Stellantis Considers Selling or Sharing Rennes, Cassino and Madrid Plants with Chinese Partners
Stellantis has begun talks to sell or share European plants, including Rennes, Cassino and Madrid, to address surplus production capacity and explore joint manufacturing with Chinese partners. Negotiations cover potential factory sharing for technology access and outright sales, while Poissy will cease vehicle production after 2028, prompting union protests.
1. Talks on European Plant Capacity
Stellantis has initiated discussions to address surplus capacity at its roughly 20 European assembly plants, making it the region’s second-largest automaker. Management seeks partners or buyers to better utilize facilities and reduce costs.
2. Scope of Sites Under Review
Identified sites include Rennes in France, Cassino in Italy and Madrid in Spain, with representatives from Dongfeng Motor touring facilities. Other Chinese automakers have also expressed interest in joint manufacturing arrangements.
3. Sale and Sharing Options
Options include outright sales and factory sharing agreements that would grant access to Stellantis’ manufacturing technology. Negotiations span potential renewed partnerships with Dongfeng, covering production in both Europe and China.
4. Labor and Political Implications
The Poissy plant near Paris is slated to stop vehicle production after 2028, prompting union protests over expected job losses. Any deal with Chinese partners may face scrutiny in France’s upcoming presidential election, while Italy remains open to foreign investment.