Stellantis sees slower U.S. EV shift as auto industry turns more regional

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Stellantis sees slower U.S. EV shift

Highlights

Stellantis CEO Antonio Filosa says U.S. electric vehicles account for 7% of auto sales in 2024, flat over five years, reflecting slow EV adoption.
Stellantis sees rising demand for range-extender technology in large pickups and SUVs in North America, driven by consumer preference after deregulation.
Filosa highlights increasing regionalisation of the auto sector due to new trade barriers, prompting Stellantis to focus on local adaptation and technology partnerships.

U.S. electrification outlook and product demand

As reported by Reuters, Stellantis CEO Antonio Filosa says the U.S. auto market will eventually embrace electrification, but at a slower pace than other regions. Speaking on the sidelines of the Paris motor show on Tuesday, he says electric vehicles account for 7% of U.S. auto sales this year, unchanged from five years ago.

Filosa says the market's earlier momentum was inflated by regulation and that consumers shift toward other powertrains after deregulation. For Stellantis, whose key markets include North America, interest is growing in range-extender technology for large pickups and SUVs, a trend he describes as driven by customers rather than regulation.

Even with the slower adoption rate, Filosa says he "truly" believes electrification will eventually take hold in the U.S. He adds that Stellantis can apply lessons from Europe's EV rollout as demand in North America develops.

Regionalisation reshapes auto strategy

Filosa also says the automotive sector is becoming less global as trade barriers reshape markets. In his view, recent trade regimes around the world trigger a process of regionalisation, pushing automakers to adapt more closely to local customer preferences and regulatory conditions.

He says manufacturers still need to preserve global scale, especially in technology, which is taking a larger role in the industry. Stellantis sees partnerships as its preferred way to respond to that shift, with Filosa pointing to further opportunities to explore important technology alliances.

Stellantis’ third-quarter shipment update highlighted how regional dynamics are diverging, with a North American summer production shutdown weighing on deliveries and pulling global shipments slightly lower. In that report, we noted that Europe was the main bright spot, supported by stronger demand for EV models and additional volumes tied to its Leapmotor distribution activity, while other regions remained under pressure.

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