At a Tuesday industry event, Stellantis’ managing director, Maria Grazia Davino, stated, “Stellantis production in the UK could stop.”
The company has stated that starting in 2025, it will also produce electric vans in Luton, Bedfordshire, in addition to Ellesmere Port, Cheshire.
But according to Ms. Grazia Davino, more work needs to be done to increase consumer demand for EVs. In the event that fewer electric vehicles are purchased, producers will be in violation of UK laws.
Fully electric vehicles, as opposed to hybrids, are required by UK law to account for 22% of all automakers’ sales.
According to the most recent Society of Motor Manufacturers and Traders (SMMT) figures, just 16% of sales are electric vehicles at the moment.
Ms. Grazia Davino stated, “The fact is that there is not a demand.”
However, manufacturers risk fines of £15,000 for each sold non-electric vehicle.
This is more burdensome than regulations from the European Union that permit both EVs and hybrids to be included in CO2 emissions reduction goals.
In “less than a year,” Stellantis will decide whether to continue producing in the UK or not, according to Ms. Grazia Davino.
