According to foreign media reports, Jean-Philippe Imparato, Chief Operating Officer of Stellantis Europe, stated that in order to meet the EU's 2025 emissions targets and avoid fines, Stellantis is prepared to cut the production of internal combustion engine (ICE) vehicles in Europe next year.
On October 14, in an interview at the 2024 Paris Motor Show, Imparato noted that to achieve the EU's 2025 carbon emissions target, Stellantis needs to double the proportion of electric vehicles in its total European car sales to 24% next year. He pointed out that if the demand for electric vehicles in Europe remains at current levels, the only way for Stellantis to meet the EU's 2025 carbon emissions target and avoid fines is to reduce its production of internal combustion engine vehicles in Europe.
Imparato also mentioned that as EU emissions regulations tighten, Stellantis' electric vehicle production will take precedence over that of internal combustion engine vehicles starting next year. He indicated that Stellantis may begin reducing the production of internal combustion engine vehicles in Europe as early as November 1 this year.
Imparato was recently appointed as the Chief Operating Officer of Stellantis Europe (including Eurasia and Turkey) on October 10, as part of a significant management reorganization within the company. Prior to the Stellantis merger in January 2021, he served as the CEO of the Alfa Romeo brand and the CEO of the Peugeot brand within the PSA Group.
Some automakers, including BMW Group and Renault Group, have urged the European Union to modify or postpone the implementation of stricter carbon dioxide emissions regulations. These regulations are estimated to require that pure electric vehicle sales account for "20% to 25%" of total European car sales. However, as of August, pure electric vehicles represented less than 13% of the EU car market.
In contrast, Stellantis opposes any postponement or relaxation of EU carbon emissions regulations. On October 15, Stellantis CEO Carlos Tavares stated at the 2024 Paris Motor Show that Stellantis will meet the EU's carbon emissions targets, warning that if the new regulations are delayed, European automakers will fall further behind technologically advanced Chinese brands.
According to provisional data from the European Environment Agency, the EU carbon emissions regulations that will take effect on January 1, 2025, will set a carbon dioxide emissions target of 95 grams per kilometer for the entire fleet, which is lower than the average actual emissions of 106.6 grams per kilometer in 2023. Automakers that fail to meet their respective targets will face a fine of 95 euros per vehicle for every gram exceeded.
Luca de Meo, CEO of Renault Group, warned that automakers may face fines of up to 15 billion euros. The Financial Times quoted data from Barclays analysts, stating that this figure could exceed 10 billion euros.