Stellantis Strengthens Chinese Manufacturing Strategy Through Expanded Dongfeng Cooperation

Stellantis Strengthens Chinese Manufacturing Strategy Through Expanded Dongfeng Cooperation

(IN BRIEF) Stellantis and Dongfeng Motor Group have expanded their strategic partnership through new plans to manufacture Peugeot and Jeep electric vehicles in China for both domestic and global markets. The companies’ DPCA joint venture in Wuhan is expected to produce two Peugeot new energy vehicles and two Jeep off-road EV models beginning in 2027. The project represents more than €1 billion in planned investment and includes a broader memorandum of understanding focused on research, intelligent EV technologies and future automotive cooperation.

(PRESS RELEASE) AMSTERDAM, 15-May-2026 — /EuropaWire/ — Stellantis and Dongfeng Motor Group have announced a major expansion of their long-standing partnership, unveiling plans to jointly produce new electric Peugeot and Jeep vehicles in China for both domestic sales and export markets.

The agreement marks a new phase in the 34-year collaboration between the two automotive groups and reinforces the role of their joint venture, Dongfeng Peugeot Citroën Automobile Co. Ltd. (DPCA), as a strategic manufacturing hub for new energy vehicles targeting global markets.

Under the new cooperation agreement, DPCA’s manufacturing facility in Wuhan is expected to begin production of two all-new Peugeot-branded electric vehicles from 2027. The models will reportedly draw inspiration from Peugeot concept vehicles showcased at the 2026 Beijing Auto Show and form part of the French brand’s broader international growth strategy.

In parallel, the Wuhan facility is also expected to manufacture two Jeep-branded off-road new energy vehicles beginning in 2027, with these models intended primarily for export to international markets. The move signals a broader effort by Stellantis to strengthen its electric vehicle presence while leveraging China’s manufacturing ecosystem and rapidly advancing EV supply chain capabilities.

The project is expected to involve combined investments exceeding 8 billion Chinese yuan, equivalent to approximately €1 billion. Stellantis is expected to contribute around €130 million as part of the initiative. The development is also being supported by industrial and automotive policies introduced by authorities in Hubei province and the city of Wuhan, both of which have increasingly positioned themselves as major centres for electric vehicle manufacturing and innovation in China.

Alongside the production agreement, Stellantis and Dongfeng also signed a non-binding strategic memorandum of understanding aimed at deepening cooperation in areas including research and development, intelligent electric vehicle technologies and global automotive manufacturing.

Antonio Filosa said the agreement builds upon more than three decades of collaboration and shared automotive expertise between the two companies. He noted that the partnership would support the introduction of new electric vehicles incorporating advanced EV technologies while helping expand the global reach of brands such as Peugeot and Jeep.

Qing Yang described the revitalization of DPCA as a strategic priority for Dongfeng and said the agreement combines Hubei’s industrial strengths, Stellantis’ global market positioning and Dongfeng’s expertise in intelligent electric vehicle technologies.

The announcement reflects a broader shift among global automotive manufacturers toward expanding electric vehicle production partnerships in China, which remains one of the world’s largest and most competitive EV markets. It also highlights the increasing importance of Chinese production facilities as export hubs for international carmakers seeking to scale global EV manufacturing efficiently.

The agreement and associated projects remain subject to final implementation agreements, regulatory approvals and customary closing conditions.

About Stellantis

Stellantis (NYSE: STLA / Euronext Milan: STLAM / Euronext Paris: STLAP) is a leading global automaker, dedicated to giving its customers the freedom to choose the way they move, embracing the latest technologies and creating value for all its stakeholders. Its unique portfolio of iconic and innovative brands includes Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, FIAT, Jeep®, Lancia, Maserati, Opel, Peugeot, Ram, Vauxhall, Free2move and Leasys. For more information, visit www.stellantis.com.

