Stellantis Lays Out Plans for Electrification

Chris Teague | Jul 08, 2021

Recently formed automotive giant Stellantis is the latest in a long line of automakers to commit to electrification in the coming years. The family of car brands, including Alfa Romeo, ChryslerDodge, JeepRam, and others, are committing to building several new electrified models by 2025 and will significantly expand its supply chain and development efforts support that goal, according to a company news release.

2022 Jeep Grand Cherokee 4xe White Front Quarter View

Stellantis plans to invest more than €30 billion ($35.5 billion) in electrification and software through 2025. By 2030, the auto giant says it’s targeting over 70 percent of its sales in Europe and 40 percent in the United States to be low-emission vehicles. The roadmap also includes the introduction of solid-state battery technology, planned to take place in 2026. Stellantis does not expect the investment to disrupt its standing as one of the more efficient auto industry businesses from a spending and revenue standpoint.

Along the way to that goal, the company plans to include a battery sourcing strategy to secure more than 130-gigawatt hours of capacity by 2025 and more than 260 GWh by 2030. Stellantis says its goal will be supported by five “gigafactories” across Europe and North America. Additionally, the company has signed memorandums of understanding with two lithium geothermal brine process partners in the two regions to ensure a stable supply of the vital material.

Stellantis’ scale of operations will help it drive battery costs lower as well, the company says. The automaker is targeting a battery cost reduction of more than 40 percent from 2020 to 2024 and by an additional 20 percent by 2030.

As part of its electrification announcement, Stellantis noted that all 14 of its global auto brands would offer fully electric vehicles. Jeep and Dodge made big waves with related announcements of their own. Following the release of its Wrangler 4xe plug-in hybrid off-road SUV, Jeep teased the 2022 Grand Cherokee 4xe. The model joins the Grand Cherokee lineup as it enters its fifth generation. Dodge, in its announcement, laid out plans for an all-electric American muscle car. Calling it “American eMuscle,” company CEO Tim Kuniskis said Dodge’s engineers believe they are reaching the limits of what internal combustion engines can do. “They know we know that electric motors can give us more, and if we know of a technology that can give our customers an advantage, we have an obligation to embrace it,” Kuniskis said.

It’s worth noting that Stellantis’ plans are slightly different than those laid out by other automakers. General Motors, for example, says it plans to only offer all-electric vehicles by 2035. The plans outlined by Stellantis include dozens of new all-electric and plug-in hybrid models in the United States and Europe but stops short of fully committing to complete electrification.

Stellantis is the source of information in this article. It was accurate on July 8, 2021, but it may have changed since that date.

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