Stellantis' upcoming Citroën e-C3 nears completion.

author: FutureCar Staff    

Stellantis CEO Carlos Tavares has announced that the company's new battery electric vehicle (BEV) model will combat the "Chinese invasion" of the European market. During the automaker's conference call discussing its first half results, Tavares described the Citroën e-C3 as an affordable and trendy option for middle-class drivers. The e-C3 is nearing the end of its industrialization process and is set to launch in Europe in early 2024.

Tavares stated that the e-C3, expected to be priced under €25k, is the first step in Stellantis' response to the Chinese competition in the European market. He emphasized the company's determination to fight back with similar products, noting that more are in the pipeline. Tavares also assured that the e-C3 would be profitable for Stellantis and would secure a significant market position. The vehicle is scheduled to be unveiled in mid-October of this year.

During the Q&A segment of the conference call, Tavares addressed the issue of Chinese competition. He emphasized the need for a sourcing proposal that would enable the sale of the e-C3. Tavares outlined two potential strategies for achieving this: finding breakthroughs in design to reduce costs or adopting a cost structure similar to that of Chinese competitors. He expressed the assumption that Chinese car makers do not receive specific subsidies to gain a competitive advantage abroad.

Tavares stressed the importance of maintaining a competitive cost structure to ensure the profitability of the Citroën e-C3. He mentioned the necessity of a significant low-cost country (LCC)-based cost structure. Tavares expressed confidence in Stellantis' ability to meet these requirements, stating that the company is well-prepared for the arrival of Chinese competitors.

In its report, Stellantis revealed net revenues of €98.4 billion for the first half of 2023, marking a 12% increase compared to the same period in 2022. This growth is attributed to higher shipments. The company's net profit also rose by 37% to €10.9 billion compared to H1 2022.

In addition to its revenue growth, Stellantis repurchased €0.7 billion in shares during the first half of 2023. The company expects to complete its announced €1.5 billion share buyback program before the end of 2023.

FutureCar Staff