Stellantis Forward-Looking Statements

This communication contains forward-looking statements. In particular, statements regarding future events and anticipated results of operations, business strategies, the anticipated benefits of the proposed transaction, future financial and operating results, the anticipated closing date for the proposed transaction and other anticipated aspects of our operations or operating results are forward-looking statements. These statements may include terms such as “may”, “will”, “expect”, “could”, “should”, “intend”, “estimate”, “anticipate”, “believe”, “remain”, “on track”, “design”, “target”, “objective”, “goal”, “forecast”, “projection”, “outlook”, “prospects”, “plan”, or similar terms. Forward-looking statements are not guarantees of future performance. Rather, they are based on Stellantis’ current state of knowledge, future expectations and projections about future events and are by their nature, subject to inherent risks and uncertainties. They relate to events and depend on circumstances that may or may not occur or exist in the future and, as such, undue reliance should not be placed on them. There can be no assurance that the contemplated transactions will be completed or that the expected scope or timing will be achieved.

Actual results may differ materially from those expressed in forward-looking statements as a result of a variety of factors, including: the ability of Stellantis to launch new products successfully and to maintain vehicle shipment volumes; changes in the global financial markets, general economic environment and changes in demand for automotive products, which is subject to cyclicality; Stellantis’ ability to successfully manage the industry-wide transition from internal combustion engines to full electrification; Stellantis’ ability to offer innovative, attractive products and to develop, manufacture and sell vehicles with advanced features including enhanced electrification, connectivity and autonomous-driving characteristics; Stellantis’ ability to produce or procure electric batteries with competitive performance, cost and at required volumes; Stellantis’ ability to successfully launch new businesses and integrate acquisitions; a significant malfunction, disruption or security breach compromising information technology systems or the electronic control systems contained in Stellantis’ vehicles; exchange rate fluctuations, interest rate changes, credit risk and other market risks; increases in costs, disruptions of supply or shortages of raw materials, parts, components and systems used in Stellantis’ vehicles; changes in local economic and political conditions; changes in trade policy, the imposition of global and regional tariffs or tariffs targeted to the automotive industry, the enactment of tax reforms or other changes in tax laws and regulations; the level of governmental economic incentives available to support the adoption of battery electric vehicles; the impact of increasingly stringent regulations regarding fuel efficiency requirements and reduced greenhouse gas and tailpipe emissions; various types of claims, lawsuits, governmental investigations and other contingencies, including product liability and warranty claims and environmental claims, investigations and lawsuits; material operating expenditures in relation to compliance with environmental, health and safety regulations; the level of competition in the automotive industry, which may increase due to consolidation and new entrants; Stellantis’ ability to attract and retain experienced management and employees; exposure to shortfalls in the funding of Stellantis’ defined benefit pension plans; Stellantis’ ability to provide or arrange for access to adequate financing for dealers and retail customers and associated risks related to the operations of financial services companies; Stellantis’ ability to access funding to execute its business plan; Stellantis’ ability to realize anticipated benefits from joint venture arrangements; disruptions arising from political, social and economic instability; risks associated with Stellantis’ relationships with employees, dealers and suppliers; Stellantis’ ability to maintain effective internal controls over financial reporting; developments in labor and industrial relations and developments in applicable labor laws; earthquakes or other disasters; risks and other items described in Stellantis’ Annual Report on Form 20-F for the year ended December 31, 2025 and Current Reports on Form 6-K and amendments thereto filed with the SEC; and other risks and uncertainties.

Any forward-looking statements contained in this communication speak only as of the date of this document and Stellantis disclaims any obligation to update or revise publicly forward-looking statements. Further information concerning Stellantis and its businesses, including factors that could materially affect Stellantis’ financial results, is included in Stellantis’ reports and filings with the U.S. Securities and Exchange Commission and AFM.

Media Contacts:

communications@stellantis.com

Fernão SILVEIRA
+31 6 43 25 43 41
fernao.silveira@stellantis.com

SOURCE: Stellantis

MORE ON COMPANY NAME, ETC.:

EDITOR'S PICK:

Comments are closed.