantis’ Chairman Calls for Affordable ‘E Cars’ in Europe

Stellantis Chairman John Elkann, speaking at the Automotive News Europe conference in Turin, has urged Europe to adopt a class of small, cost‑effective vehicles similar to Japan’s popular “kei cars”—coining the term “e car” as the European equivalent. Kei cars account for approximately 40% of Japan’s auto market and benefit from tax breaks and lower insurance premiums thanks to strict size and engine regulations.

Elkann highlighted Europe’s dwindling supply of affordable cars: in 2019, there were 49 models priced under €15,000 (about $17,400 USD), but today that number has fallen to just one, with annual sales dropping from one million units to under 100,000. He attributed the steep price increases mainly to regulatory compliance costs, asserting that engineering teams spend over a quarter of their time on it, “with no value added.”

Alongside Renault CEO Luca de Meo, Elkann has called on EU regulators to lighten the burden on smaller cars, which currently must carry the same costly safety and telematics systems required on larger vehicles, even if those features offer little benefit for short city trips.

Elkann also pointed to Stellantis’ historic Fiat heritage—ranging from the Topolino to the iconic 500 and 600—as proof that affordable small cars can flourish in Europe. He emphasized that Stellantis’ incoming CEO, Antonio Filosa, who has led operations across South America and North America, is well-positioned to guide the company through region‑focused strategies amid evolving political and regulatory environments.

Source: Automotive News