Tensions have arisen between the Italian government and the Stellantis automobile group. The camps go back and forth whenever the opportunity arises. This May 27, 2024, it is Carlos Tavares who sends the Italian government back on the ropes.
Carlos Tavares, the boss of Stellantis, does not miss an opportunity to respond to Italy’s pettiness. It must be said that there have been many of them in recent weeks. The business leader had already surprised by speaking on April 10, 2024, during the launch conference for the Alfa Romeo Milano/Junior.
It was unusual for the group’s boss to travel for a commercial launch. He has just done it again. This May 27, 2024, Carlos Tavares spoke again at a Lancia conference broadcast live. An intervention that he also concluded with a new tackle against Italy: “ I believe that the Greek government is very proud that the car is called Lancia Ypsilon » he declared before leaving the stage without saying anything else. Obviously, with a name inspired by Greek, Stellantis is not taking too much risk of having to rename its Lancia Ypsilon to please Italy.
A war between Stellantis and Italy through the media
It would probably be too long to list all the grievances that the Italian government has against the Stellantis group. Stellantis is generally accused of having dispossessed Italy of its know-how in automobile production: factory closures, unemployment, lack of ambition on Italian territory and disadvantaged Italian brands in the group (bringing together a total of 14 brands). However, Italian brands are well represented within the group: Fiat, Abarth, Alfa Romeo, Lancia and Maserati.
The boss of the Stellantis group may well answer that this is not the case and that investments in Italy are massive, but Italian political leaders do not want to hear it. Since then, the quarrel has taken on a new, more media dimension. Alfa Romeo had to rename its latest Milano model to Junior after its officialization, on the pretext that the brand could not use an Italian-sounding name for a vehicle manufactured outside Italy.
A few weeks later, Fiat Topolinos were seized at the port of Livorno. In question, the presence of a sticker representing the Italian flag on a model assembled in Morocco. A real state scandal on the scale of Italy, when it would only take a few minutes to remove the stickers from the bodywork upon simple request. Stellantis has also taken the lead by also removing the Italian flag from the bumper of the Fiat 600 manufactured outside Italian territory.
An important reminder of the value of Italian teams
These bickering are starting to annoy Carlos Tavares. This can be seen in the remarks he made to the press on May 27. The company manager recalled that on products such as Lancia Ypsilon, the work of the Italian teams was important. For him, we should certainly not minimize all the work accomplished from the Turin headquarters (in design, engineering and the details of the settings), on the pretext that production is carried out outside Italian borders. “ It is a pure Italian product “, said Carlos Tavares, pointing to the Lancia Ypsilon.
Carlos Tavares also indicates that assembly only represents 10% of the total manufacturing cost of a model. As an industry, the Stellantis group cannot give in to all the whims of local politicians in each country, no more in France than in Italy. The overall profitability of the project and the company comes before the particular interests of the countries.
In his intervention on Lancia, Carlos Tavares nevertheless recalled that the brand was set to die before the merger. The Stellantis group decided to save it and give it a future.
We are now awaiting Italy’s response to this new provocation from Carlos Tavares. There is no doubt that it will not stop there.
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