BRIEF: Stellantis halts Leapmotor EV production in Poland

Automaker Stellantis (STLA.US) announced on Tuesday that it stopped assembling Chinese EV maker Leapmotor’s (9863.HK) T03 small electric vehicle (EV) at its Polish plant as of March 30. The company is currently evaluating alternative production options.

The Franco-Italian carmaker stated that it remains committed to promoting the Leapmotor brand in Europe, and is reassessing various manufacturing strategies, according to Reuters. It did not disclose whether T03 production would be relocated to another European factory.

The two companies, which formed a strategic partnership in 2023, already scrapped plans last year to produce a second Leapmotor model, the B10 electric crossover, in Poland. That decision reportedly followed a private directive from the Chinese government advising automakers to pause major investments in European countries supporting EU tariffs on Chinese-made EVs, according to the Reuters report. Poland was among those that backed the tariffs. By comparison, Spain, which abstained from the vote, has emerged as the new frontrunner for B10 production.

Stellantis currently holds 51% of Leapmotor International, a joint venture with exclusive rights to export, sell, and manufacture Leapmotor vehicles outside China. Leapmotor’s stock opened 4.36% lower on Wednesday at HK$45, and closed down 2.66% at HK$45.8 by the midday break.

By Lee Shih Ta

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