Thursday, June 4

Stellantis NV is considering adopting electric vehicle technology from its Chinese partner Leapmotor for use in its European mass-market brands, including Fiat, Opel and Peugeot, Bloomberg reported, citing people familiar with the matter.

If implemented, the move would mark the first time a major Western automaker relies on a Chinese company’s vehicle architecture and software platform to underpin models sold in Europe.

See also: Leapmotor February Deliveries Rise 10.99% to 28,067 Units Despite Holiday Impact

According to the report, Stellantis is evaluating whether to expand the scope of its existing joint venture with Leapmotor to gain access to the Chinese company’s battery systems and electric powertrain technologies. Discussions are said to be at an early stage, with the parties aiming to reach an agreement this year. Any deal would need to address regulatory considerations, including European data protection requirements and U.S. restrictions related to connected vehicles with Chinese technology links.

The deliberations come as Stellantis undertakes broader restructuring efforts amid declining market share and profit pressure in Europe. The group earlier announced €22.2 billion in asset impairments and charges as part of its turnaround plan.

See also: Leapmotor Sets 1.05 Million Sales Target for 2026, Emphasises Efficiency and Brand Building

In Europe, Stellantis faces growing competition from Chinese manufacturers such as BYD, as well as established regional players including Volkswagen and Renault. Leveraging Leapmotor’s electric vehicle platform could reduce research and development costs and potentially accelerate product updates in the small and compact segments, according to the report.

Stellantis first invested in Leapmotor in 2023, acquiring about a 20% stake for €1.5 billion, which has since been diluted to around 15%. In 2024, the companies established Leapmotor International, a joint venture majority-owned by Stellantis, to oversee overseas expansion.

See also: Leapmotor’s Range-Extender EV Technology Could Be Shared Across Stellantis Brands

Through this arrangement, Stellantis has begun distributing models such as the Leapmotor C10 in Europe. The partnership has also expanded into other markets, including local production of the C10 in Malaysia and sales in South Africa.

Neither company has publicly confirmed plans to integrate Leapmotor’s core platform into Stellantis-branded European vehicles.

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Andrew Wang covers China’s automotive and electric vehicle sectors, focusing on market expansion, production trends, and consumer adoption. He tracks key developments across major automakers and emerging EV brands to help readers understand industry dynamics.

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