Stellantis Seeks 70% EU Content While Leasing Plants to Chinese EVs
STLA•Stellantis joined Volkswagen and Renault in urging 70% EU content for vehicles sold while leasing underused Rennes and Zaragoza plants to Leapmotor and Dongfeng. Chinese brands’ EU market share doubled to 6% in the first four months of 2026 as Stellantis ran factories at 60% capacity after a $26 billion loss.
1. EU Content Demand
Stellantis, Volkswagen and Renault sent a joint letter to European regulators calling for 70% of vehicles sold in the EU to source at least 70% of their value from within the bloc, covering the entire value chain from engineering through manufacturing.
2. Chinese Plant Leases
Despite advocating tighter EU content rules, Stellantis is leasing its underutilized Rennes plant to Dongfeng for Voyah production and will host Leapmotor’s B10 electric SUVs at its Zaragoza facility starting in the second half of 2026.
3. Chinese Brands’ EU Surge
Chinese automakers’ EU market share doubled to 6% in the first four months of 2026, with BYD sales rising 153% to over 71,850 units, Chery up 267% and Leapmotor models assembled in Stellantis factories surging 560%.
4. Capacity and Losses
Stellantis’ European factories operated at roughly 60% capacity last year, incurring fixed costs on idle lines, and the company reported a $26 billion annual loss, underscoring the financial pressure behind its tenant strategy.
