MILAN, March 1 (Class Editori) — Stellantis aims to reach 20 billion euros net revenues in China, with a margin of 8%, by 2030. This is what emerged from the Dare Forward 2030 plan presented today by Carlos Tavares, which among other things aims at doubling global revenues to 300 billion euros by the end of the decade.
The business model in China will be "asset light" to reduce fixed costs and exposure to geopolitical risk. According to the plan, "more than 25%" of global net revenues will be generated outside of the enlarged Europe and North America. The French-Italian Group has focused mainly on Asia and China, which Tavares called "strategic."
The automotive company then plans to increase its shareholding in GAC-Stellantis, the joint venture founded in March 2010 with the Chinese Guangzhou Automobile Group, from 50% to 75%.
The announcement is a key element in Stellantis' plan to establish new bases for its business in China. GAC Group and Stellantis will work together in order to complete the agreement's formalization, which remains subject to the Chinese government approval.
In September 2021, Stellantis announced that it would create "Stellantis Jeep", a simplified operating organization in order to develop the brand in China. The JV is now able to support the efficiency of this integrated "One Jeep" strategy in the country, focusing on the Changsha manufacturing plant which is currently preparing the launch of the Compass model. GAC Group and Stellantis will continue to work closely together to grow the brand's profitable business in China.
To address the chip shortage that is bringing automakers to their knees, Stellantis and Hon Hai Technology Group (Foxconn) entered into a non-binding memorandum of understanding last December forming a partnership with the intent of designing a family of purpose-built semiconductors in order to support Stellantis and third-party customers. This solution will be able to cover between 80% and 90% of the Tavares-led Group's internal needs.
Another Tavares creature is Mobile Drive. With the company owned equally by Stellantis and Foxconn Technology Group, the former wants to develop connected and smart cars and preside over the Asian market. Mobile Drive is focusing on developing infotainment and telematics solutions, as well as a cloud services platform, which will aim to provide a complete smart cockpit solution.
Tavares also outlined the electric targets: global BEV (pure battery-electric, ed.) sales of 5 million units in 2030, reaching 100% of the BEV sales mix of passenger cars in Europe and 50% of passenger cars and light vehicles in the US.
The automaker aims to lead the industry with more than 75 BEVs — including the Jeep brand's first 100% battery-electric SUV, which will be launched in early 2023, followed by the Ram ProMaster BEV later in 2023 and the Ram BEV pickup in 2024 — and to launch a US-specific product offensive of more than 25 new BEVs. New car revenues from the premium and luxury vehicle segments will increase four-fold. Stellantis also aims to reach one-third of global online sales in 2030. (All rights reserved)
(Source:Class Editori)
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