Stellantis Plans to Build Chinese EVs in Canada and Mexico, Not the US
Stellantis CEO Antonio Filosa revealed on Thursday that the company envisions producing and selling Chinese-branded vehicles in Mexico and potentially Canada. However, he stated, "There is no space in the United States right now."
Stellantis, owner of Jeep, Ram, Dodge, and Chrysler, holds a 21% stake in Zhejiang Leapmotor Technology and owns 51% of a joint venture with the same company. This allows Stellantis to manufacture and sell Leapmotor products outside Greater China, including in North America.
The Brampton, Ontario assembly plant, which has been idle since December 2023, is a potential site for Leapmotor EV production. Canada’s trade deal with China enables the import of 49,000 Chinese-made EVs annually at a low tariff, making domestic production advantageous.
Filosa emphasized the partnership as a way to boost sales, learn from Leapmotor’s rapid engineering and cost-efficient methods, and share expenses. Leapmotor’s T03 compact hatchback and B10 SUV have already gained traction in European markets.
Stellantis also announced a European joint venture with Dongfeng, another Chinese automaker, expanding their collaboration beyond North America.
However, political opposition in the US makes domestic production of Chinese-branded vehicles unfeasible for now, as evidenced by a letter signed by over 120 House lawmakers and proposed legislation banning connected vehicles linked to China.