Stellantis plans to expand production of hybrid vehicles in the United States as it adjusts its powertrain strategy away from a stronger near-term emphasis on fully electric models, Chief Executive Antonio Filosa said, citing consumer preferences and market conditions.
Speaking at a Goldman Sachs conference, Filosa said the company sees stronger demand for traditional hybrids than for plug-in hybrid vehicles among U.S. buyers. “Traditional hybrids will be a preferred powertrain option for American consumers,” Filosa said, adding that interest in plug-in hybrid models has been more limited.
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Stellantis, which owns 14 vehicle brands including Chrysler, Jeep and Ram, intends to broaden hybrid offerings across its U.S. lineup. Filosa pointed to the Jeep Cherokee hybrid as a key example of the group’s technology direction. The strategic shift comes as Stellantis seeks to recover lost ground in the U.S. market, where its market share rose to 8% in the third quarter from 7% in the first half of the year.
Filosa recently joined Ford Motor CEO Jim Farley in discussions with President Donald Trump on proposed reductions to federal fuel-economy regulations. Easing those requirements could allow automakers greater flexibility to increase production of gasoline-powered vehicles and reduce short-term pressure to accelerate electric vehicle output.
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Stellantis has already adjusted production in response to customer demand this year by reintroducing its HEMI 8-cylinder engine on selected models, generating what Filosa described as substantial customer orders. He said upcoming vehicle launches are expected to further support the company’s recovery in the U.S. market.
Source: Reuters