Stellantis Takes Strategic Shift To Hybrid Vehicles In Europe

Stellantis has announced that it will take a strategic shift towards expanding its lineup of hybrid vehicles in response to evolving consumer preferences across the European continent. The decision comes amidst a notable surge in demand for hybrid electric vehicles (HEVs), driven by affordability and practicality factors.

HEVs, which combine traditional combustion engines (ICE) with electric motors, do not require external charging infrastructure, distinguishing them from EVs and plug-in hybrid electric vehicles (PHEVs). Stellantis hopes to capitalize on this growing demand by offering a broader range of hybrid models, totaling 36 by 2026.

In recent years, Stellantis has focused on pushing all-electric vehicles (EVs) to meet stricter emissions regulations. However, recently, EV sales have started to slow, and HEV sales have continued to climb as countries like Germany have cut EV subsidies. 

The appeal of HEVs lies in their competitive pricing compared to EVs, making them more accessible to a wider audience. According to recent market data, the average retail price of HEVs in major European markets was notably lower than gasoline and diesel vehicles in early 2024, contributing to their popularity among consumers seeking cost-effective yet environmentally friendly transportation options.

Stellantis hybrid vehicles in Europe are now equipped with state-of-the-art eDCT tech and its integrated 21-kW electric motor, providing an exceptionally seamless and easy driving experience, including pure electric driving, for example, in city driving conditions. The electric motor enables the vehicle to travel with the ICE turned off during driving.

The system’s 48-volt, 0.9-kWh battery delivers up to 1 km of range in steady driving and can also provide some electric propulsion during light-load cruising or coasting. During coasting and braking, the electric motor switches to a generator function, capturing kinetic energy and feeding electricity into the battery. A Belt Starter Generator (BSG) enables a swift and seamless transition between electric and hybrid modes.

The eDCT-based hybrid powertrain system is engineered for optimal fuel efficiency, reducing CO2 emissions by up to 20% compared to a combustion engine with an automatic transmission. Thanks to its modularity, the innovative eDCT concept can also support PHEVs due to a 93% commonality of components, changing only the electric drive module and inverter.

The European market’s strong reception to hybrid vehicles is mirrored in Stellantis’s robust sales performance in the first half of 2024, with a notable 41% increase in sales compared to the same period in the previous year. This positive momentum underscores the company’s strategic focus on hybrid technology as a pivotal driver of growth and sustainability in the automotive sector.

Stellantis has yet to discuss if it will take a similar strategic shift in North America, where consumer sentiment towards EVs has shown mixed signals amidst varying government policies and consumer preferences. However, industry observers suggest that Stellantis may need to adapt its strategy in North America to align with the shifting landscape, similar to recent moves by competitors Ford and General Motors (GM), who have also emphasized hybrid vehicle offerings.

Stellantis plans to introduce 30 hybrid models across nine of its fourteen brands in Europe this year. Those models include: