Industry

Stellantis, first Leapmotor and now Dongfeng: how the Chinese car comes to Europe

It was 2023 when Tavares bought 20 per cent of Leapmotor for EUR 1.5 billion. Now production in Europe is getting closer.

by Simonluca Pini

2' min read

Translated by AI
Versione italiana

2' min read

Translated by AI
Versione italiana

The Chinese car is ready to become a little more European. How? By being born in the Stellantis factories. Not only for the production of Leapmotor models but also, most probably, the Dongfeng range.

Because given the ever-increasing sales numbers, production in Europe will become a compulsory stop for Chinese brands, as has happened in the past with Japanese and Korean manufacturers.

Loading...

Starting with Leapmotor, it all began in 2023 when former CEO Tavares closed a deal with the young company founded by Zhu Jiangming in 2015 to take over 20% of it for around EUR 1.5 billion. A brand specialising in electric models but above all a manufacturer of modular platforms also Extender range and technological architectures, it was what was missing from Stellantis' portfolio. Joint venture that gave birth to Leapmotor Europe, a brand with growing volumes and range. Models ready to be built in Europe as well, but above all to share their technology with group cars starting with Opel.

 

Dongfeng and Stellantis

If the possibility of a European partnership between Dongfeng and Stellantis is recent, the collaboration with PSA is not. Indeed, in 2014, Dongfeng participated in the recapitalisation of Psa by acquiring 14% of the French carmaker. Added to this is production in China, with the Dongfeng Peugeot-Citroen Automobile brand active since 1992. Now the collaboration seems ready to go up a level. As part of the project, the partners intend to establish a new European-based joint venture, led by Stellantis and owned 51:49. The new entity would manage the sales and distribution of Dongfeng's Voyah-branded vehicles in selected European markets, leveraging Stellantis' strong network and after-sales expertise. The new entity will also include joint purchasing and engineering activities, enhancing Dongfeng's highly competitive Chinese new energy vehicle ecosystem.

The partners also envisage the potential production of Dongfeng vehicles at the Rennes plant in France, in line with European regulations and Made in Europe requirements.

Translated? Not working at full capacity, Stellantis' production lines are ready to make Chinese models. It remains to be seen how Made in Europe requirements will be met, especially in terms of battery-related components.

Copyright reserved ©
Loading...

Brand connect

Loading...

Newsletter

Notizie e approfondimenti sugli avvenimenti politici, economici e finanziari.

Iscriviti