Canadian auto workers caught in trade war as Jeep moves cars to Illinois
Stellantis announced a $13 billion investment in the United States, and the company is now moving production out of Canada and reopening a factory in Illinois.
Stellantis STLAM.MI CEO Antonio Filosa said on Thursday that the company is focusing on hybrid production in the U.S. market, a shift from its predecessor’s focus on fully electric models.
“I truly believe that hybrids will become one of the popular powertrains in the United States,” Filosa said at a conference hosted by Goldman Sachs.
He clarified that automakers are focusing on traditional hybrid models rather than plug-in hybrid models, but that he doesn’t think there will be a similar demand for plug-in hybrid models.
Filosa said Stellantis is looking to expand its offerings across its lineup, highlighting the automaker’s Jeep Cherokee Hybrid.
The CEO is trying to reverse a steep decline in market share in the U.S. that contributed to the resignation of his predecessor, Carlos Tavares, who abruptly resigned a year ago.
The new head of Stellantis, which owns 14 brands including Chrysler, Ram and Jeep, took the job about six months ago after a lengthy search for Mr. Tavares’ replacement.
Filosa met with President Donald Trump this week, along with the CEO of Ford Motor FN, to discuss proposals to reduce fuel efficiency regulations.
Easing these regulations will allow automakers to increase production of gasoline-powered models, easing pressure on electric vehicle production.
Stellantis is bringing back the HEMI 8-cylinder engine in some models this year in response to requests from dealers and customers. Filosa said orders for the HEMI V8-powered Ram were 10,000 on the day of the announcement and 50,000 within six weeks.
“There’s a huge mix-up and production improvement opportunity there,” he said.
Filosa said Stellantis’ market share in the U.S. was 7% in the first half of this year, but rose to 8% in the third quarter. He expects automakers to gain further market share with future vehicle launches.
Reporting by Nora Eckert in Detroit and Giulio Piovaccari in Milan. Editing: Mike Collias and Franklin Paul
