2021 Jeep Wrangler Rubicon 4xe
Stellantis – the product of a $ 52 billion merger between automakers Fiat Chrysler and Groupe PSA – plans to offer a range of electric or hybrid vehicles by 2025, including 10 new models in 2021, according to CEO Carlos Tavares.
From Dodge to Maserati, every new model the company launches between now and 2025 offers an “electrified” variant. He did not specify how many would be all-electric, plug-in hybrids, or conventional hybrids that did not need to be plugged in.
The new models and merger, which closed on Saturday, come from older automakers struggling to convince Wall Street that they can compete against Tesla and a host of new EV startups.
When Stellantis shares rose more than 11% on Tuesday’s debut on the New York Stock Exchange, newly formed EV truck maker Rivian announced it had raised $ 2.65 billion in its latest funding round, the valued the company at $ 27.6 billion. Compared to Stellantis – today the fourth largest automaker in the world – with around 26.5 billion US dollars.
Cruise, a majority-owned subsidiary of General Motors, announced Tuesday a new $ 2 billion investment round involving Microsoft and GM. The self-driving company announced that its post-money valuation is $ 30 billion, up from $ 19 billion in mid-2019.
Tavares described the collaboration to create Stellantis as a step towards increasing the scale and sharing the billions of dollars in capital costs required for technologies such as autonomous vehicles and electric vehicles.
“These costs will increase significantly,” Tavares said during a media call on Tuesday. “We see the advantage of the scale here to dilute these costs.”
According to Tavares, Stellantis currently has 29 electrified models on offer worldwide through its 14 brands, which also include Jeep and Alfa Romeo. In the USA, they range from the fully electric Fiat 500e to a plug-in hybrid minivan Chrysler Pacifica to the Ram 1500 pickup with a mild hybrid system. The latter two options include a conventional internal combustion engine.
The automaker’s coveted Jeep brand has also promised to electrify its entire lineup in the future, including the recently unveiled Wrangler SUV and a revamped version of the Grand Cherokee SUV later this year.
“We are in the right momentum, we are exactly at the right time for market expectations,” said Tavares. “Of course, the real challenge is no longer having electrified models. The real change is to make these models affordable.”
Stellantis’ plan to offer a range of electric vehicles is different from other automakers like GM, which focus on electric vehicles instead of hybrids. GM plans to spend $ 27 billion on electric and autonomous vehicles by 2025, including 30 new electric vehicles.
Stellantis’ operations, which include 400,000 employees, are largely located in North America and Europe.