Vauxhall owner’s electric car plan will safeguard jobs
VAUXHALL, Fiat and Peugeot owner Stellantis has promised that electric vehicles will be as cheap to own and run as their petrol cars within five years.
The world’s fourth biggest car manufacturer yesterday unveiled plans to invest more than £25.8billion on converting its motor line-up to electric.
It comes after a pledge to plough £100million to convert the Ellesmere Port plant in Cheshire to manufacturing electric vehicles – securing around 1,000 jobs.
By 2030, the firm expects European sales of low-emission vehicles – hybrid and fully electric – to rise from 14 to 70 per cent of its total output.
The figure is due to rocket from four to 40 per cent in the US.
As part of its electric push, the company aims to cut battery costs by more than 40 per cent within three years, and then an additional 20 per cent by 2030.
Stellantis said it will do this by making batteries more efficient, simplifying designs and increasing the size of cells.
Combined with improvements to electric vehicle infrastructure and the rollout of more fast charging points, Stellantis believes it can get the cost of one down to fossil-fuelled models.
Chief sales and marketing officer Thierry Koskas said: “It’s very important for us to be able to offer affordable vehicles, electric will not represent a burden to customers. Thanks to all the optimisations we will offer, by 2026 the total cost of ownership will be equal to conventional cars, without government incentives.”
At a presentation, chief executive Carlos Tavares said that all 14 of its brands – including Maserati, Citroen and Alfa Romeo – will offer electric vehicles.
The cars will have driving ranges of 300 to 500 miles and will be capable of fast charging at up to 20 miles per minute.
Stellantis was formed earlier this year by the merger of French-group PSA and Fiat. Tavares said the cost savings generated by the combination, as well as its electrification push, will lead to sustainable profits. He said: “Our fully electric business model will enable us to deliver double digit, sustainable margins.”