AMSTERDAM, July 8, 2021 /PRNewswire/ --
- Plans to invest more than €30 billion through 2025 in
electrification and software, while continuing to be the automotive
efficiency frontrunner, with investment efficiency 30% better
than industry average
- Targeting over 70% of sales in Europe and over 40% in the United States to be low-emission
vehicles (LEV) by 2030
- All 14 brands committed to offering best-in-class fully
electrified solutions
- Delivering battery-electric vehicles (BEVs) that meet demands
of customers, with ranges of 300-500 miles (500-800 km) and
class-leading fast charging capability of 20 miles (32 km) per
minute
- Four flexible BEV-by-design platforms, scalable family of three
electric drive modules and standardized battery packs to cover all
brands and segments
- Platforms designed for long life via software and hardware
upgrades
- Global electric vehicle (EV) battery sourcing strategy of over
260GWh by 2030, supported by five "gigafactories" between
Europe and North America
- Plans include dual battery chemistries: a high energy-density
option and a nickel cobalt-free alternative by 2024
- Solid state battery technology introduction planned in
2026
Today, Stellantis N.V. (NYSE / MTA / Euronext Paris: STLA)
presented a comprehensive electrification strategy that delivers
exciting, class-leading vehicles for the company's iconic brands,
while leveraging in-house expertise, partnerships and joint
ventures to deliver advanced technology at affordable prices. This
strategy will allow the company to target sustainable, double-digit
adjusted operating income margins in the mid-term.
"The customer is always at the heart of Stellantis and our
commitment with this €30 billion plus investment plan is to offer
iconic vehicles that have the performance, capability, style,
comfort and electric range that fit seamlessly into their daily
lives," said Carlos Tavares, Chief
Executive Officer, Stellantis. "The strategy we laid out today
focuses the right amount of investment on the right technology to
reach the market at the right time, ensuring that Stellantis powers
the freedom of movement in the most efficient, affordable and
sustainable way."
Financial Performance
Stellantis plans to achieve
increased profitability in the coming years. This will be supported
by the execution of the synergy opportunities arising from the
formation of Stellantis, with a forecast of annual cash synergies
of more than €5 billion at steady state, the roadmap of battery
cost reductions, and the continued optimization of distribution and
production costs and realization of new revenue streams, in
particular from connected services and future software business
models.
As a result, Stellantis is targeting to achieve sustainable,
double-digit adjusted operating income margins in the mid-term
(~2026), making the company a benchmark in profitability in the
provision of electrified mobility to customers on a global
basis.
Stellantis intends to become the market leader in low-emission
vehicles (LEVs). Through 2030, Stellantis' LEV mix for passenger
cars in Europe is targeted to
steadily grow to over 70% – 10 percentage points ahead of current
industry assumptions for overall market mix. In the U.S.,
Stellantis' LEV mix for passenger cars and light-duty trucks is
expected to be more than 40% by 2030.
To execute this strategy, Stellantis plans to invest more than
€30 billion through 2025 in electrification and software
development, including equity investments made in joint ventures to
fund their activities, while targeting to continue to be 30% more
efficient than the industry with respect to total Capex and R&D
spend versus revenues.
The company remains committed to growing its commercial vehicle
leadership in Europe and
strengthening its position in North
America while aiming to be the global leader in e-commercial
vehicles. Leveraging knowledge and embracing synergies, the
commercial vehicle electrification rollout will extend to all
products and all regions over the next three years, including the
delivery of hydrogen fuel cell medium vans by the end of 2021.
The Stellantis electrification roadmap encompasses the entire
value chain. The company's EV battery sourcing strategy is to
secure more than 130 gigawatt hours (GWh) of capacity by 2025 and
more than 260 GWh by 2030. The EV battery and component needs will
be met with a total of five "gigafactories" in Europe and North
America, completed with additional supply contracts and
partnerships to support total demand.
Stellantis has signed memorandums of understanding (MOUs) with
two lithium geothermal brine process partners in North America and Europe to ensure a sustainable supply of
lithium, identified as the most critical battery raw material with
regard to availability, as well as have the ability to integrate
lithium into the supply chain once available.
In addition to sourcing strategies, Stellantis' technical
expertise and manufacturing synergies will drive battery costs
lower. Electric vehicle battery pack costs are targeted to be
reduced by more than 40% from 2020 to 2024 and by more than an
additional 20% by 2030. All aspects of the battery pack play a role
in reducing the costs – optimizing the overall pack, simplifying
the format of the modules, increasing the size of the battery cells
and upgrading the battery chemistry.
