Stellantis & Leapmotor: Chinese Manufacturing in Europe
Stellantis and Leapmotor plan to jointly produce Opel-branded electric vehicles in Spain, leveraging a 51%-49% joint venture (LPMI) to cut costs and boost competitiveness by integrating Chinese EV supply chains with European production. The partnership includes expanding a facility in Zaragoza for the Opel C-SUV BEV, targeting 2028 production, and potentially relocating Villaverde, Madrid’s Citroën C4 production to LPMI’s Spanish subsidiary under EU ‘Made-in-Europe’ guidelines.
Stellantis has confirmed plans to produce Opel-branded electric vehicles alongside Chinese manufacturer Leapmotor at a European facility, aiming to expand manufacturing capabilities and reduce costs through their joint venture, Leapmotor International (LPMI). The partnership, a 51% Stellantis and 49% Leapmotor collaboration, involves adding a new production line at Stellantis’ Figueruelas plant in Zaragoza, Spain, for the Opel C-SUV battery electric vehicle (BEV), with production potentially starting in 2028. Reuters reported in early 2026 that the model’s annual output would target 50,000 vehicles. The expansion aligns with Stellantis’ strategy to leverage LPMI’s Chinese New Energy Vehicle ecosystem while maintaining European localization. Antonio Filosa, Stellantis CEO, described the partnership as a ‘true win-win,’ emphasizing affordable EV manufacturing to meet customer demands. The collaboration also includes evaluating Villaverde, Madrid’s facility for potential Leapmotor production, following the Citroën C4’s planned phase-out, with vehicles commercialized by LPMI across Europe, the Middle East, and Africa. Supply chain cooperation is central to the deal, with LPMI aiming to boost competitiveness by combining Chinese cost efficiencies with European supply chain resilience. Zhu Jiangming, Leapmotor’s CEO, highlighted the synergy of Leapmotor’s technology and Stellantis’ global brands, noting LPMI’s rapid growth in just three years across five continents. Stellantis’ €1.5 billion investment in Leapmotor in 2023 underpins the partnership, reinforcing its focus on scaling EV production affordably. The move reflects broader industry trends, where China’s dominance in battery supply chains contrasts with Western manufacturing challenges. The joint venture underscores Stellantis’ commitment to integrating global supply networks while adhering to EU ‘Made-in-Europe’ production standards.
This content was automatically generated and/or translated by AI. It may contain inaccuracies. Please refer to the original sources for verification.