Auto maker Stellantis is under pressure on all sides over battery plant delays. Italy’s industry minister said last Thursday he expected a firm commitment by Stellantis “within hours” over its plan to build a battery-manufacturing plant in the country. If not received, the government would withdraw public funds, he warned.
“We can’t afford to lose these funds because Stellantis is not sticking to its commitments,” Minister Adolfo Urso said during a conference in Rimini.
Stellantis battery subsidiary ACC’s plan for an Italian gigafactory is based on converting a Stellantis engine-making plant in Termoli. A total investment of around €2 billion ($2.2 billion), including €370 million in public money, is foreseen.
ACC has been asked for comment, but Stellantis has said ACC was currently enhancing the Termoli gigafactory plan, as well as the one for Germany, to introduce a new technology for the production of cells and modules, to be in line with the evolution of the market.”
Stellantis is also under fire after it announced plans to delay investment plans in Illinois, US. It had previously pledged to build a $3.2 billion battery plant, as well as a truck manufacturing facility and parts distribution centre.
It said on 20 August it remained committed to moving forward with its investment plans and insisted it was not in violation of its contract with the United Auto Workers Union (UAW).
But the UAW sees things differently and called for protests to force the company to stick to its timetabled agreement, adding it would file grievances and could push for a strike if Stellantis did not honour its production commitments.
Stellantis said it had told the UAW of the delay “but firmly stands by its commitment.” The new timetable is needed “to ensure the company’s future competitiveness and sustainability,” it said.
UAW president Shawn Fain said in a statement the investment plans are “binding commitments in a union contract, and we as the UAW intend to enforce that contract to the fullest extent.”
