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Stellantis Invest In The Transformation Of Its Industrial Presence In Italy!

For The Development Of A Sustainable Business...

Stellantis has announced two major new initiatives regarding its industrial presence in Italy, aimed at supporting ambitious decarbonization goals and advancing the transformation of the global electrification value chain.

Stellantis and its joint venture partner, Punch Powertrain, have entered into a new agreement to increase the production of next-generation electrified dual-clutch (eDCT) transmissions for Stellantis’ hybrid and plug-in electric hybrid (PHEV) vehicles. The agreement aims to satisfy the growing demand for electric cars and to achieve the important objectives presented in the Dare Forward 2030 strategic plan. The upgraded plant will be located in the Mirafiori complex in Turin, Italy, and will complement the current production capacity in Metz, France.

Stellantis Mirafiori Assembly Complex in Turin, Italy. (Stellantis).

The automaker also announced that the Mirafiori district will host its main Hub for the Circular Economy. The plant will begin operating with three activities designed to increase production sustainability: remanufacturing of components, reconditioning, and dismantling of vehicles. The goal is to further expand globally. This initiative is based on the skills currently held by the company and represents a further important step in the implementation of the strategic plan for the Circular Economy business unit of Stellantis. The latter aims to quadruple the revenues deriving from the extension of the useful life of components and services and to increase the revenues obtained from recycling by 10 times, compared to 2021, by 2030.

“Today’s announcements highlight both our commitment to Italy and our ability to make responsible decisions to anticipate the impending global change in our industry, as we strive to achieve our Dare Forward 2030 goals,” said Carlos Tavares, CEO of Stellantis. “I am very grateful to everyone who participated in the definition and implementation of these plans to become a sustainable mobility technology company with the bold goal of becoming carbon-neutral compared to the competition.”

Increased eDCT Production – 

Stellantis eDCT transmission. (Stellantis).

The 50% joint venture between Stellantis and Punch Powertrain, called e-Transmissions Assembly, manufactures and supplies innovative eDCTs for the company’s new generation of hybrid and PHEV models. Its contribution will help Stellantis further electrify its brand portfolio with clean, safe, and affordable solutions.

The start of production of the new e-Transmissions Assembly site in Mirafiori is scheduled for the H2 of 2024. When fully operational, the Mirafiori and Metz plants in France will be suppliers to all Stellantis production plants in Europe.

Launch of the Main HUB for the Company’s Circular Economy – 

Stellantis Mirafiori Assembly Complex in Turin, Italy. (Stellantis).

Stellantis’ Circular Economy business unit is one of the seven gradual growth organizational units announced in the Dare Forward 2030 plan. Its 360 ° business is based on the 4R strategy: repair, reuse, remanufacture and recycle. As an independent business unit, it will generate revenues of over €2 billion in 2030.

Today’s announcement confirms that the main global hub for the Circular Economy will be launched in 2023 in the Mirafiori district. The transaction will allow the expansion of Stellantis’ current activities and support the “cradle-to-cradle” business model in Europe. Announcements supporting Stellantis globally will follow.

Commitment to the Company’s Italian Roots – 

Stellantis Mirafiori Assembly Complex in Turin, Italy. (Stellantis).

During a meeting held in March 2022 with the Piedmont Region, the Municipality of Turin, and the Turin Industrial Association, Stellantis reaffirmed its constant commitment to Italy to improve its performance. Attention was paid in particular to the Piedmont Region, to enhance the “Turin Manufacturing District”, of which both plants would be part. The Turin Manufacturing District is a vehicle manufacturing hub, the center of electrification engineering, and the heart of the design of iconic Italian brands.

Additional initiatives to support this commitment and to accelerate Stellantis’ transformation towards global electrification include:

  • The Melfi plant and the Sochaux plant in France will host the new electric platform called STLA Medium, designed specifically for the battery electric vehicle (BEV) market with a high level of flexibility and an expected range of up to 700 kilometers (440 miles). 
  • Automotive Cells Company (ACC), of which Stellantis is a partner with a 33% stake, intends to build a third European plant for the production of battery cells in Termoli. The operation will be based on the conversion of an existing Stellantis plant and will aim to support the production of batteries for electric vehicles.
  • Progressive electrification is in the progress of all Italian plants for the production of new electric or low-emission models.

In the last four years, Stellantis has invested over €5 billion in Italian activities for the construction of new products and production sites. The company also deals with training with the aim of retraining and improving the skills of its employees. For this reason, the fruitful collaboration with the Polytechnic of Turin will continue, which has led to the creation of a sustainable mobility and design campus within the Mirafiori area.

Source: Stellantis

Robert S. Miller

Robert S. Miller is a diehard Mopar enthusiast who lives and breathes all that is Mopar. The Michigander is not only a Co-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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Stellantis management (the PSA side) had a hissy fit because Aisin wouldn't let them build the hybrid 8-speed transaxle under license. So this is why they are going all out on the e-DCT unit. It's all about cost.

The particular Aisin unit comes in conventional and hybrid versions. The Hybrid version replaces the torque converter with an electric motor and clutch setup. The legacy PSA hybrids still use the Aisin transaxle, but they will be replaced by the e-DCT.

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Stellantis management (the PSA side) had a hissy fit because Aisin wouldn't let them build the hybrid 8-speed transaxle under license. So this is why they are going all out on the e-DCT unit. It's all about cost.

The particular Aisin unit comes in conventional and hybrid versions. The Hybrid version replaces the torque converter with an electric motor and clutch setup. The legacy PSA hybrids still use the Aisin transaxle, but they will be replaced by the e-DCT.

It's almost like its a good idea to in-house develop (almost) 100% of powertrain as a key competitive advantage 🙄

Do the biggest companies in the world by market-cap achieve their success by outsourcing, or insourcing?

Apple - the outlier
Google - builds and designs their own networking gear, datacenters, cooling
Amazon - build the worlds largest logistics network while also maintaining the largest IaaS (infrastructure as a service) computing platform
Microsoft - see Amazon/Google above, they do the same thing and still yield crazy margins

etc.

These automotive companies continue to shrink their way into eventually being outdone by the Chinese EV competitors.

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Apple is a big company. As a possible competitive advantage, developing the powertrain in-house seems like a decent idea.

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