Stellantis has confirmed temporary production suspensions at its Italian plants but assured there are no plans to close facilities or implement mass layoffs in the automotive sector.
However, the company acknowledges it is navigating a challenging environment with no easy solutions.
On Wednesday, Stellantis announced plans to pause operations at its Cassino plant on November 29 and at the Termoli facility from December 16 to December 22. This decision, shared with unions earlier, reflects a response to declining demand for electric vehicles and intensified competition from Chinese manufacturers, as reported by Reuters.
A Sustainable Investment Plan Required
These are not the first production halts in Italy; earlier suspensions included the historic Mirafiori plant in Turin. Following recent discussions with unions and the government, Stellantis pledged not to shut down its Italian plants or resort to large-scale layoffs. However, the automaker emphasized that the situation requires comprehensive and sustainable strategies.
During negotiations, the Italian government urged Stellantis to develop a “convincing and sustainable investment plan.” According to Industry Minister Adolfo Urso, the company has been given a deadline of December 16 to present its proposal.