The company intends to maximize the full value of the battery
life cycle through repair, remanufacturing, second-life use and
recycling, as well as ensure a sustainable system that prioritizes
customer needs and environmental concerns.
Customer Focused
Affordability is a priority at
Stellantis, as the company is targeting for the total cost of
ownership of EVs to be equivalent to internal combustion engine
vehicles by 2026.
Electrification is not a "one size fits all" plan at Stellantis.
Each of the company's 14 iconic brands is committed to offering
best-in-class fully electrified solutions and doing so in a way
that enhances the DNA of each brand. Stellantis revealed the
following statements expressing the electrification approach of
each brand:
- Abarth – "Heating Up People, But Not the Planet"
- Alfa Romeo – "From 2024, Alfa Becomes Alfa e-Romeo"
- Chrysler – "Clean Technology for a New Generation of
Families"
- Citroën – "Citroën Electric: Well-Being for All!"
- Dodge – "Tear Up the Streets… Not the Planet"
- DS Automobiles – "The Art of Travel, Magnified"
- Fiat – "It's Only Green When It's Green for All"
- Jeep® – "Zero Emission Freedom"
- Lancia – "The Most Elegant Way to Protect the Planet"
- Maserati – "The Best in Performance Luxury, Electrified"
- Opel/Vauxhall – "Green is the New Cool"
- Peugeot – "Turning Sustainable Mobility into Quality Time"
- Ram – "Built to Serve a Sustainable Planet"
- Commercial Vehicles – "The Global Leader in e-Commercial
Vehicles"
Driving range and rapid recharges are key to widespread consumer
acceptance of BEVs. Stellantis meets this challenge with BEVs that
will deliver ranges between 300-500 miles (500-800 km) and
with class-leading fast charging capability of 20 miles (32 km) per
minute.
Stellantis will offer a full suite of solutions for private,
business and fleet customers that help simplify the ownership
journey. Efforts will include providing day-to-day smart charging
offers using green energy sources, tapping into existing
partnerships to expand charging options and accelerating smart grid
use.
The company intends to meet the demands of its varied customers
by supporting the development of fast charging networks across
Europe, enabled by an MOU signed
between Free2Move eSolutions and Engie EPS. The intention is to
mimic Free2Move eSolutions' business model for the North American
market.
Smart Technology Enablers
Four BEV-centric platforms
are the backbone of the electrified vehicles from Stellantis
brands. The platforms are designed with a high level of flexibility
(length and width) and component sharing, delivering economies of
scale as each platform can support production of up to 2 million
units per year.
The four platforms are:
- STLA Small, with a range up to 300 miles (500 kilometers)
- STLA Medium, with a range up to 440 miles (700 kilometers)
- STLA Large, with a range up to 500 miles (800 kilometers)
- STLA Frame, with a range up to 500 miles (800 kilometers)
Propulsion includes a family of three electric drive modules
(EDM) that combine the motor, gearbox and inverter. These EDMs are
compact, flexible and can be easily scaled. The EDMs can be
configured for front-drive, rear-drive, all-wheel drive and
4xe.
The combination of the platforms, EDMs and high energy-density
battery packs will deliver vehicles with best-in-class performance
in efficiency, range and recharging.
A program of hardware upgrades and over-the-air software updates
will extend the life of the platforms well into the next decade.
Stellantis will develop software and controls in-house to maintain
the characteristics unique to each brand.
Battery packs will be tailored for a variety of vehicles – from
smaller city cars to energy-dense packs for performance vehicles
and trucks. Use of two battery chemistries is planned by 2024 to
support various customer needs: a high energy-density option and a
nickel cobalt-free alternative. By 2026, the first competitive
solid state battery technology is targeted to be introduced.
Stellantis currently has or is completing several key technology
joint ventures, ranging from e-powertrain and e-transmission
operations to battery cell chemistry and production and digital
cockpit and personalized connected services. These partnerships
provide Stellantis the opportunity to leverage not only in-house
competencies, but also the expertise of the partners in order to
bring new technology and solutions to market more rapidly, while
optimizing capital allocation to further enhance Stellantis'
competitiveness in the marketplace.
