Multinational automaker Stellantis NV has just proposed plans to produce hybrid versions of its iconic Fiat 500e small electric car and Jeep Compass compact SUV in its two Italian factories, Reuters reports.
Mirafiori and Melfi plants gear up for new era with hybrid Fiat 500, Jeep Compass
On Monday, Stellantis officially announced its plans to build a hybrid counterpart of the Fiat 500e at its existing Mirafiori factory in Turin, Italy, amid waning battery-electric vehicle sales.
The announcement came from Stellantis Chief Executive Carlos Tavares himself after meeting with union representatives, who had apparently been calling for a production boost at the Mirafiori factory with a new high-volume, cheaper offering.
The Mirafiori factory currently handles the production of the Fiat 500e. However, the slower-than-expected BEV uptake prompted the automaker to also decelerate production rates.
Apart from the Fiat 500e HEV, Stellantis also plans to produce a hybrid variant of the Jeep Compass SUV at the Melfi factory in southern Italy.
“Carlos Tavares recalled the importance of offering affordable and high-quality cars for Italian customers.”
Stellantis said in a statement
Stellantis targets wider audience
Stellantis’ plans to expand its clean energy vehicle portfolio with Fiat 500 and Jeep Compass hybrid variants will significantly increase its customer pool.
The new HEV models can offer prospective customers more options, potentially attracting those who prefer hybrids over BEVs.
Stellantis also aims to boost the Fiat 500’s total annual output, with hybrids accounting for a large portion. It suggests that the automaker sees a big market for these HEV offerings.
In addition, it will enable automakers to make clean energy vehicles more accessible to a wider range of buyers.
Plan strengthens Italian manufacturing footprint
Stellantis’ decision might also help improve its cooperation with the Italian government. The latter has apparently criticized the automaker over its declining production output in the domestic market and for producing some of its Fiat and Alfa Romeo models overseas.
For context, Stellantis is the sole major automaker in the Italian market. As per the report, the Rome government and the multinational automaker are currently in discussions about revitalizing the latter’s local production to 1 million vehicles by 2030 from just about 750,000 in 2023.
“The shared ambition with the Italian government to reach one million vehicles produced in Italy by 2030, will need a supportive business environment, currently impacted by electrification uncertainties and strong competition with new entrants to the market.”
Stellantis
FIM-Cisl union leader Ferdinando Uliano disclosed Stellantis’ statement about its plans to kick off the hybrid 500e’s production in Q1 2026. However, specific production output figures remain unclear.
