Milan, Italy

Stellantis Extends Fiat 500 Production Pause

Automaker Stellantis (NYSE:STLA) announced on Friday that the production pause for its electric Fiat 500 city car will be extended until January 20, confirming trade union expectations.

The assembly lines at the historic Mirafiori factory, where the Fiat 500 is produced, have faced repeated halts this year due to low demand for electric vehicles in Europe. The current production stoppage began in early December.

In discussions with trade union representatives, Stellantis also stated that production for two low-volume Maserati sports car models will be halted until February 3.

This week, Stellantis shared an optimistic plan with the Italian government aimed at revitalizing its production in Italy. However, European operations chief Jean-Philippe Imparato indicated that the plan's effects are not expected to materialize until 2026.

As for overall automotive output in Italy, it is projected to fall below 500,000 vehicles this year, according to the FIM-Cisl union, a decline from 751,000 in 2023. This would mark the lowest output level since 1958.