"Our electrification journey is quite possibly the most
important brick to lay as we start to reveal the future of
Stellantis just six months after its birth, and now the entire
company is in full execution mode to exceed every customer's
expectations and accelerate our role in redefining the way the
world moves," said Tavares. "We have the scale, the skills, the
spirit and the sustainability to achieve double-digit adjusted
operating income margins, lead the industry with benchmark
efficiencies and deliver electrified vehicles that ignite
passion."
For additional information related to the Stellantis EV Day
2021, refer to the investors section of the of the corporate
website at www.stellantis.com.
Stellantis
Stellantis (NYSE: STLA) is one of the
world's leading automakers and a mobility provider, guided by a
clear vision to offer freedom of movement with distinctive,
affordable and reliable mobility solutions. In addition to the
Group's rich heritage and broad geographic presence, its greatest
strengths lie in its sustainable performance, depth of experience
and the wide-ranging talents of employees working around the globe.
Stellantis will leverage its broad and iconic brand portfolio,
which was founded by visionaries who infused the brands with
passion and a competitive spirit that speaks to employees and
customers alike. Stellantis aspires to become the greatest, not the
biggest, while creating added value for all stakeholders, as well
as the communities in which it operates.
FORWARD-LOOKING STATEMENTS
This communication contains forward-looking statements. In
particular, statements regarding future financial performance and
the Company's expectations as to the achievement of certain
targeted metrics, including revenues, industrial free cash flows,
vehicle shipments, capital investments, research and development
costs and other expenses at any future date or for any future
period are forward-looking statements. These statements may include
terms such as "may", "will", "expect", "could", "should", "intend",
"estimate", "anticipate", "believe", "remain", "on track",
"design", "target", "objective", "goal", "forecast", "projection",
"outlook", "prospects", "plan", or similar terms. Forward-looking
statements are not guarantees of future performance. Rather, they
are based on the Group's current state of knowledge, future
expectations and projections about future events and are by their
nature, subject to inherent risks and uncertainties. They relate to
events and depend on circumstances that may or may not occur or
exist in the future and, as such, undue reliance should not be
placed on them.
Actual results may differ materially from those expressed in
forward-looking statements as a result of a variety of factors,
including: the impact of the COVID-19 pandemic, the ability of the
Group to launch new products successfully and to maintain vehicle
shipment volumes; changes in the global financial markets, general
economic environment and changes in demand for automotive products,
which is subject to cyclicality; changes in local economic and
political conditions, changes in trade policy and the imposition of
global and regional tariffs or tariffs targeted to the automotive
industry, the enactment of tax reforms or other changes in tax laws
and regulations; the Group's ability to expand certain of their
brands globally; its ability to offer innovative, attractive
products; its ability to develop, manufacture and sell vehicles
with advanced features including enhanced electrification,
connectivity and autonomous-driving characteristics; various types
of claims, lawsuits, governmental investigations and other
contingencies, including product liability and warranty claims and
environmental claims, investigations and lawsuits; material
operating expenditures in relation to compliance with
environmental, health and safety regulations; the intense level of
competition in the automotive industry, which may increase due to
consolidation; exposure to shortfalls in the funding of the Group's
defined benefit pension plans; the ability to provide or arrange
for access to adequate financing for dealers and retail customers
and associated risks related to the establishment and operations of
financial services companies; the ability to access funding to
execute the Group's business plans and improve their businesses,
financial condition and results of operations; a significant
malfunction, disruption or security breach compromising information
technology systems or the electronic control systems contained in
the Group's vehicles; the Group's ability to realize anticipated
benefits from joint venture arrangements; disruptions arising from
political, social and economic instability; risks associated with
our relationships with employees, dealers and suppliers; increases
in costs, disruptions of supply or shortages of raw materials,
parts, components and systems used in the Group's vehicles;
developments in labor and industrial relations and developments in
applicable labor laws; exchange rate fluctuations, interest rate
changes, credit risk and other market risks; political and civil
unrest; earthquakes or other disasters; the risk that the
operations of Peugeot S.A. and Fiat Chrysler Automobiles N.V. will
not be integrated successfully and other risks and
uncertainties.
Any forward-looking statements contained in this
communication speak only as of the date of this document and the
Group disclaims any obligation to update or revise publicly
forward-looking statements. Further information concerning the
Group and its businesses, including factors that could materially
affect the Group's financial results, is included in the Group's
reports and filings with the U.S. Securities and Exchange
Commission, AFM, CONSOB and AMF.
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