Stellantis CEO says partnerships will be part of future strategy
Stellantis’ Future Strategy and the Role of Partnerships
MILAN, May 12 (Reuters) - Stellantis Chief Executive Antonio Filosa said on Tuesday partnerships would be a key part of the automaker's future strategy, as it prepares to present a new multi-year business plan next week.
Filosa said Stellantis had learnt the power of partnerships and that "they will be embedded in our strategy going forward".
Benefits and Focus of Partnerships
"By working with a set of partners to build a roadmap of technological improvement, supply chain improvement and maybe capacity utilization, those are very good topics to work together and create benefits for both sides," he said at the Financial Times' Future of the Car Summit.
Recent Leapmotor Joint Venture
Stellantis last week announced plans to start joint car production in Europe with Chinese partner Leapmotor, deepening their tie-up beyond distribution into manufacturing.
Chinese Carmakers’ Strategy in Europe
Chinese carmakers are increasingly eager to use existing plants or partner with local manufacturers to quickly support sales growth in Europe while also avoiding European Union tariffs on Chinese-made EVs.
Potential for Broader Partnerships
Filosa said last month said the Leapmotor partnership could be a model for future cooperation with other Chinese automakers. But on Tuesday he said deals could come beyond Chinese manufacturers as Stellantis' large output, vast global presence and wide brand portfolio make it attractive for long-term partnerships.
"There are many things that can be done in that space," Filosa said.
Efficient Capital Allocation on Brands
EFFICIENT CAPITAL ALLOCATION ON BRANDS
Upcoming Business Plan Presentation
Stellantis will present its new business plan at a capital markets day in Auburn Hills, Michigan, on May 21, where brand strategy is also expected to be a key point.
Investment Focus and Brand Strategy
Reuters last month reported that Stellantis would focus the majority of its investment on its core Jeep, Ram, Peugeot and Fiat brands, while also planning to keep all the others as they retain local relevance.
Importance of Brand Retention
Filosa said on Tuesday brands were Stellantis' "strongest asset" and that being too drastic in quitting one or more of them meant losing customer base to a competitor.
Combining Capital Allocation with Brand Strategies
"The real point is to combine efficient capital allocation with brand-specific strategies," he said.
(Reporting by Giulio Piovaccari in Milan and Gilles Guillaume in Paris. Editing by Alvise Armellini and Mark Potter)
