PARIS, Jan 18 (Reuters) – The chief executive of Stellantis STLA.PA, STLA.MI, Carlos Tavares, wants to avoid plant closures in Europe but warns of the impact of the electrification of the automotive sector on the competitiveness of the group, he said in an interview published Tuesday on the Echos website.
“Closing means putting a padlock on the door and sending everyone home. We didn’t do that. And if I can avoid it, I will avoid it,” Carlos Tavares said.
The managing director of the Franco-Italian group has once again expressed reservations about the political strategy of the European Union to bet on electrification to decarbonize the automotive industry, which should lead to an additional cost of 50% compared to a car conventional.
The European Union aims to ban the sale of combustion engine vehicles by 2035.
“I generally keep my promises, but we also have to remain competitive. The future of our sites will also depend on the political constraints on decarbonisation in Europe and its consequences on the car market”, he added.
In France, negotiations with the unions on the workforce will resume on February 1.
(Written by Laetitia Volga, edited by Nicolas Delame)